Total orderbook grows to 10 vessels

A 114,000-ton crude oil carrier. [Provided by J.Ocean Heavy Industries]
A 114,000-ton crude oil carrier. [Provided by J.Ocean Heavy Industries]

J.Ocean Heavy Industries, which is in the process of acquiring the Gunsan shipyard, has secured orders for a total of six tankers.

The company announced Monday that it has signed a letter of intent with an Oceanian shipowner to build two 157,000-ton crude oil carriers and four 114,000-ton crude oil and petrochemical product carriers.

The deal follows an LOI signed in June for four 114,000-ton crude oil and petrochemical product carriers, bringing the total number of vessels on order to 10.

The company has been working through follow-up procedures since signing an asset transfer agreement with HD Hyundai Heavy Industries in June, and has now secured orders ahead of completing that acquisition.

The company said active support from Chairman Cha Jeong-hun, who led the Gunsan shipyard acquisition, has not only helped normalize operations but also drawn continued inquiries for additional orders from overseas shipowners.

It also said the shipyard's ability to build very large vessels, combined with fast delivery times, has served as a competitive advantage in winning orders.

Both vessel types covered by the latest LOI are next-generation designs developed in-house by HJ Shipbuilding & Construction. The 114,000-ton crude oil and petrochemical product carrier was designed to meet International Maritime Organization environmental regulations while also being capable of selectively transporting crude oil and petroleum products.

J.Ocean Heavy Industries plans to pursue the issuance of refund guarantees, refurbishment of the yard and its facilities, and expansion of its workforce. "We will spare no effort to ensure the Gunsan shipyard serves as a catalyst for revitalizing the local economy," a company official said.


keg@heraldcorp.com