TT-Line Tasmania, Bygg nr. ? ved Rauma Marine Constructions, RoPax 2x "Spirits of Tasmania"


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Rauma Marine Constructions and Australian TT-Line Company sign Memorandum of Understanding for two new car and passenger ferries

Rauma Marine Constructions (RMC) and Australian TT-Line Company have signed a Memorandum of Understanding on two fast car and passenger ferries. The Project will have an impact on employment totalling around 3,500 person-years, and the construction work will start at the beginning of 2021.

”We are proud and grateful of the trust TT-Line Company has shown us. We believe that with this new partnership, we can serve our customer in a way that results in a world-class car and passenger ferry solution for TT-Line Company’s business. Through this Memorandum of Understanding, RMC can move strongly forward on its planned growth path, and can increase the building of large car and passenger ferries in Rauma. This signifies a steady growth for the shipbuilding industry in Finland,” says Jyrki Heinimaa, CEO, RMC.

The vessels will be built at Rauma shipyard and delivered to the customer in Tasmania, Australia, at the end of 2022 and 2023. The vessels set to operate under the brand Spirit of Tasmania will replace the existing vessels, Spirit of Tasmania I and II (ex. Superfast III and Superfast IV), built in Turku, Finland in 1998. The new ferries will accommodate 1,800 passengers and will have an approximate gross tonnage of 48,000. The ferries are set to operate in challenging conditions on the Melbourne, Australia – Devonport, Tasmania route.

“Building these vessels is a natural continuation to the similarly sized MyStar, which we are building for Tallink Grupp. During the next few months, TT-Line Company and RMC are working in close cooperation to finalise the contract for the construction of the vessels. The design of the vessels will begin in the autumn of this year. The building of the vessels will begin in early 2021, and they will be made side-by-side with the multi-role corvettes for the Finnish Navy,” explains Heinimaa.

The construction of the vessels will have a substantial impact on employment, totalling around 3,500 person-years. RMC will also strengthen its organisation and recruit more talent in all phases of the shipbuilding process.

“On top of our own personnel, we will continuously strengthen our cooperation network. Our long-term partnerships can cover diverse sectors of shipbuilding from designing to finishing,” emphasises Heinimaa.

In February, RMC together with Wasaline, celebrated the keel laying of the Aurora Botnia car and passenger ferry. When completed, the vessel will operate between Vaasa and Umeå. The building of Tallink’s new shuttleferry MyStar, which will operate between Helsinki and Tallin, will begin construction in April 2020 at the Rauma shipyard. Last autumn, RMC also signed a deal with the Finnish Defence Forces to deliver four multi-role corvettes by 2026.


Illustrasjon: via RMC


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Vessel replacement update

TT-Line Company Pty Ltd has been advised by the TT-Line Shareholder Ministers that the Government will not proceed with the proposed vessel replacement contract with Finnish ship builder Rauma Marine Constructions (RMC) due to COVID-19 and its economic implications for the State.

Chairman Michael Grainger said the government indicated that, given current and emerging economic problems caused by COVID-19, there needed to be more consideration of local content and manufacturing jobs in Tasmania and Australia as part of the overall vessel replacement project.

“The decision is not a reflection of the quality of the business case developed by TT-Line, nor the ability of RMC to deliver the proposed contracts,” he said. “It is simply a matter of timing and the unprecedented impact COVID-19 is having and will have on state and national economies.”

“The Government and TT-Line still believe it is essential that the vessels are replaced in coming years to support the growing passenger and freight transport needs of the state.

“We therefore look forward to working with the government on the next proposal and business case for its consideration that will further maximise local economic benefits.”

Mr Grainger said the government’s decision announced today did not impact the company’s decision to move its Victorian port operations from Station Pier, Port Melbourne, to Corio Quay, north of Geelong.

“The company will still relocate by the end of 2022 when the Station Pier lease expires,” he said.

Background and timeline context
The government supported the company’s original vessel replacement business case presented in 2017, and a subsequent recommendation in 2018 to sign a contract with German shipbuilder Flensburger Schiffbau-Gesellschaft (FSG).

More recently, when it was mutually agreed between TT-Line and FSG that FSG would not build the new vessels, TT-Line signed a Memorandum of Understanding with RMC and commenced contract negotiations and agreed final design specifications.

The TT-Line Board submitted an updated business case following a unanimous Board recommendation that TT-Line sign a new ship construction contract with RMC.
That recommendation was considered and subsequently not endorsed by the Shareholder Minsters.

Kilde: Spirit of Tasmania
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Contract for two new car and passenger ferries for TT-Line strengthens RMC's order book significantly

Rauma Marine Constructions and Tasmanian shipping company TT-Line Company have finalised an agreement for the construction of two car and passenger ferries at Rauma shipyard. The employment impact of the project is approximately 3,500 person-years and will increase the number of ships to be built by RMC to eight. The construction of TT-Line’s vessels will begin in spring 2022.

TT-Line had to withdraw from a previous Memorandum of Understanding last summer due to the coronavirus pandemic. Negotiations resumed in March this year, initiated by the Tasmanian government.

Jyrki Heinimaa, CEO of Rauma Marine Constructions, is happy with how the two parties reached the agreement despite a very challenging situation worldwide.

“We are very grateful for the trust shown to us by TT-Line Company and their representatives. This agreement means that our customer believes that we can offer a world-class solution that is perfect for their business, even in challenging operating conditions,” he says.

“We eagerly await these three years of fruitful collaboration with RMC. The vessels will also make extensive use of the expertise of Tasmanian companies,” says Bernard Dwyer, CEO of TT-Line Company.

Construction of the new car and passenger ferries will begin in spring 2022. The first vessel will be delivered to TT-Line in late 2023 and the second one in late 2024. Once completed, the vessels will operate in challenging conditions on the Geelong–Devonport route running between mainland Australia and the island State of Tasmania. The ferries will accommodate 1,800 passengers and will have an approximate gross tonnage of 48,000. The vessels will replace the Spirit of Tasmania I and II, both built in Finland in 1998.

“An excellent continuation of RMC’s growth story and last year’s good result”
The agreement with TT-Line is a positive signal for RMC’s financial outlook for 2021, as it increases the company’s order book to approximately EUR 1.6 billion and increases the number of ship projects at the shipyard to four.

RMC also achieved an excellent financial result last year despite the global coronavirus pandemic. In 2020, the company’s net sales more than quintupled from EUR 38.1 million in the previous year to EUR 220.1 million. Operating profit, on the other hand, increased from EUR 1.9 million in the previous year to EUR 6.7 million.

“The agreement with TT-Line Company is an excellent continuation of RMC’s growth story and last year’s good result. We will continue on our set growth path to build car and passenger ferries in Rauma, which also means stable growth in the shipbuilding industry in Finland. Last year, we strengthened our personnel by almost 50 per cent, meaning our organisation is more than ready for a new 3,500-person-year project,” says Heinimaa.

In addition to TT-Line’s vessels, RMC is currently working on car and passenger ferries for Finnish shipping company Wasaline and Estonian shipping company Tallink, as well as four multi-purpose corvettes for the Finnish Defence Forces. After the challenges due to the coronavirus pandemic at the beginning of the year, production work has resumed to normal capacity. The company shut down production for a while in February after a cluster of coronavirus infections was revealed among workers at the shipyard. Following the detection of coronavirus cases, RMC immediately implemented a more strict safety plan, the functioning of which is being closely monitored. The coronavirus situation has been brought under control thanks to those safety measures.

Kilde: Rauma Marine Constructions


Illustrasjon: via Rauma Marine Constructions