Vestværftet was established on November 8th 1995 by Ernst Kristensen, Leo Nielsen, Bent Kristensen and Ove Kristensen.
Ernst and Leo were the driving forces in the start-up phase, with the first newbuilding RI 426 Mette Janni delivered in 1996. This was followed by a number of new buildings for Danish shipowners and there was an urgent need for additional facilities in the form of a smaller hall at the north harbor. The hall housed both carpenters and blacksmiths, as well as a canteen and office.
More and more new buildings were made – and more space was needed. Another expansion was made in the form of a canteen, office, and a hall for the blacksmiths.
In 1997, the need to dry and repair the ships became so great that the shipyard bought a floating dock that could lift 200 tons. It quickly became too small and it was decided to build a slipway with 2 tracks for 400 tons.