In a recent development, the South Korean shipbuilder Hyundai Heavy Industries (HHI) has announced that they have won a $390m contract from the European shipping firm to build two large liquefied natural gas (LNG) carriers, reports the Ship Technology.
Hyundai’s LNG Contracts
- Pursuant to the terms of the contract, HHI will build the two LNG carriers each measuring 299m-long, 48m-wide and 26.6m-tall.
- The carriers will be constructed by Hyundai Heavy Industries’ Ulsan Shipyard with delivery expected to start in 2022.
- Along with two LNG carriers, HHI won orders for five LNG carriers this year.
- Separately, two subsidiaries of HHI secured orders from anonymous clients to build a total of six tankers.
- Hyundai Mipo Dockyard has been awarded a contract to build four carriers for petrochemical products.
- Hyundai Samho Heavy Industries will construct two crude oil tankers (COTs) with a capacity of 158,000t each.
Hyundai’s Strategy
A Hyundai Heavy official told BusinessKorea: “Recently, we have been holding negotiations on LNG-related vessels such as LNG carriers, LNG-powered vessels, and LNG bunkering vessels as global environmental regulations will be strengthened.”
“Shipbuilding orders are expected to increase thanks to the brisk US energy exports, China’s eco-friendly consumption policy and large-scale LNG development projects by Qatar.”
Effectiveness of Hyundai’s System
- The company said that both the LNG ships will be equipped with its latest fuel-saving Mark III Flex Plus technology.
- They will also be equipped with high-efficiency single-mixed refrigerant technology, which enables the reliquefaction of gas evaporated from the ships.
- These new technologies will enable ship-owners to save $1m in fuel costs.
Future Prospects
For future deliveries, HHI is hopeful as the demand for the LNG-powered vessels is expected to increase due to the growing number for LNG development projects and energy exports.
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Source: Shiptechnology
