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Cochin Shipyard Ltd collaborates with Seatrium Letourneau USA to design jack-up rigs for the Indian market. Q2 profits grew by 4% to ₹189 crore, with revenue up 13% to ₹1,143.2 crore.
Cochin Shipyard Ltd (CSL) has entered into a strategic memorandum of understanding (MoU) with Seatrium Letourneau USA, Inc. (SLET). This partnership focuses on designing and supplying critical equipment for jack-up rigs, targeting the Indian market.
This collaboration leverages CSL’s extensive expertise in shipbuilding and engineering alongside SLET’s advanced offshore drilling technology. Together, they aim to create Mobile Offshore Drilling Units (MODUs) tailored to the needs of the Indian market, aligning with the government’s 'Make in India' initiative.
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The agreement will facilitate the development of jack-up rigs with advanced design and critical components, promoting localised production and reducing reliance on imports. By combining CSL’s robust shipbuilding capabilities with SLET’s technical expertise, the initiative aims to strengthen India's offshore infrastructure and energy sector.
The move supports India’s ambitions of expanding its offshore drilling operations and bolstering self-reliance in the energy domain. This collaboration also showcases CSL’s commitment to expanding its capabilities in innovative and high-demand projects.
Cochin Shipyard Ltd reported positive financial performance for Q2 FY24, with a year-on-year increase in both net profit and revenue:
Net profit: ₹189 crore, up 4% YoY
Revenue: ₹1,143.2 crore, a 13% growth YoY
EBITDA: ₹197.3 crore, up 3.2% YoY
EBITDA margin: Narrowed to 17.3% from 18.9% YoY
The partnership announcement comes amidst steady growth in the company’s operations, reflecting its strong market position.
Also read: RITES Secures Revised Estimates for ₹531.77 Cr Project
The Cochin Shipyard Ltd share price closed higher at ₹1,298.50 on the BSE, reflecting a marginal increase of ₹2.80 or 0.22%. The partnership with SLET is expected to drive further investor interest, boosting the long-term growth outlook for the company.
Cochin Shipyard’s collaboration with Seatrium Letourneau USA underscores its commitment to advancing offshore drilling technology in India. This strategic partnership aligns with the government’s 'Make in India' vision while positioning CSL as a key contributor to the nation's energy and infrastructure growth.
Also read: HG Infra Secures ₹1,110 Crore Battery Storage Project
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