[Korea Economic Daily / December 1, 2023] HD Hyundai has successfully secured a contract for building mega-sized ammonia carriers worth 557.4 billion won ($432.4 million). HD Korea Shipbuilding & Offshore Engineering Co., the shipbuilding intermediate holding company of HD Hyundai, announced on Friday that it recently signed an agreement for four very large ammonia carriers (VLACs) with a European shipping company.

The commissioned ships will be constructed at Hyundai Samho Heavy Industries in Yeongam, South Jeolla Province, and will be sequentially delivered by the second half of 2027.

Ammonia is considered a next-generation environmentally friendly fuel that does not emit carbon dioxide when burned, leading to an increasing demand for ships capable of transporting it.

This year, HD Korea Shipbuilding has taken the lead in the market for eco-friendly fuel carriers by securing contracts for 23 out of a total of 38 mega-sized LPG and ammonia transport vessels ordered worldwide, accounting for 61%.

The company has so far received orders for a total of 155 vessels, including one marine facility, and has achieved a tentative 138.7% of its annual order target of $15.74 billion.

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