Polaris orders 10 ‘green’ VLOCs at Hyundai Heavy

The world’s largest shipbuilder Hyundai Heavy Industries (HHI) announced that it has signed, on September 25, a $800 million worth contract, to build ten environmentally friendly VLOCs (Very Large Ore Carrier) for Polaris Shipping, the domestic dry bulk owner and operator.

The 325,000 dwt ships, measuring 340m in length, 62m in width and 29.8m in height, will be designed as eco-friendly ships, applying LNG Ready design to meet environmental regulations and reduce fuel consumption, and equipped with a ballast water treatment system and a desulfurization equipment scrubber. The vessels are scheduled to be delivered by 2021.

The contract is the largest single order in the last five years, the shipbuilder said, since it received an order of ten large-sized container ships from a Greek shipping company in 2012.

The news come after the South Korean company asked 7% of its workforce to take rotational unpaid leave, claiming a decrease rate in ship orders. The company has also reported a net income fell in 2016.

    “Even under unfavorable market conditions, we have proven our competitiveness with a big order contract in five years. We are beefing up our marketing efforts to meet clients’ needs on the back of our eco-friendly technologies,” stated an HHI official.

However, the total number of ships HHI Group has won so far this year is 99 ships worth $5.8 billion, which is a 500% plus increase for the comparable period last year when it clinched 20 ships worth $2 billion.

HHI has received a total of 20 orders to build vessels from Polaris Shipping, and has delivered seven vessels including four 250,000 ton VLOCs ordered in 2013 so far.