South Korean shipbuilder HD Hyundai Heavy Industries has booked a massive $3.9 billion order, the largest single order ever placed with one of the country’s shipbuilders. The announcement of the contract came at the end of a state visit by South Korea’s President Yoon Suk Yeol to Qatar and meetings with QatarEnergy.
The state visit was designed to expand ties between the two countries and build trade opportunities coming after similar efforts by the South Korean president with neighboring countries including Saudi Arabia and the United Arab Emirates. Among the agreements with Qatar, they look to expand cooperation with the LNG industry as well as technology and defense.
QatarEnergy in 2020 had signed a massive deal with South Korea’s three largest shipbuilders reserving construction spots for new LNG tankers. The construction is tied to Qatar’s efforts to expand its LNG production and exports with the opening of the North Field expansion project.
According to officials traveling with President Yoon, the contract for HD Hyundai secures work into 2027 and beyond. The shipbuilder received firm orders for 17 LNG vessels, although reports are they provided a discounted price of just under $230 million per vessel. That is as much as 13 percent lower than other recent contracts. Analysts are however citing expected cost savings in design and material costs due to the size of the order.
“This accounts for almost half of the shipbuilder’s yearly orders and improves the share of the global LNG carrier market held by Korean companies to 81 percent from 74 percent,” senior presidential secretary for economic affairs Choi Sang-mok told reporters after the contract signing. He reported that both Hanwha Ocean and Samsung Heavy Industries are also negotiating deals with QatarEnergy under the 2020 master reservation agreement. Choi said they expect as many as 30 more vessels will be ordered between the other two major shipbuilders.
They highlighted that QatarEnergy has already been linked to 65 orders for LNG carriers placed during 2022. South Korea’s shipbuilders won the contracts for 54 of the vessels, but 11 were also awarded to their Chinese rivals. South Korea is anxious to maintain its lead in the segment as LNG carriers are the highest-value ships built by its companies.
During the state visit, Yoon reportedly secured a total of $4.6 billion in agreements with companies in Qatar. The president’s staff cited the broad reach of the 12 deals and memorandums covering everything from shipbuilding to self-driving cars, solar technology, and the medical and financial industries. The announcements came at the end of a six-day visit to Qatar and Saudi Arabia. Investments and deals signed in Saudi Arabia are reported to be valued at a further $15.6 billion for South Korea.
In June, a UK Royal Navy destroyer and Dutch Royal Navy ship safely moored in Odessa, Ukraine, were spoofed to locations off-shore of a Russian naval base on Crimea. One week later, it was a US Navy ship moored in the same port that was spoofed (above). These are interesting cases in several ways. First, how […]
A massive fire broke out at the Port of Beirut on Thursday, incinerating a warehouse full of tires and oil within the port’s free zone. The same area was heavily damaged in the ammonium nitrate explosion that leveled the central port area and the adjacent waterfront on August 4. According to Lebanon’s civil defense agency, […]
Over the course of the past five days, the Australian Maritime Safety Authority arranged a medical intervention for an injured aboard a freighter in the Indian Ocean. On Saturday evening, the Spliethoff tweendecker Dolfijngracht called for assistance while under way about 1,000 nauical miles off the coast of Western Australia. A crewmember had sustained serious […]
The UK government’s new post-Brexit tariff regime will result in both winners and losers. The new regime is set to replace the European Union’s Common External Tariff from the end of the Brexit Transition Period on December 31, 2020. The UK’s commitment to the ongoing Brexit process and ending the UK’s transition from EU membership […]
As the shipping industry works to develop its path towards decarbonization, one large shipowner has decided to use the existing technology to start a conversion to methanol while longer-term solutions continue to be developed. Eastern Pacific Shipping, which has a fleet of containerships, dry bulk carriers, and tankers totally 15 million dwt, will work with […]
The First DP2, Twin-Hulled SOV in the World, NB72 Groene Wind met the Sea on September 29. 2020 in Yalova, Turkey. The Groene Wind will be directly chartered to Siemens Gamesa Renewable Energy for the maintenance of the Rentel and Mermaid & Seastar (known as SeaMade) offshore wind farms in Belgium. This is the first DP2, […]
The U-Freight Group (UFL), with its considerable involvement in eCommerce logistics, says that the latest statistics showing that global e-commerce sales hit $25.6 trillion in 2018 are a further vindication of its decision to enter this sector of the international freight market several years ago. The latest available estimates, up 8% from 2017, were recently […]
DSV Belgium has solid experience in the transport of pharmaceutical products for different customers. With a pharma hub based at Brussels Airport a lot of experience and know-how has been built up over the years. Last weekend, the forwarder handled one hundred million mouth masks, an important milestone for its Belgian organisation that has put […]
With close to 100 daily cargo flights operated to a destination network spanning more than 65 cities across six continents, Emirates SkyCargo is delivering essential supplies and commodities to people around the world. The air cargo carrier is currently operating 11 Boeing 777 freighter aircraft, each with a capacity to transport about 100 tonnes of […]
Operators can continue to use pilots and other crew members who have unable to comply with certain training, recent experience, testing, and checking requirements due to the COVID-19 outbreak in support of essential operations. Additionally, this Special Federal Aviation Regulation (SFAR) provides regulatory relief to certain persons and pilot schools unable to meet duration and […]
Callan Marine is serving as the prime contractor to the Texas Department of Transportation for a maintenance dredging project located at the Bolivar Ferry Terminal, in Galveston, Texas. Work began in May and is estimated to be complete in late July 2020. The project consists of the removal of 600,000 cubic yards of material and […]
Astral Aviation has increased its intra-African network with cargo freighters during the pandemic. While there has been a reduction in capacity to, from, and within Africa, which has been caused by a stoppage of passenger flights and limited frequencies on freighter aircraft, Astral Aviation continues to operate cargo freighters from its Nairobi hub to 13 destinations […]
The naval forces of the US and Bahrain recently staged a joint force training exercise which showcased the interoperability between coalition warships operating I the Arabian Gulf. Coalition Task Force Sentinel executed combined exercise Sentinel Shield supporting Sentry and Sentinel patrols in the coalition’s area of operations. The guided-missile destroyer USS John Paul Jones and […]
Best known as a leading passenger airport serving Germany’s most populated federal state North Rhine-Westphalia, Düsseldorf has become transformed into a vital distribution point, during the COVID 19 pandemic, for medical equipment and other life-saving goods, mostly from China. Gerton Hulsman, managing director of cargo operations, reports that the handling teams are working hard to […]
Emirates SkyCargo has expanded its weekly scheduled cargo flight operations to cover 75 destinations across six continents. Through its wider reach, Emirates SkyCargo is able to transport essential commodities and other urgently needed cargo more rapidly across the world, allowing exporters and importers across markets to benefit from direct access to widebody cargo capacity. Some […]
The National Transportation Safety Board (NTSB) has released a Marine Accident Brief about an accident that occurred on April 15, 2019, involving the towing vessel DeJeanne Maria which struck the end of a submerged dredge pipeline while pushing two spud barges to the Gulf of Mexico. The incident occurred on the Mississippi River in Pass […]