ULSAN < invest Korea

South Korea’s largest shipbuilder Hyundai Heavy Industries Co., based in the city of Ulsan, won a floating, storage, re-gasification Unit (FSRU) deal from an Indian company. It is the second FSRU order the company received this year.

According to sources from the shipbuilding industry on Wednesday, Hyundai Heavy Industries received an order to build a FSRU with the storage capacity of 180,000 square meters for Jafrabad LNG import terminal from Triumph Offshore, a unit of India’s Swan Energy.

FSRU is an LNG carrier that regasifies LNG on the sea to enable distribution by pipeline and road tanker. Compared to LNG import terminal on the ground, it requires fewer affiliated facilities and can halve the construction period. The U.S. invented the FSRU in 2005, but three Korean shipbuilders constructed all of the 18 units currently active around the world. Another 22 FSRU units are expected to be in demand by 2018 and 33 more by 2020.

The Korean shipbuilder plans to complete the construction by 2019, deliver and moor it to a fixed jetty in Jafrabad, Gujarat. The order is estimated at about 260 billion won ($231 million). India’s state-run energy firm National Marine & Infrastructure India Private (NMIIPL) has started to build a docking infrastructure at the shoreline of the northwest India to host the facility.

Earlier this year, Hyundai Heavy Industries has clinched a deal to build two units of FSRU from a Turkey consortium.



By Kang Yung-woon

Copyrights Pulse by Maeil Business News Korea. All Rights Reserved.

Source: Pulse by Maeil Business News Korea (Aug. 30, 2017)