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BLRT Grupp AS chairman Fjodor Berman has said that demand for fuel-efficient ships is increasing at a rapid rate.

Fiskerstrand BLRT, a joint company of the BLRT Group and Fiskerstrand Verft, recently won a contract to construct the world's largest gas-fuelled passenger ferry, which is expected to cost approximately 800 million Estonian kroons (US$ 67 million).

The double ended passenger/vehicle ferry will be built for the Norwegian operator Fjord1.

Speaking about the shipbuilding market, Fjodor Berman, chairman of the management board of the BLRT Group, said: "After the unprecedented decline in ship construction the market is finally showing signs of improvement, thanks to stabilisation in the finance sector. That said, the improvement we're seeing is fairly small-scale, and demand on the ship-building market is likely to remain below production capacity for the next couple of years."

Commenting on demand for fuel-efficient ships, Berman said "Demand for environmentally-friendly and fuel-efficient vessels is rising rapidly. This new ferry will reduce NOX emissions by almost 90%."

The ferry is due for completion by the end of 2011 and will operate in Norway. It will be 129.9 metres long and 19.2 metres wide with a deadweight of 1,300 tonnes, giving a capacity of 242 cars or its equivalent of 22 trucks plus cars on two decks, and it will accommodate up to 600 passengers.

Berman added that flexibility and keeping a careful eye on market trends have helped BLRT remain competitive and win a number of tenders, including this latest one.

Fjord1 transported more than two million cars and goods vehicles in 2009. Growing service volumes and the desire to boost service quality and provide more regular services were the factors behind the company ordering the new vessel.

The new ferry will be put into service on the Arsvågen-Mortavik route in Bokna Fjord in Norway, which is one of the three busiest routes of its kind in the country.