Sembcorp Marine officially opened the first phase of its massive 206-hectare integrated yard in Tuas on Wednesday.

The first phase has a size of 73.3ha. It features four dry docks for very large crude carriers (VLCC) with a total dock capacity of 1.55 million deadweight tonnes, and piers and basin lengths totalling 3.9km.

It also has worker dormitories, with a centralised kitchen, sports facilities and laundry services.

Prime Minister Lee Hsien Loong, who was present as guest of honour, said the aim is to create a "shipyard of the future, which will significantly increase productivity".

He said the new yard will enable SembMarine to optimise the layout and facilities there while freeing up other land, which it is now occupying, for redevelopment.

The plan is to consolidate all of SembMarine's yards here by 2024, he added.

Phase 2 is expected to start operations in three to four years.