Skaugen highlights its 'can-do' spirit

When I.M. Skaugen unveiled its first Chinese-built ship, the Oslo-based giant chose a name for the vessel that embodies the company's spirit and attitude as it embarks on a new voyage - Mei Wen Ti, which means "can do".

Few Norwegian companies can boast operations in China as extensive as I.M. Skaugen. After his first visit in 1985, President and CEO Morits Skaugen was convinced that China should be the company's main focus in Asia.

Skaugen says the company's success can be attributed to employing "as many local Chinese in the top management as possible and to work in win-win joint ventures whenever you can".

"It goes against the opinion of some. But for us, it's been instrumental to our growth in China and has contributed significantly to our global operations," Skaugen said.

"Personally, I love working with the Chinese and I believe they make the Skaugen Group stronger. They have many talented people in shipping and shipbuilding, have great ambition, and have an extreme enthusiasm for learning and learn so very quickly," he added.

Since starting operations in China in the early 1990s, I.M. Skaugen has established 10 enterprises in the country that together employ 1,000 people.

Its activities include Skaugen Marine Construction, which built the Mei Wen Ti and the Wuhan-Skaugen Training Center, a joint venture that trains about 4,000 maritime students a year for employment in either I.M. Skaugen's operations or for third parties.

It is also the only non-Chinese company that transports liquefied petroleum gas (LPG) domestically. It ships about 120,000 tons of LPG each year along the Yangtze River.

Among its recent activities is a project with Shenghui Gas & Chemical Systems to build 10 multi-gas vessels - the first of their kind in the world - capable of carrying liquefied natural gas and ethylene as well as LPG. Skaugen says the vessels' versatile cargo capabilities provide access to new markets, raise revenue capabilities and improve operational efficiency.

The project is in line with the group's overall growth strategy to become a fully integrated company specializing in gas transportation that designs, builds, owns and manages its own ships. It says the integrated approach will cut costs considerably and boosts its position in the gas transport industry.

The Mei Wen Ti cost only $7.5 million to build, about half the price current in the industry. After it completes its own fleet, the firm plans to take on contracts to build for third parties.

With its determination to further develop its ship construction, educational and gas shipping activities in China, I.M. Skaugen says it sets an example for future Norwegian-Chinese collaboration.

www.skaugen.com

(China Daily 04/14/2008 page26)