Mooreast Holdings Ltd has announced that its subsidiary, Mooreast Asia Pte. Ltd, plans to acquire a 98,919 m2 facility from a subsidiary of Seatrium Ltd.
This acquisition will quadruple Mooreast’s production capacity in Singapore, positioning it to cater to the rapidly growing floating offshore renewable energy sector.
Strategic Facility Acquisition
Mooreast has secured an option to purchase the 60 Shipyard Crescent facility from Seatrium New Energy Ltd, a subsidiary of Seatrium, a prominent provider of engineering solutions for the offshore, marine, and energy industries globally.
Mooreast, Asia’s sole ultra-high power anchor manufacturer, aims to finalize the acquisition (pending approval from JTC Corp., the facility’s lessor) and commence operations at the new site by the end of 2024. The acquisition will be financed through internal resources.
Increased Production Capacity and Enhanced Capabilities
The acquired facility is adjacent to Mooreast’s existing 30,691 m2 yard at 51 Shipyard Road, one of the world’s largest drag anchor manufacturing sites with in-house fabrication capabilities.
Together, these two facilities will cover a combined land area of 129,609 m2, with an estimated value of right-of-use assets and equipment of approximately US$50 million, including machinery and equipment.
With the enlarged facility, Mooreast’s production capacity will quadruple, solidifying its position as one of only three ultra-high power anchor manufacturers globally.
This expansion will enable Mooreast to produce enough subsea foundations to support between 1.5 and 2 GW of floating offshore wind energy annually, a substantial increase from the current 0.5 GW capacity.
Expanded Facility for Fabrication and Logistics
The new facility will be dedicated to fabricating high-value subsea foundations and will serve as a logistics hub for handling, staging, and assembling equipment and blocks.
This streamlined operation will enhance efficiency, enabling Mooreast to manage and execute larger-scale projects.
The 865-meter water frontage of the new facility will further bolster the Group’s Yard division, enabling the accommodation of specialized vessels for mobilization and demobilization of both onshore and offshore projects globally.
In line with its commitment to sustainability, Mooreast will also install solar panels on the facility’s rooftop to power on-site operations.
Meeting the Growing Demand for Floating Offshore Renewables
This expansion is a pivotal part of Mooreast’s strategy to increase its capacity to meet the anticipated demand in the emerging floating offshore renewable market.
The company has been introducing new products and intensifying marketing efforts while also expanding its geographical footprint with the recent incorporation of Mooreast Taiwan and Mooreast UK in July 2022.
Securing Project Wins and Looking Towards the Future
These efforts have resulted in several project wins for Mooreast, including supplying its proprietary anchors to a pre-commercial floating offshore wind farm in Southern France and providing buoys to Japan’s first commercial-scale floating wind farm.
Sim Koon Lam, founder, Executive Director, CEO, and Deputy Chairman of Mooreast, expressed excitement about the acquisition, emphasizing its potential to significantly expand the company’s manufacturing capabilities.
He highlighted that Mooreast is now equipped to handle larger, commercial-scale wind projects, strengthening its value proposition and competitive edge in international markets. The company is already receiving inquiries from various developers of floating offshore renewable energy projects, indicating the growing demand for their expertise and solutions.