HD Korea Shipbuilding & Offshore Engineering Achieves 53% of Annual Order Target

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Since the beginning of this year, HD Korea Shipbuilding & Offshore Engineering (HD KSOE) has achieved over 50 percent of its 2024 annual order target within just two months.

HD KSOE announced on March 4 that it had signed construction contracts for two medium-sized liquefied petroleum gas (LPG) carriers with a European shipping company and four product carriers (PC) for petroleum chemical products with a shipping company in Oceania.

The total contract amount is 586 billion won (US$439.61 million). This comprises 214.7 billion won for two LPG carriers and 371.3 billion won for four PC vessels. The LPG carriers and PC carriers contracted this time will be constructed at Hyundai Mipo Dockyard in Ulsan and Hyundai Vietnam Shipbuilding, respectively. They are scheduled to be delivered to the shipowners in December 2026 and June 2027.

With the latest contract, HD KSOE has secured a total of 58 vessels since the beginning of the year, amounting to US$7.16 billion. This achievement represents 53 percent of its annual goal of US$13.5 billion. The types of vessels contracted include six liquefied natural gas (LNG) carriers, 21 PC vessels, 21 LPG and ammonia carriers, one ethane carrier, two liquefied carbon dioxide carriers, two very large crude carriers (VLCC), two tankers, two pure car and truck carriers (PCTC), and one offshore facility.

HD KSOE is currently focusing on securing orders for high-value added vessels such as ultra-large LNG carriers and ultra-large ammonia carriers. By selectively pursuing orders for high-value environmentally friendly vessels, which are considered lucrative, it is expected that the company’s performance will improve rapidly.

In particular, the orders secured in 2022 are now entering full-scale construction and delivery phases from this year onward. As more than 40 percent of the annual order target has already been achieved, it is anticipated that operating profits will be maximized in the near future.