Cochin Shipyard Limited announced that its wholly owned subsidiary, Udupi Cochin Shipyard Limited (Udupi-CSL), has secured a Notable order from Ocean Sparkle Limited, an Adani Group Company, for the construction of four Azimuthing Stern Drive (ASD) Tugs with 70 T Bollard Pull Power. The order is valued between ₹100 crore and ₹250 crore, consistent with the company's Notable order classification. The disclosure was made via a regulatory filing dated May 07, 2026.

Order Details

The following table summarises the key parameters of the order:

Construction Standards

The four ASD Tugs will be constructed in accordance with the Approved Standard Tug Design and Specifications (ASTDS) promulgated by the Ministry of Ports, Shipping & Waterways (MoPSW), Government of India. This standardised framework ensures compliance with national maritime guidelines for tug design and construction.

Order Classification Framework

Cochin Shipyard classifies its orders based on value thresholds as outlined below:

As per this classification, the current order falls within the Notable category, indicating an order value in the range of ₹100 to ₹250 crore.

Related Party Disclosure

Cochin Shipyard confirmed that none of the promoters, promoter group, or group companies have any interest in Ocean Sparkle Limited, the entity that awarded the order. The company further clarified that the order does not fall under the purview of related party transactions.

The Cabinet Committee on Economic Affairs, chaired by the Prime Minister, has approved the development of a state-of-the-art Ship Repair Facility at Vadinar, Gujarat. The project will be jointly implemented by Deendayal Port Authority (DPA) and Cochin Shipyard Limited (CSL) under the aegis of the Ministry of Ports, Shipping and Waterways (MoPSW), Government of India, with a combined investment of Rs.1,570 crore. The facility is planned as a brownfield development featuring a 650 metres jetty, two large floating dry docks, workshops, and associated marine infrastructure, all targeted for completion within 36 months.

Project Structure and Investment Breakdown

The project involves a clearly defined division of responsibilities and investment between the two implementing agencies. The following table summarises the key project parameters:

DPA will be responsible for developing civil infrastructure, including jetties, at an estimated cost of Rs.650 crore. CSL will invest approximately Rs.920 crore in ship repair infrastructure, including two large floating docks, and will operate the facility upon completion. The project will be financed through a combination of internal resources and debt.

Strategic Location and Rationale

Vadinar's natural deep draft, connectivity to major shipping routes, and proximity to key ports such as Mundra and Kandla make it an optimal location for ship repair operations, particularly for large commercial and foreign-flagged vessels. The facility directly addresses a critical gap in India's ship repair infrastructure, as the country currently lacks adequate domestic capacity to repair large vessels exceeding 230 m in length.

Cochin Shipyard's existing facilities are primarily designed to accommodate vessels up to 250 m in length. The proposed Vadinar facility will extend this capability to vessels ranging from over 250 m up to 300 m in length, enabling high-value repairs of large vessels within India and significantly reducing dependence on foreign shipyards, thereby curbing foreign exchange outflow.

Employment and Economic Impact

The Vadinar Ship Repair Facility is expected to generate broad economic and employment benefits across the region. Key anticipated outcomes include:

• Direct employment: Approximately 290 direct jobs across ship repair and related operations
• Indirect employment: Around 1,100 indirect jobs in logistics and ancillary industries
• MSME development: Catalysing growth of maritime ancillary services and MSMEs in the surrounding region
• Skill development: Creating opportunities for skill development in the maritime sector
• Port competitiveness: Enhanced turnaround times and strengthened repair capability on the western coast

Alignment with National Maritime Vision

The initiative is aligned with India's long-term maritime objectives under Maritime India Vision 2030 and Maritime Amrit Kaal Vision 2047. By bolstering domestic ship repair capacity on the western coast, the project is expected to improve the overall competitiveness of Indian ports and contribute to regional economic growth. The disclosure was made by Cochin Shipyard under Regulation 30 of the SEBI LODR Regulations, with the formal communication signed by Company Secretary Syamkamal N on May 06, 2026.