Swan Defence and Heavy Industries Ltd (SDHI) has announced a landmark shipbuilding agreement with Norwegian ship owner and operator Rederiet Stenersen AS. The Letter of Intent (LoI), valued at approximately 220 million dollars, covers the construction of six advanced IMO Type II chemical tankers, marking SDHI’s entry into the international shipbuilding export market.

The vessels will be constructed at the Pipavav shipyard in Gujarat, a facility recently revived by SDHI after acquiring it from insolvency.

This milestone represents the company’s first major shipbuilding contract since the yard’s revitalisation, signalling the resumption of large-scale commercial ship production in the region. SDHI is positioning Pipavav as a hub for building technologically sophisticated and environmentally compliant vessels.

According to Vivek Merchant, Director of SDHI, the collaboration with Rederiet Stenersen AS stands as a defining moment for both the company and Indian shipbuilding. He described the project as a significant step in advancing India’s maritime manufacturing ambitions, enabling the production of complex ocean-going vessels such as tankers, bulk carriers, and specialised ships. Merchant added that the order reflects growing international confidence in Indian shipyards and SDHI’s capacity to deliver high-quality, future-ready vessels.

Each of the six tankers will have a deadweight tonnage (DWT) of 18,000 and will be designed collaboratively by Marinform AS and StoGda from Norway. The ships will be classified by DNV and built to Ice Class 1A standards, enabling operations in harsh northern maritime climates. The agreement also includes an option for the construction of six additional tankers of the same configuration, potentially doubling the total value of the project.

A key feature of these vessels is their hybrid propulsion architecture. The system incorporates advanced automation to ensure superior manoeuvrability, reduced emissions, and flexible operating modes. Each tanker’s propulsion system is future-adaptable, capable of conversion to methanol or LNG fuel, and designed with space to accommodate battery capacity upgrades of up to 5,000 kilowatt-hours.

This adaptability highlights SDHI’s commitment to sustainable shipbuilding and alignment with modern decarbonisation goals.

The vessels will embody next-generation energy efficiency with reduced carbon footprints, making them among the most environmentally advanced chemical tankers to be built in India. SDHI’s emphasis on hybrid systems and alternate fuel readiness positions the company at the forefront of emerging trends in green maritime engineering.

Rederiet Stenersen AS, established in 1974, operates a fleet of 19 chemical and product tankers ranging from 16,000 to 19,000 DWT. The company primarily services Northern European trade routes, transporting refined chemicals and related products. By partnering with SDHI, Stenersen seeks to expand its fleet with eco-efficient ships optimised for low-emission operations in challenging ice-class environments.

The project’s successful execution is expected to reinforce India’s shipbuilding credentials and strengthen its position as a competitive global supplier of technologically advanced vessels. It may also catalyse renewed investments in the Pipavav yard, providing a substantial boost to the country’s maritime manufacturing ecosystem and local employment in Gujarat’s coastal industrial sector.

Based On Business Line Report