Two shipyard workers were killed and seven others injured following a fire onboard a vessel under construction at Daewoo Shipbuilding and Marine Engineering shipyard in Okpo, South Korea.
South Korea’s Yonhap news agency reports that the fire broke at around 9:44 a.m. Monday on board an 84,000-ton liquified petroleum gas (LPG) carrier under construction at the yard.
Firefighters recovered two bodies from the scene more than seven hours after the fire started, Yonhap reported. Seven workers have also been hospitalized.
The reported added that the fire appears to have been caused by a welding spark inside the vessel that was being constructed.
DSME is the world’s second largest shipbuilder and part of South Korea’s ‘Big Three’ – along with Hyundai Heavy Industries and Samsung Heavy Industries.
The incident comes as DSME struggles with its financial footing amid the downturn in the offshore rig building market, sparked by low oil prices.
Last week, DSME shares sank to their lowest level in more than 13 years on concern that its liabilities outpace assets. The group has also launched a restructuring after it reported an operating loss of $2.61 billion in Q2 2015. The restructuring will include the sale of non-core assets, and shut down or exit non-essential units.