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Daewoo Shipbuilding & Marine

Engineering secures LNG carrier

order worth $248mn

SOUTH KOREA SOUTH Korea’s Daewoo Shipbuilding & Marine as South Korean defense industry and energy
Engineering (DSME) revealed on February 13 conglomerate Hanwha Group has purchased
It marks the company’s that it has inked a deal to construct one lique- the shipbuilder from the state-run Korea Devel-
first order of the year. fied natural gas (LNG) carrier for an undisclosed opment Bank (KDB). KDB had held the com-
shipowner in Oceania. pany for more than 20 years, however multiple
The agreement marks the company’s first attempts to unload the firm during that time
order of the year. The vessel is scheduled for period fell through.
delivery by the end of March 2027. With Hanwha’s acquisition of DSME the
DSME is coming off a strong year in 2022 planned break up of its business into defense
when it surpassed its order target by 16% with and shipbuilding operations which had been
46 vessels purchased for a total of $10.4bn. Of the considered by the South Korea will now be
vessels purchased 38 were LNG carriers, while annulled.
six were container ships and one offshore plant Hanwha reached a tentative agreement with
and one depot maintenance vessel were also KDB in September and after no other bids were
purchased. made, it signed a $1.5bn deal for a controlling
The company’s success was part of a banner stake in the shipbuilder in December. The fig-
year for South Korean shipbuilders, who took ure is only one-third of the price that Hanwha
top spot for high-value-added eco-friendly offered back in 2008. Under the terms of the
vessel orders, securing almost 60% of the total agreement, Hanwha will hold a 49.3% interest in
orders. DSME through the acquisition of 104mn newly
DSME is in the midst of an ownership change issued shares. ™

Week 07 16•February•2023 www. NEWSBASE .com P7