Samsung Heavy Industries secures contract to build two LNG carriers

11 June 2019 (Last Updated June 11th, 2019 11:42)

South Korea-based shipbuilder Samsung Heavy Industries (SHI) has secured a contract to construct two liquefied natural gas (LNG) carriers.

South Korea-based shipbuilder Samsung Heavy Industries (SHI) has secured a contract to construct two liquefied natural gas (LNG) carriers.

In a stock exchange announcement, SHI said that the company has won the order valued at approximately KRW450bn ($381m) from a Bermuda-registered client.

The shipbuilder said that the LNG carriers are scheduled to be delivered by the end of June 2022.

Until now, Samsung Group’s core subsidiary SHI has won contracts to build ten LNG ships and one floating production storage and offloading (FPSO) vessel.

In May, SHI secured a $190m order to construct one LNG-carrying vessel to be delivered by March 2022 to an anonymous Oceania-based ship owner.

For this year, SHI said that its order book stands at eight LNGC and one FPSO at a total of $2.6bn.

SHI specialises in building added-value and special purpose vessels, including LNG carriers, offshore-related vessels and oil drilling ships. The company has set a target to book a combined $7.8bn in orders this year.

In February, SHI informed the Korean stock exchange that the company won an order worth KRW870bn ($774m) to build four LNG carriers for a US-based customer.

In January, the company signed its first LNG carrier contract to build two units worth KRW419bn ($360m) for Celsius Tankers based in Denmark.

Meanwhile, in a separate development, SHI announced that the design of its LNG-powered, 300,000t very large crude carrier (VLCC) won the in-principle approval by Lloyd’s Register.

The VLCC is fitted with SHI’s proprietary LNG fuel supply system S-Fugas and fuel-saving device Saver Air.