OREANDA-NEWS. November 19, 2009. State Corporation ‘Bank for Development and Foreign Economic Affairs (Vnesheconombank)’ and the Far Eastern Shipbuilding and Ship Repair Center (OJSC) entered into an Agreement on Cooperation.

On behalf of Vnesheconombank the Agreement was signed by Management Board Member, Vnesheconombank Deputy Chairman Anatoly Ballo, on behalf of the Far Eastern Shipbuilding and Ship Repair Center – by its General Director Roman Trotsenko.

The Agreement aims to establish cooperation between the parties in implementing a project to build a large-scale shipbuilding yard on the basis of the Far Eastern Plant Zvezda.

The Project provides for building a new shipyard with a dry dock on the territory of the Zvezda plant (the city of Bolshoy Kamen, Primorski Krai). Construction work on building a new shipyard is scheduled to start in the second quarter of 2010. An annual production program of the new shipyard provides for constructing 3 to 6 units of large-scale ships.

The Far Eastern Shipbuilding and Ship Repair Center’s participation share in financing the Project using its own funds is expected to be no less than 20% of the total amount of the Project’s investment costs.

A decision on Vnesheconombank’s participation in financing the Project is to be taken by the Bank’s corporate governance bodies.

The parties have also agreed to establish a joint working group.

The implementation of the Project would make it possible to build production facilities in the Far Eastern region that would allow to build large-scale ships: gas carriers, tankers and other marine equipment to develop shelf deposits; construct a base for building and maintaining large-scale navy battle ships. They plan to create 2500 jobs, build housing and social facilities.

This Agreement was concluded to build on the Memorandum signed in October 2008 on Cooperation between Vnesheconombank and OJSC United Shipbuilding Corporation.