Samsung Reports on Contract Cancellation, New LoI

Samsung Heavy IndustriesIllustration; Image Courtesy: Screenshot from Wikimedia/Towel 401 under public domain license

South Korean shipbuilder Samsung Heavy Industries informed that it has cancelled a contract for the construction of three special-purpose ships.

The contract, worth KRW 415.7 billion (USD 366.1 million), was secured back in July 2018 with an undisclosed North American shipowner.

Samsung said that the reason behind the termination was the shipowner’s inability to meet the shipbuilding price payment deadline.

However, the company has signed a Letter of Intent (LoI) with a new client interested in taking over the cancelled ships, hence, SHI expects the impact from contract cancellation to be limited. The new deal is yet to be finalized.

Earlier this week, Samsung won its first order this year for the construction of two liquefied natural gas (LNG) carriers.

The contract is worth KRW 419.9 billion (around USD 376 million) and has been secured with Denmark’s Celsius Tankers.

The two 180,000 cbm vessels are scheduled for delivery in 2021.

World Maritime News Staff

Share this article

Follow World Maritime News

In Depth>

Events>

<< Dec 2019 >>
MTWTFSS
25 26 27 28 29 30 1
2 3 4 5 6 7 8
9 10 11 12 13 14 15
16 17 18 19 20 21 22
23 24 25 26 27 28 29
30 31 1 2 3 4 5

Offshore Energy Exhibition and Conference (OEEC) 2020

The three-day event includes an exhibition where an expected 600+ supply chain companies…

read more >

Maritime Reconnaissance and Surveillance Technology

As varied threats in the Mediterranean Sea continue to proliferate, the need to advance…

read more >

2nd GREENTECH IN SHIPPING GLOBAL FORUM

Forum you will find out from the regulators, government bodies and major ports’ representatives what the near…

read more >

7th Annual Arctic Exchange

Every year the Exchange invites delegates from across the globe to come together to listen to key senior management teams…

read more >