Samsung Heavy wins $240 mn order for two VLACs

South Korea's shipbuilder Samsung Heavy Industries Co. announced on Tuesday that it has won a 310.8 billion won ($240 million) order for two very large ammonia carriers (VLACs) from a shipowner in the Oceania region.

The VLACs will be delivered by 2027.

Ammonia is well-known as an alternative fuel with carbon reduction potential due to its emission-free combustion of CO2.

Samsung Heavy Industries anticipates a gradual increase in the scale of orders for ammonia carriers.

With this contract, the company has achieved 72% of its annual target ($9.5 billion) by securing a total of 28 vessels worth $6.8 billion this year.

The company has secured one floating liquefied natural gas production facility (FLNG), seven liquefied natural gas (LNG) carriers, 16 dual-fuel methanol-powered container vessels, two crude oil carriers, and two VLACs.

Write to Jae-Fu Kim at hu@hankyung.com