Kyklades cancels Sungdong’s only remaining orders

Sungdong / KOR 5-2017

Embattled Sungdong Shipbuilding & Marine Engineering has lost the only contracts left in its orderbook, adding uncertainty about its future. At present it is in receivership.

According to shipbrokers and South Korean media reports, Greek owner Kyklades Maritime has terminated orders for five 115,000 dwt Aframax oil tankers that were originally commissioned in February 2015.

Doubts over the viability of the orders had been looming as Sungdong’s banks withheld refund guarantees because of concerns about the shipbuilder’s financial health.

Kyklades is understood to have previously requested a postponement of the vessels’ construction and the steel-cutting ceremony, which had originally been scheduled for 4 January.




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