The National Shipping Company of Saudi Arabia (NSCSA), established in 1979, is one of the biggest shipping companies in the world and occupies a pre-eminent position among its industry peers in all sectors of its business.

The first national carrier has generated a strong VIP customer base at local, regional and international levels. This, along with the vast experience gained over the years, has enabled the company to provide first class shipping service to the trading community.

During the course of its diversification, the company's services have expanded to include transportation of general cargo, crude oil, chemicals and liquefied petroleum gas (LPG), as well as specialized ship management.

Since starting its operations for transporting general cargo and containers, the company with a commendable track record has established the reputation of providing a high standard of service to its customers at all international ports it serves.

In its desire to expand its activities further, NSCSA entered into the LPG transportation business by acquiring 30.3 percent shares of Petredec Limited, a leading global LPG transportation firm.

NSCSA also owns a very large fleet of chemical carriers.

Crude oil transportation

The leading Saudi Arabian company owns Very Large Crude Carriers (VLCCs) (double hull) built in line with the most sophisticated specifications recognized and accepted by the industry. These vessels are of high international standard with a capacity of 2.2 million barrels each and more than 300,000 DWT (Deadweight Tonnage).

In 2004, the company signed a contract for building two VLCCs for delivery in 2007. Another contract to build six new VLCCs was also concluded for delivery from 2008-09. With these plans, the aggregate capacity of the crude oil fleet will increase to 5.250 million DWT and the company will have 17 VLCCs, of which eight will be delivered from 2007-09.

Chemical transportation

NSCSA started its chemical transportation business in 1985 by building the tanker Uqba Ibn Nafi (UIN) with a capacity of 42,825 DWT.

Followed by that, the company established Arabian Chemical Carriers (ACC) in a joint venture with United Arab Shipping Company (UASC). ACC owns the tanker "Al-Farabi" which has a capacity of 41,148 DWT.

The company also established National Chemical Carriers (NCC) in 1990 in an 80:20 partnership with Saudi Basic Industries Corporation. NCC is the main player in the company's chemical transportation business. It presently owns 12 chemical tankers, six of which were taken delivery of between 2005 and 2006.

In line with the company's strategic development plans, contracts have been signed to build 14 chemical tankers to join the existing fleet between 2009 and 10.

NCC has already signed leasing agreements for long-term charter of six newly built tankers with International Shipping Transportation Company (ISTC), a subsidiary of SABIC.

General cargo transportation

NSCSA presently offers liner service by operating four fully owned RoRo / Conventional / Container vessels in the Gulf -Indian Sub-Continent / Red Sea / Mediterranean / US-Canada (East Cost) / US (Gulf) trade route on a regular schedule basis. The versatility of the vessels makes them highly suitable for serving the trade, catering to RoRo, Break-Bulk, projects, military and containerized cargoes.

NSCSA has collaborated with Rohde & Liesenfeld (R&L) of Germany, which has more than 70 offices in some 35 countries worldwide, to manage large-scale project arrangements in Saudi Arabia.

Mideast

Mideast Ship Management Ltd (MIDEAST), a subsidiary of NSCSA, was founded in 1977, with the vision of establishing a professionally qualified ship manager who would meet the requirements of quality conscious ship owners.

Mideast Ship Management Ltd now manages a variety of vessels, including Very Large Crude Oil Tankers, chemical tankers and RoRo vessels.

Petredec LPG

NSCSA joined hands with Petredec Limited, a Bermuda-based LPG trader and ship-owner, by obtaining 30 percent shares in February 2005.

Petredec is a leading LPG trader and ship-owner, with a controlled fleet of over 40 vessels delivered and on order aggregating approximately 795,000 cubic meters, including two Very Large Gas Carriers (VLGCs), each with a 82,000-cubic-meter capacity, very recently ordered at Hyundai Heavy Industries for delivery in 2008. Petredec trades globally through its headquarters in Monaco and offices in Singapore, Monaco and Barbados.

In view of the fact that gas trade out of the Gulf is likely to grow significantly in the coming years, NSCSA's investment in Petredec is an important step in its quest to become a market leader in LPG shipping and trading in this region.

(China Daily 09/22/2007 page7)