Malta Shipyards Ltd has secured a contract for the conversion of a heavy lift barge for a Dutch client, the company said in a statement yesterday.

“This very significant contract will include lengthening, fitting of propulsion equipment and fitting of the accommodation facilities,” the company said.

The contract value is in excess of Lm7 million and will commence immediately with completion planned for the fourth quarter this year. It is anticipated that the works could lead to an additional contract.

The company expects to secure another significant offshore contract during this month, with work to commence in May to last for approximately three months.

This work will provide the Shipyards with the turnover necessary for 2006, the company said.

Over the last three years the Shipyards have been successful in reducing reliance on the shiprepair sector, moving into other areas of business that offer better commercial value. This diversification covers areas such as offshore repair (oil rigs) cruise liners, offshore construction and specialist conversion works.

To secure the Shipyards’ future and that of its employees in 2006 and beyond, it is vital that further improvement be made with respect to timekeeping and production efficiency to register the necessary and planned significant reduction in the losses, the company said. Now that the turnover targets for the year are nearly secured, it is up to the Shipyard and its employees to deliver, it concluded.