Hyundai Heavy Industries (HHI) Receives Contract For Four VLCCs Worth $359 Million

Korea Shipbuilding & Offshore Engineering (KSOE) has won an order worth ₩420 Billion ($359m) for the construction of four very large crude carriers. The ships will be constructed by a subsidiary of KSOE, the Hyundai Heavy Industries (HHI)

The order was placed by companies from Europe and Oceania whose names were not disclosed. The tankers will have a length of 330 meters and a width of 60 meters. Featuring energy-efficient technologies, they will be equipped with scrubbers, complying with international environmental regulations. These ships are expected to be built at the shipyard in Ulsan and delivered during the first half of 2022.

With this contract, the Korea Shipbuilding has received orders for seven of a total of sixteen VLCCs ordered on a global scale, representing 40 per cent of the market share. The company expects to win additional orders thanks to energy-saving, eco-friendly technologies it developed in the ultra-large crude oil carrier sector.

HHI_yard_hyundai heavy industries
Image Credits: probunkers.com

Korea Shipbuilding, a sub-holding company of Hyundai Heavy Industries Holdings, comprises three shipbuilders — HHI, Hyundai Mipo Dockyard (HMD), and Hyundai Samho Heavy Industries (HSHI). To acquire Daewoo Shipbuilding & Marine Engineering (DSME), the Hyundai Heavy Industry Group divided Hyundai Heavy Industries into Korea Shipbuilding and Hyundai Heavy Industries Co.

This month, Hyundai Heavy Industries (HHI) entered talks with EU antitrust regulators regarding the $1.8 billion merger with DSME. The past month, the Competition and Consumer Commission of Singapore (CCCS) approved the merger between Korea Shipbuilding & Marine Engineering (KSOE) and DSME.

In December last year, the European Commission (EC) launched a detailed investigation into the merger of DSME and HHI. The organization halted the process in April as it was waiting for information to be provided by the companies, following which it set a deadline of 3 December for reaching a decision when it resumed the investigation in June.

Press Release

Latest Shipping News

Leave a Reply

Your email address will not be published.