MARCO Polo Marine 5LY : 5LY 0%announced on Wednesday (Jan 5) that it has been awarded a permit by the Indonesian authorities to conduct ship recycling activities, as its subsidiary ventures into green ship recycling.

Marcopolo Shipyard, a subsidiary of the integrated marine logistics company, has chosen to do so to help shipowners recycle their end-of-life ships in a safe and environmentally sound manner, the company said in a bourse filing.

The mainboard-listed company has also become the first shipyard in Indonesia to be certified and awarded the ISO 30000:2009 certificate.

The certification is recognised globally and is usually a prerequisite for shipowners as the industry looks to comply with new European Union regulations on ship recycling and the International Maritime Organization Hong Kong Convention.

Sean Lee, Marco Polo Marine's chief executive, said the company is excited to expand its shipyard services to include green ship recycling, in the light of the growing interest in sustainability in the industry.

"With the ISO certification by ABS Quality Evaluations, shipowners can be assured that their vessels are recycled in safe and environmentally sound facilities."

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Shares of Marco Polo Marine were trading flat at S$0.028 as at 9.50 am.