Fremantle-based Sea Corporation Pty Ltd has won a state government contract worth more than $40 million to supply shipping services to regional ports in the north-west, taking over from national firm Patrick Corporation Ltd.
Fremantle-based Sea Corporation Pty Ltd has won a state government contract worth more than $40 million to supply shipping services to regional ports in the north-west, taking over from national firm Patrick Corporation Ltd.
The four-year deal, with options to extend for an additional year, includes a capacity expansion of approximately 20 per cent on the coastal shipping service to the Kimberley and Pilbara regions from 2007.
The service plies the Fremantle-Darwin route and return, every 17 days, with guaranteed stops at Broome and Wyndham.
Sea Corporation is using the 105-metre ship involved in the previous service. Originally named the Kimberley, under the new ownership the ship has been renamed the SCS Anne.
The vessel has recently returned from its first voyage to the ports of Broome and Darwin after leaving Fremantle Port on January 14.
Sea Corporation managing director Craig Thompson said the SCS Anne, built in 1998, was a multi-purpose vessel that could take 6,300 tonnes of deadweight cargo.
“The ship can take containers, break bulk, heavy cargo and bulk dry cargo including ammonium nitrate for the mining industry,” he said.
Mr Thompson told WA Business News the company would expand into the eastern states with a new vessel able to carry 8,000 tonnes by the end of 2006.
“The company is looking to have a number of ships travelling west to east by the end of 2007,” he said.
Mr Thompson said the vessel would also be used for coast watch purposes.
“We will also use her for marine pilot training,” he said. “We are committed to developing a high calibre of skills through offering immediate training.”
Planning and Infrastructure Minister Alannah MacTiernan said freight costs in the north-west would be contained following the return of the shipping service.
“Evidence suggests that freight rates into the north-west are 20-30 per cent lower with the shipping service operating and this benefit flows not only to direct users of the service, but to communities and industry right across the region,” Ms MacTiernan said.
She said the resultant savings for areas such as the Kimberley would be in the millions of dollars.
“The other key benefit of this service is its ability to reduce road impacts,”
Ms MacTiernan said.
“Each voyage will take the equivalent of 65 road trains off the north-west road system, many of them carrying hazardous or over-size cargo. The savings in road maintenance, traffic safety and the convenience of other road users again run to many millions of dollars.”
Ms MacTiernan noted that, with the explosion of economic activity in the north-west, the decision on the new shipping service was timely.
Sea Corporation was established in 1998 and since then has become a top ship broking company in Australia with a forecast turnover of $50 million for 2006.
