South Korean shipbuilder Hyundai Heavy Industries (HHI) has announced that it has signed a $400 million contract to build an additional five Very Large Ore Carriers (VLOCs) for Polaris Shipping.
The newbuild order is the result of an option exercised following the contract for ten VLOCs of the same class with Polaris Shipping on September 25. The original order represented the single biggest order that HHI has received since 2012.
HHI said in September that the 325,000 dwt ships will measure 340m in length, 62m in width, and 29.8 meters in height, and will be designed to be LNG-ready to meet toughening environmental regulations. The ten initial vessels are scheduled to be delivered by 2021.
Including Monday’s order, HHI Group’s shipbuilding affiliates have so far this year won new orders for 110 ships worth $ 6.7 billion, 90% of the $ 7.5 billion annual target.
To date, HHI has now received a total of 25 newbuild orders from Polaris Shipping, including seven vessels ordered in 2013 that have now been delivered.
Polaris Shipping has been ordering new tonnage in recent years to replace older VLOCs that Polaris had converted from existing single-hulled Very Large Crude Carriers. One such vessel, the 266,000 dwt Stellar Daisy, sank earlier this year in the Atlantic Ocean while underway from Brazil to China with the loss of 22 crew members.