DEME has achieved an outstanding performance in the first half of 2024, with its Dredging & Infra segment reporting a turnover of nearly one billion euros—a substantial 39% increase compared to the same period last year. This growth underscores DEME’s leadership in the global dredging and infrastructure sectors.
Strong Growth in Europe: Key Projects and Achievements
Maintaining Access to Critical European Ports
In Europe, DEME’s Dredging & Infra division has continued its vital maintenance work on key contracts across Belgium and Germany, ensuring uninterrupted access to some of the continent’s most critical ports. A major highlight is the ongoing expansion of the Kiel Canal in Germany, a crucial waterway for European trade.
Expanding Infrastructure in the United Kingdom
In the United Kingdom, DEME’s expertise was further validated by securing a new contract to maintain the access channel to London Gateway Port along the River Thames. This contract follows the successful completion of a major berth construction project, emphasizing DEME’s capability in large-scale infrastructure development.
Italy and France: Modernization and Deepening Projects
Modernization Initiatives in Italy
In Italy, DEME’s Dredging & Infra segment is at the forefront of modernization projects in Ravenna and Augusta, Sicily. The team is also preparing for extensive port expansion works in Livorno, Naples, and Cagliari, Sardinia, positioning Italy as a key area of growth for the company.
Deepening and Rock Dredging in France
In France, DEME successfully completed rock dredging operations at La Pallice, La Rochelle, and continued with deepening projects at the harbor of Port-La Nouvelle. The civil works at Port-La Nouvelle have progressed to a new phase, marked by the construction of a state-of-the-art jetty.
The Netherlands: Major Infrastructure Projects Near Completion
Inauguration of the Rijnlandroute and Corbulotunnel
In the Netherlands, a significant milestone was achieved with the official opening of the Rijnlandroute project in Leiden, including the much-anticipated ‘Corbulotunnel’ in July. This project showcases DEME’s ability to deliver complex infrastructure solutions on time.
Advancing the New Lock Terneuzen and Blankenburg Connection
Additionally, the New Lock Terneuzen and Blankenburg Connection projects are approaching completion. These projects are notable not only for their size and complexity but also for their importance in enhancing the Dutch infrastructure network.
Belgium: Progress in Tunnel Construction and Offshore Energy
Construction of the Scheldt Tunnel
In Belgium, DEME made significant strides in constructing tunnel elements for the Scheldt Tunnel, a key component of the Oosterweel Connection project in Antwerp. This project is critical for improving traffic flow and reducing congestion in the region.
Offshore Energy: Belgian Princess Elisabeth Island
Furthermore, DEME has begun construction on the first caissons for the Belgian Princess Elisabeth Island. The initial marine works, including seabed preparation and foundation layer installation, are well underway. This project is further bolstered by DEME’s Offshore Energy division securing a substantial subsea cabling contract to connect the energy island with the Belgian electricity grid.
International Expansion: Asia Pacific, West Africa, and the Middle East
Strengthening Presence in Asia Pacific
DEME’s Dredging & Infra segment is making significant inroads in the Asia Pacific region, undertaking crucial port maintenance projects in India and Malaysia, as well as land reclamation works in the Maldives. These efforts are complemented by seabed preparation for offshore energy projects in Malaysia, Taiwan, and Australia.
Coastal Protection and Reclamation in West Africa
In West Africa, DEME has launched a coastal protection project in the Ivory Coast, while continuing land reclamation efforts in Nigeria. The company also has ongoing maintenance dredging projects in Congo, Angola, Gabon, and Guinea, reinforcing its commitment to the region.
Expanding Operations in the Middle East
In the Middle East, DEME continues to advance capital dredging and land reclamation projects, particularly for the extension of the port of Abu Qir in Egypt. In Abu Dhabi, multiple hopper and cutter suction dredgers remain in active operation. Additionally, DEME is progressing with the Oxagon Phase 2 project in Saudi Arabia, a large-scale endeavor that involves extensive dry earth excavation in preparation for upcoming cutter suction dredging activities.
Increased Vessel Utilization and Financial Performance
High Vessel Occupancy Rates
Vessel utilization rates for DEME’s trailing suction hopper dredger fleet and cutter fleet saw a marked increase in the first half of 2024. This rise in occupancy is attributed to a series of recent contract wins and a strong project backlog, reflecting DEME’s growing market demand.
Improved EBITDA Margin
Financially, the EBITDA margin for DEME’s Dredging & Infra segment climbed to 19% in the first half of 2024, up from 14% in the same period last year. This improvement is largely driven by elevated activity levels and the successful execution of complex projects, further solidifying DEME’s position as a leader in the global dredging and infrastructure industries.
Conclusion: DEME’s Continued Excellence in Dredging and Infrastructure
DEME’s strong performance in the first half of 2024, marked by significant project milestones and financial gains, sets a high benchmark for the industry. With a robust pipeline of projects across Europe, Asia Pacific, West Africa, and the Middle East, DEME is well-positioned to continue leading in the dredging and infrastructure sectors.