Hyundai Samho signs $370m contract with CMM to build two LNG carriers

27 November 2018 (Last Updated November 27th, 2018 12:25)

South Korean company Hyundai Samho Heavy Industries has signed a $370m contract with Greece-based Consolidated Marine Management (CMM) for the construction of two liquefied natural gas (LNG) carriers.

Hyundai Samho signs $370m contract with CMM to build two LNG carriers
Hyundai Heavy Industries shipyard in South Korea. Credit: SarahTz / Wikipedia.

South Korean company Hyundai Samho Heavy Industries has signed a $370m contract with Greece-based Consolidated Marine Management (CMM) for the construction of two liquefied natural gas (LNG) carriers.

The carriers will be 174,000m³ in size, according to Hyundai.

The three Hyundai Heavy Industries (HHI) Group shipbuilding units, Hyundai Heavy Industries, Hyundai Mipo Dockyard, and Hyundai Samho, have a total of 22 orders in place for LNG carriers so far this year.

The units are said to have achieved almost 90% of their $13.2bn target for this year by securing 139 orders worth $11.8bn.

An HHI official told media sources: “Differentiated technology and solid financial soundness have helped raise confidence by global ship owners.

“Our efforts to focus on high-value-added vessels like LNG carriers amid signs of recovery in the shipbuilding industry have been paying off.”

Hyundai Samho’s developed the Hi-ERS reliquefaction, Hi-ReGAS regasification, and the bunkering fuel supply system for LNG vessels.

“Our efforts to focus on high-value-added vessels like LNG carriers amid signs of recovery in the shipbuilding industry have been paying off.”

In August, HHI announced plans to transition into a holding company structure, which involves mergers and sale of stakes.

The company’s restructuring started in 2016 to make its corporate governance structure transparent.

In an announcement to the Korean Stock Exchange, the group said that its restructuring was concluded through mergers of subsidiaries.

This enabled HHI to take direct control of Hyundai Mipo Dockyard and Hyundai Samho Heavy Industries.