State-owned QatarEnergy is set to order up to 20 liquefied natural gas (LNG) carriers valued at approximately $5 billion. South Korean shipbuilders are eyeing to secure orders for at least 10 vessels.
The potential deal comes after QatarEnergy inked a $6 billion contract in April with China’s Hudong-Zhonghua Shipbuilding for 18 QC-Max-size LNG vessels. QatarEnergy plans to add 20 more vessels, four of which are expected to be built by a Chinese shipbuilder and four of which are likely made by shipbuilders with solid ties to QatarEnergy.
QatarEnergy will likely seal the remaining vessel orders with Korean shipbuilders such as HD Korea Shipbuilding & Offshore Engineering, Samsung Heavy Industries and Hanwha Ocean. Korean shipbuilders are well-positioned to secure contracts for at least 10 vessels as they are known for their relatively fast delivery times compared to Chinese competitors, according to people familiar with the matter. QatarEnergy also plans to order 10 more vessels of the standard 174,000 CBM class, and industry insiders believe that Korean shipbuilders are highly likely to secure these orders as well.
