LNG

The Korean Register (KR), the maritime classification society of the Republic of Korea with 80 offices around the world, has awarded an Approval in Principle to HD Hyundai Heavy Industries for a new type of tank shape designed for various liquefied gases and fuels.

The Korean society said that new tank shape developed by HD HHI, the nation’s largest shipbuilding company and formerly called Hyundai Heavy Industries Holdings Co., is designed to improve maritime safety and productivity.

“The new tank shape aims to address the challenge of sloshing that impacts the transportation of liquefied gases such as LNG,” said KR.

“Sloshing refers to the wave-like movement of liquid inside a tank during sea transport. It is crucial to ensure structural stability by minimizing sloshing flow caused by the ship's motion, as excessive sloshing can exert significant impact forces on the tank walls, jeopardizing its structural integrity,” KR explained.

Classed fleet

The society, headquartered in the South Korean port of Busan, currently classes an international fleet of 3,080 vessels.

KR said that HD HHI has successfully optimized the shape of the liquefied gas tank, effectively reducing the sloshing effect and enhancing stability.

“This significantly mitigates the risk of accidents and potential disasters during transportation. Furthermore, the innovative tank design incorporates an improved layout, leading to enhanced work efficiency and productivity,” added KR.

“The newly developed tank shape exemplifies cutting-edge technology that combines improved safety measures, increased productivity and efficient sloshing reduction techniques,” KR said.

HD HHI said it planned to expand the application of the new tanks to various liquefied gas carriers and other ships in the future.

It was expected that HD HHI would continue to strengthen its competitiveness in the liquefied carrier shipbuilding market, including LNG, by “providing safe and reliable solutions” to customers.

KR stated that it was “committed to actively collaborating” with the technology development of new tank types.

“As a leading classification society, KR will provide comprehensive technical support to facilitate the development of next-generation eco-friendly ships, further promoting the advancement of maritime industry,” it added.

Daewoo Shipbuilding and Marine Engineering (DSME), one of the world’s leading builders of LNG carriers, has revealed plans to set up a global research and development alliance on shipbuilding technologies with universities in the US, Scotland and South Korea and with the top maritime classification societies.

Samsung Heavy Industries, the third-largest South Korean shipbuilder, posted a widening of net losses in the first quarter of 2020, while reporting that the floating LNG production vessel for the Coral project offshore Mozambique was now half completed.

The company also report steady order book progress with three received in the quarter and two more in April.

The “ENI Coral FLNG” vessel for the project led by Italian energy company Eni is scheduled to be delivered in 2022 and was said by SHI to be already 47 percent completed.

When deployed offshore Mozambique over the Coral South gas field, the FLNG unit will produce 3.3 million tonnes per annum.

Coral FLNG is the African nation’s most advanced project with the other two being onshore joint ventures, one led by French major Total and the other by ExxonMobil, with Eni and PetroChina as principal partners.

SHI said that from January to March, its losses amounted to 227 billion won ($185 million), more than double the losses of 102.6 billion won ($83.7M) recorded in the same three months a year ago.

The shipbuilder said the South Korean currency’s weakness against the US dollar drove up the evaluation losses from its forward exchange contracts taken out for reselling five drilling ships.

Operating losses widened to 47.8Bln won ($39.0M) from a loss of 33.3Bln won ($27.2M) a year ago.

SHI noted that in April 2020, after the first quarter, it received a 253.6 billion-won ($208M) order to build two very large crude oil carriers for an unnamed Bermuda-based shipping company.

It had received orders for three shuttle tankers during the first quarter.

SHI had a new orders backlog of US$21Bln as of March 2020, including 98 commercial vessels.

As well as being Korea's third-biggest shipbuilder, behind Hyundai Heavy Industries and Daewoo Shipbuilding and Marine Engineering, who are in the midst of a merger process, SHI is the seventh largest in the world.

The SHI orderbook list comprises 21 LNG carriers ($7.7Bln), 19 container ships ($2.4Bln) and 37 tankers, ($2.7Bln) as well other ships. The full total was $13.3Bln in orders.

In the offshore division the orders for drilling rigs and offshore platforms amounted to $7.7Bln.