LNG bonanza for Korean shipbuilders

A number of South Korean shipbuilders are currently holding discussions with ExxonMobil on a multi-billion dollar deal to build liquefied natural gas (LNG) carriers for the global energy giant. Exxon has been looking for suppliers of 28 LNG carriers worth $4billion over the next three years.

Hyundai Heavy Industries, the world?s biggest shipbuilder, Daewoo Shipbuilding and Marine Engineering and Samsung Heavy Industries have confirmed they were all in separate contacts with Exxon for the deal. “It?s such a mega deal that one shipbuilder is not enough to meet Exxon?s demands,” Ah Ik-Hyun, a Daewoo Shipbuilding spokesman, said. Daewoo is capable of building eight LNG carriers per year, Samsung up to seven and Hyundai up to six, according to data from the companies. To enhance the chances of winning the Exxon deal, Hyunda Heavy is seeking to double its capacity for building LNG carriers to 12 per year.