Firm builds world’s 4th largest shipyard in Misamis Oriental
CAGAYAN DE ORO CITY, Philippines -- The construction of what its South Korean builders claim will be the world’s fourth largest shipyard facility has started in Misamis Oriental.
The $2-billion facility is expected to employ about 45,000 people -- including engineers, welders, fabricators and administrative personnel -- within the next three years, when the facility is expected to become fully operational, according to Hanjin Heavy Industries and Construction Co. Ltd. and Philippine officials.
The facility is being built in an area covering 441.8 hectares at the Phividec Industrial Estate located in the towns of Villanueva and Tagoloan, some 30 kilometers east of this city.
Hanjin said the construction of the shipyard would put the Philippines on the list of countries with the largest shipyard facilities, after South Korea, Japan and China.
But there will be human costs.
More than 200 families in two villages in Villanueva town will have to be relocated to give way to the shipyard, according to project officials.
Other coastal villages in Tagoloan town will also be affected.
Yun So Kim, Hanjin administrative manager, said the company was on track with the project’s timetable and that it expected to finish the first phase within the second half of the year.
He said the completion of the first phase would enable Hanjin to produce 80,000 tons a year of outfittings and pipes, among other items.
Kim said the civil works started after the signing of a memorandum of understanding between Hanjin and the Phividec Industrial Authority (PIA) in Cagayan de Oro in January. President Gloria Macapagal-Arroyo witnessed the signing.
It would be Hanjin’s second shipbuilding complex in the country.
Hanjin also operates a shipyard in Zambales which, as of last October, had a total direct hire of nearly 5,000 people, according to the Subic Bay Metropolitan Authority.
The Hanjin shipyard in Zambales recently figured in the news when at least five workers died in two work-related accidents within the facility in a span of three months.
The SBMA found Hanjin guilty of violating at least seven safety standards and ordered the company to comply with international safety standards.
Kim said that aside from civil works aspect, Hanjin, together with PIA, began public consultations in areas that would be affected by the construction of the Misamis Oriental facility.
During the consultations, communities voiced concern over relocation and livelihood issues, citing the failure of the PIA in the past to address their needs.
The PIA is the government agency mandated to administer the 3,000-hectare Phividec estate and takes charge of the relocation of the affected communities.
In a recent consultation with residents of the village of Tambobong in Villanueva, village officials criticized the PIA for not keeping commitments it made to families displaced by projects within the estate.
Some residents also said their crops were bulldozed without prior notice.
“We admit that the lands where our houses are standing are not ours. We are just occupants here. But what we only ask is the assurance that we will be justly compensated with the cost of building our houses, including the crops that we’ve planted,” village leader Delilah Abellanosa said.
Hanjin said it assured residents they would be compensated fairly for the crop damage as a result of the shipyard’s construction.
Kim said that for Phase 1 from 2008 to 2009, Hanjin would be investing $720 million for the purchase of shipbuilding facilities from Aveva and other foreign manufacturers.
“We started importing materials from Korea and other countries last January. We also use local materials but these are more expensive,” Kim said.
He said the $2 billion that Hanjin was sinking in the project was the company’s biggest investment yet outside of South Korea.
Kim said Hanjin was also focusing on developing the skills of its newly hired engineers so they could meet the company’s standards in shipbuilding.
“We already have a training center within the Hanjin compound (in Phividec) where all those who will be hired will undergo skills development,” Kim said.
Hanjin has said it is trying to thresh out land issues that delayed the project last year, such as the issue with the Jacinto group of companies, which previously owned part of the 441.8 hectares targeted for the shipyard.
The $2-billion facility is expected to employ about 45,000 people -- including engineers, welders, fabricators and administrative personnel -- within the next three years, when the facility is expected to become fully operational, according to Hanjin Heavy Industries and Construction Co. Ltd. and Philippine officials.
The facility is being built in an area covering 441.8 hectares at the Phividec Industrial Estate located in the towns of Villanueva and Tagoloan, some 30 kilometers east of this city.
Hanjin said the construction of the shipyard would put the Philippines on the list of countries with the largest shipyard facilities, after South Korea, Japan and China.
But there will be human costs.
More than 200 families in two villages in Villanueva town will have to be relocated to give way to the shipyard, according to project officials.
Other coastal villages in Tagoloan town will also be affected.
Yun So Kim, Hanjin administrative manager, said the company was on track with the project’s timetable and that it expected to finish the first phase within the second half of the year.
He said the completion of the first phase would enable Hanjin to produce 80,000 tons a year of outfittings and pipes, among other items.
Kim said the civil works started after the signing of a memorandum of understanding between Hanjin and the Phividec Industrial Authority (PIA) in Cagayan de Oro in January. President Gloria Macapagal-Arroyo witnessed the signing.
It would be Hanjin’s second shipbuilding complex in the country.
Hanjin also operates a shipyard in Zambales which, as of last October, had a total direct hire of nearly 5,000 people, according to the Subic Bay Metropolitan Authority.
The Hanjin shipyard in Zambales recently figured in the news when at least five workers died in two work-related accidents within the facility in a span of three months.
The SBMA found Hanjin guilty of violating at least seven safety standards and ordered the company to comply with international safety standards.
Kim said that aside from civil works aspect, Hanjin, together with PIA, began public consultations in areas that would be affected by the construction of the Misamis Oriental facility.
During the consultations, communities voiced concern over relocation and livelihood issues, citing the failure of the PIA in the past to address their needs.
The PIA is the government agency mandated to administer the 3,000-hectare Phividec estate and takes charge of the relocation of the affected communities.
In a recent consultation with residents of the village of Tambobong in Villanueva, village officials criticized the PIA for not keeping commitments it made to families displaced by projects within the estate.
Some residents also said their crops were bulldozed without prior notice.
“We admit that the lands where our houses are standing are not ours. We are just occupants here. But what we only ask is the assurance that we will be justly compensated with the cost of building our houses, including the crops that we’ve planted,” village leader Delilah Abellanosa said.
Hanjin said it assured residents they would be compensated fairly for the crop damage as a result of the shipyard’s construction.
Kim said that for Phase 1 from 2008 to 2009, Hanjin would be investing $720 million for the purchase of shipbuilding facilities from Aveva and other foreign manufacturers.
“We started importing materials from Korea and other countries last January. We also use local materials but these are more expensive,” Kim said.
He said the $2 billion that Hanjin was sinking in the project was the company’s biggest investment yet outside of South Korea.
Kim said Hanjin was also focusing on developing the skills of its newly hired engineers so they could meet the company’s standards in shipbuilding.
“We already have a training center within the Hanjin compound (in Phividec) where all those who will be hired will undergo skills development,” Kim said.
Hanjin has said it is trying to thresh out land issues that delayed the project last year, such as the issue with the Jacinto group of companies, which previously owned part of the 441.8 hectares targeted for the shipyard.
Labels: cagayan de oro, hanjin, misamis oriental, shipbuilding, welders
posted by OlongapoCity Zambales at
6:03 AM
0 Comments:
Post a Comment
<< Home