HD Korea Shipbuilding & Offshore Engineering has secured an order for four very large ammonia carriers  from an Africa-based shipowner, bringing it closer to achieving its annual order target. The contract is valued at a total of 630.1 billion won, or approximately $463.75 million, with an average price of around 157.5 billion won per vessel.

HD Korea Shipbuilding & Offshore Engineering, the shipbuilding intermediate holding company of HD Hyundai, disclosed on Nov. 6 that it had signed the shipbuilding contract with the African shipowner on Nov. 5. The vessels will be built by HD Hyundai Heavy Industries at its shipyard in Ulsan and are scheduled for sequential delivery through the first half of 2030. The contract runs through May 31, 2030, with payments to be made according to construction progress.

Including the latest order, HD Korea Shipbuilding & Offshore Engineering’s year-to-date order intake has provisionally reached 193 vessels worth a combined $21.2 billion. This represents approximately 91% of its annual target of $23.31 billion. The company would meet its full-year target by securing an additional $2.11 billion in orders by the end of the year.

By vessel type, environmentally friendly gas carriers account for a substantial share of the company’s orders. LPG, ammonia and liquefied carbon dioxide carriers, a category that includes the newly contracted VLACs, total 62 vessels, or approximately one-third of all orders by vessel count.

Orders for other vessel types have also remained steady. Product carriers account for 59 vessels, followed by 38 container ships, 17 liquefied natural gas (LNG) carriers and 11 crude oil tankers. The company has also secured orders for two pure car and truck carriers (PCTCs), two roll-on/roll-off (RoRo) vessels and two other vessels, including an icebreaker and a floating storage and regasification unit (FSRU).

Industry observers attribute the company’s performance to its selective ordering strategy, which focuses on high-value-added vessels and helps maintain a stable order backlog. The company is also seeking to strengthen profitability by expanding its presence in the market for next-generation vessels, including ammonia carriers.

Source:Business Korea