Samsung Heavy Industries (SHI), the South Korean shipbuilding giant, has clinched a monumental deal worth KRW 350.8 billion ($260 million) for the construction of a liquefied natural gas (LNG) carrier. The contract, awarded by an undisclosed Asian shipowner, underscores SHI’s prowess in the maritime industry.
On Course to Exceed Targets
The vessel is slated for completion and delivery by the close of September 2026. This lucrative agreement contributes significantly to SHI’s impressive portfolio, as the company has already amassed contracts totaling $6.6 billion for the construction of 26 ships. Notably, this achievement represents a remarkable 69 percent of its ambitious 2023 target of $9.5 billion, as reported by Yonhap.
These diverse contracts span across seven LNG carriers, two oil tankers, 16 container vessels, and a cutting-edge floating LNG gas facility. Among these, SHI has been commissioned by Evergreen to build sixteen 16,000 TEU methanol dual fuel container vessels, part of a substantial contract encompassing a total of 24 ships. Evergreen Marine’s investment is estimated to reach up to $5.04 billion.
Advancements in Sustainable Shipping
In a strategic move towards sustainable shipping, SHI has obtained Approval in Principle (AiP) from ClassNK for its innovative ammonia fuel supply system, designed for oil tankers and container ships. Collaborating with Swiss marine power company WinGD, SHI aims to integrate WinGD’s X-DF-A dual-fuel ammonia engines into upcoming newbuild vessels.
The memorandum of understanding signed during the Gastech conference in Singapore outlines preparations for the integration of X-DF-A ammonia engines across various vessel designs, including oil tankers, container ships, and ammonia carriers. WinGD envisions deploying these cutting-edge ammonia engines into service from the first quarter of 2025, with the first X-DF-A-powered vessels expected to set sail by 2026.
Ammonia as a Sustainable Marine Fuel
The integration of ammonia in the maritime industry aligns with global efforts to decarbonize. Ammonia, a clean and sustainable fuel, stands out for generating zero carbon dioxide emissions during combustion and its potential for production using renewable energy sources. SHI’s proactive approach towards adopting ammonia engines underscores the company’s commitment to eco-friendly practices in the evolving landscape of maritime technology.
