DSME Bags Orders for Five VLCCs

This has been a very busy week for the South Korean shipbuilder Daewoo Shipbuilding & Marine Engineering (DSME), as it has won orders for a total of seven ships worth a total of USD 800 million.

The orders include a contract for the construction of three very large crude carriers from an undisclosed owner. The three 300,000 dwt vessels are scheduled for delivery in the first half of 2020.

Separately, an unnamed European owner ordered two VLCCs at the yard paying USD 170 million for the vessels.

DSME said the two VLCCs would be built at its Geoje yard, featuring a length of 336 meters and a width of 60 meters.

The duo is also set to be completed and handed over to its owner in the first half of 2020.

The crude carrier orders are being reported on the back of DSME’s announcement on Monday that it had secured a contract for the construction of two liquefied natural gas (LNG) carriers.

The deal was signed with an undisclosed Oceania shipowner and is worth around KRW 394.3 billion (USD 366.7 million).

Under the terms of the contract, the shipbuilder is scheduled to deliver the LNG carrier pair to their owner by the end of September 2020.

Worth noting, this is the first time for the owners in question to contract with DSME, the company said.

In total, the Korean builder has secured orders for ten ships this year worth USD 1.2 billion.

The rebound in order intake has been ascribed to improved conditions on the shipbuilding market and rising vessel prices, especially with respect to LNG carriers, large containerships and oil tankers when compared to the previous year.

DSME added that its restructuring scheme agreed with creditors is in full swing and that it has considerably improved its financial structure and stabilized its operations.

World Maritime News Staff