ADNOC L&S, the logistics and services company of Abu Dhabi National Oil, the Middle East’s largest shipowner, has awarded Korean shipyards more than $2.5 billion in shipbuilding contracts for new liquefied natural gas (LNG) carriers.
Samsung Heavy Industries and Hanwha Ocean announced on July 1 that they had been awarded contracts for the construction of four LNG carriers respectively, with one option order each. The cost of each vessel is approximately $257 million.
The contracted new LNG carriers are expected to be delivered starting in August 2028. And after delivery, they will be time chartered to subsidiaries of the ADNOC Group for a period of 20 years to support the growing volume of natural gas exports. The new LNG carriers will increase ADNOC L&S’ fleet of LNG carriers from 14 to at least 22.
Including this contract, Samsung Heavy Industries has taken orders for a total of 22 new vessels this year, including 19 LNG carriers, two Very Large Liquid Ammonia Carriers (VLACs) and one shuttle tanker, with a total order value of $4.9 billion, equivalent to 51 percent of its annual target of $9.7 billion. So far, the shipbuilder’s hand-held orders have reached $33.7 billion.
Samsung Heavy Industries said, “We will do our best to achieve our order targets, and prioritize projects with technological advantages such as LNG carriers and offshore facilities, and expect to receive such orders in the second half of this year.” The shipbuilder emphasized, “We will continue to selectively undertake new orders on the basis of our solid hand-held orders in order to achieve profitability.”
Hanwha Ocean also announced on the same day that it had received an order for four VLCCs from another Middle Eastern shipowner, with a total value of about $520 million with a price of $130 million per vessel. Including the latest order, Hanwha Ocean has received orders totaling $5.33 billion so far this year, including 16 LNG carriers, seven VLCCs, two VLACs, one VLGC and one offshore facility, far exceeding last year’s annual order intake of $3.52 billion.