Daewoo Shipbuilding Wins Order for Two Ultra-Large LPG Carriers Worth 184.5 Billion KRW

Lee Seong-geun, President of Daewoo Shipbuilding & Marine Engineering (right in the photo), and Lee Gyu-bong, Chief Executive Officer of Hyundai LNG Shipping, are taking a commemorative photo after signing the construction contract at Daewoo Shipbuilding & Marine Engineering's Seoul office on the 29th. Photo by Daewoo Shipbuilding & Marine Engineering

[Asia Economy Reporter Choi Dae-yeol] Daewoo Shipbuilding & Marine Engineering announced on the 30th that it has secured an order for two very large liquefied petroleum gas (LPG) carriers (VLGC) worth 184.5 billion KRW.

The order was placed by Hyundai LNG Shipping, a domestic LNG specialized shipping company, and the vessels will be built at the Okpo Shipyard and delivered by the fourth quarter of 2023. These are 91,000㎥ class VLGCs equipped with LPG dual-fuel propulsion systems, making them eco-friendly ships. The company explained that the application of Daewoo Shipbuilding & Marine Engineering's fuel-saving technology has enhanced their economic efficiency.

Hyundai LNG Shipping previously ordered a large 173,400㎥ class LNG carrier from Daewoo Shipbuilding & Marine Engineering in 2015 to import shale gas produced in the United States to Korea. They have maintained a strong relationship, including signing a joint research agreement for smart ship technology development and demonstration in 2019.

Meanwhile, in addition to this contract, Daewoo Shipbuilding & Marine Engineering has secured orders this month for two dual-fuel very large LPG carriers and one very large crude oil carrier. Among the 24 vessels ordered this year, 20 (83%) are dual-fuel propulsion ships. While only three LPG carriers were ordered in the past two years, nine have already been ordered this year alone. A company official stated, "Our technological capabilities have been recognized by shipowners not only in LNG propulsion vessels but also in the very large LPG propulsion vessel sector."