Fincantieri’s framework agreement with Iran

Trieste - In the presence of Prime Minister Matteo Renzi and President of Iran Hassan Rouhani, at an official state visit to Italy, Fincantieri signed a series of framework agreements with a number of leading Iranian companies. These preliminary agreements are preparatory to the pursuit of contracts worth several hundreds of millions of euros and to the potential development of joint activities. In particular, Fincantieri reached a cooperation and development agreement with Azim Gostaresh Hormoz Shipbuilding Industry Co. (AGH), a new Iranian shipbuilding complex that is strategically positioned in the Persian Gulf inside the “Persian Gulf Special Economic Zone”. AGH is controlled by Iran Shipbuilding and Offshore Industries Complex Company (ISOICO), which in turn belongs to the Industrial Development & Renovation Organization of Iran (IDRO), one of the largest Iranian companies that is active in the process of developing and industrialising the country. This agreement calls for cooperation between the two companies both in the construction of new merchant ships and offshore units and in the marine repair and conversion sector, plus refitting units that are already in operation.

In particular, the collaboration will concern the development of detailed designs of vessels, the optimisation of construction processes, consulting and technical assistance in all phases of production and the training of personnel both on site and in Italy. To that end, the two companies will soon create working groups focused on these activities to establish synergetic cooperation and develop a solid commercial partnership in this area. Furthermore, Fincantieri, through its subsidiary Isotta Fraschini Motori, signed two further agreements concerning the marine propulsion sector and the road haulage sector. To get into the specifics, Isotta Fraschini Motori signed an agreement with Arka Tejarat Qeshm (ATQ), one of Iran’s most solid trading companies, to draw up a joint proposal for the provision of 600 marine propellers for minor units for the Iranian Governmental User (IGU), and signed an agreement with Wagon Pars Co. (WPC), in partnership with Titagarh Firema Adler, a company that produces rolling stock. WPC is an Iranian company that builds railway vehicles, and the agreement is for the drawing up of a joint proposal for the provision of 70 engines for shunting locomotives for the Iranian Railway (RAI).