DSME receives two VLCC order from BW Group

1 August 2016 (Last Updated August 1st, 2016 18:30)

South Korean Daewoo Shipbuilding & Marine Engineering (DSME) has won a $179.2m order to build two very large crude carriers (VLCCs) for Singapore-based oil and gas ship-owner BW Group.

South Korean Daewoo Shipbuilding & Marine Engineering (DSME) has won a $179.2m order to build two very large crude carriers (VLCCs) for Singapore-based oil and gas ship-owner BW Group.

As part of the order, DSME will build two 318,000t VLCCs at the Okpo Shipyard in Geoje South Korea.

Scheduled to be delivered by 2018, the vessels will be 336m in length and 60m in width.

"The company has ordered a total of 63 vessels from DSME and has taken delivery of 53 vessels."

The latest order has brought DSME’s orders for this year to a total of ten, worth $1bn, namely two liquefied natural gas (LNG) carriers, six oil tankers, and two special vessels, reported Business Korea.

In 2000, BW Group placed an order for three crude oil carriers with DSME.

Furthermore, BW Group has ordered has four LNG carriers and four very large liquefied petroleum gas (LPG) carriers over the last two to three years.

So far, the company has ordered a total of 63 vessels from DSME and has taken delivery of 53 vessels.

The partnership between the two companies has witnessed an order for more than $4bn over the years, reported Maritime Herald.

In June this year, DSME won an order for four ships from Greece-based ship-owner Angelicoussis Shipping Group (ASGL).

DSME is reportedly battling a financial crisis because of low liquidity and regularly falling cash flow, and the latest order from BW Group, along with other previous orders, is expected to bring a new lease of life to the shipbuilder.