DSME scores Novatek LNG order

South Korea’s Daewoo Shipbuilding & Marine Engineering has won an order to build liquefied natural gas barges for Russian LNG producer Novatek.

Under the deal, Daweoo will build two 360,000-cbm LNG barges for about 901.3 billion won ($748.2 million). The deal includes with an option for two additional units.

The floating LNG storage and transshipment units will serve Novatek’s planned projects in Murmansk and Kamchatka that the Russian company will develop with Japan’s Mitsui O.S.K. Lines.

The floating units will transship Yamal and Arctic 2 cargoes from ice-breaking LNG carriers to conventional ships.

These transshipment hubs will significantly reduce transportation costs and shipping time of Arctic LNG cargoes going to Europe and Asia.

The Korean shipbuilder said on Monday it expects to deliver the two LNG barges by the end of 2022.

Daewoo said that this deal will help the yard in the wake of the Covid-19 coronavirus pandemic which disturbed markets and caused delays for several large-scale projects.

Korean shipbuilders saw a significant decline in their order books this year due to owners holding back on orders as global energy demand nosedived and oil prices hit record lows.

Daewoo bagged $1.33 billion worth of deals this year including these two barges and a floating storage and regasification unit.

The biggest news this year was a huge order by Qatar Petroleum to secure more than 100 vessels. The LNG giant has booked vessel slots worth about $19.2 billion at the Korean three biggest yards including DSME.

This is the largest shipbuilding deal in the history of the LNG industry. QP secured about 60 percent of the global LNG shipbuilding capacity through 2027.

Breakdown of this order by shipbuilder is yet to be seen as QP did not reveal this info yet.

- Advertisements -

Most Popular

Hoegh LNG says Australian FSRU contract confirmed

Floating LNG player Hoegh LNG said on Friday that Australian Industrial Energy (AIE) has confirmed a long-term FSRU charter...

Tellurian: early works progress at Driftwood LNG site

US LNG firm Tellurian and compatriot engineer Bechtel are moving forward with early site works for the Driftwood LNG...

Brunei Gas Carriers sells old LNG tanker

Brunei Gas Carriers said it has sold its longest-serving A-Class liquefied natural gas (LNG) carrier, Abadi. "On June 20, 2022,...

More News Like This

Novatek in Vysotsk LNG production milestone

Novatek has recently reached a production milestone at its medium-scale liquefied natural gas (LNG) plant in Russia’s Baltic Sea...

DSME equips LNG-powered VLCC with high manganese steel tanks

South Korea’s Daewoo Shipbuilding & Marine Engineering said it has for the first time installed two type C LNG...

Novatek inks domestic small-scale LNG deals

Russian LNG producer Novatek said it has signed two domestic small-scale deals to boost use of liquefied natural gas...

GasLog’s LNG carrier quartet at DSME to feature carbon capture tech

South Korea’s Daewoo Shipbuilding & Marine Engineering has joined forces with Greek LNG shipper GasLog and classification society ABS...