Guangzhou has received the go-ahead to begin construction on a big ship-production base that could help advance the southern metropolis' status as a major Chinese ship producer.

The first phase of Longxue Ship Production Base, formally approved by the National Development and Reform Commission early this week, includes the construction of two dry docks, each of which are equipped to build a 308,000-ton ocean-going tanker. These oil carriers will measure up to 330 m.

The project, which will cost more than 6.2 billion yuan, is expected to be operational by 2009, according to Guangzhou-based New Express Daily.

It will be the largest ship production base in Guangdong.

Located on Longxue Island at the mouth of the Pearl River, the new facility is designed to be able to build 12 ocean-going container vessels and another 12 ocean-going oil carriers annually. The project covers an area of 556.5 hectares, with a coastline of more than 4,500 m.

The facility will be able to produce vessels weighing more than 300,000 tons, and officials expect it to rake in some 8 billion yuan annually.

With the completion of the project, Guangdong's ship-building capacity will reach 3 million tons in 2010 and more than 4 million tons in 2015.

Currently, Guangzhou Shipyard International Co Ltd, Wenchong Shipyard and Huangpu Shipyard, Guangdong's three major shipyards, have the capacity to produce up to 800,000 tons of ships a year. None on them presently have the capacity to build a single vessel of more than 60,000 tons.

(China Daily September 21, 2007)