Yangzijiang secures US$1.08 b orders for 12 vessels in July

Yangzijiang Shipbuilding (Holdings) Ltd. has secured orders for 12 vessels in July for US$1.08b.
Broken down, Yangzijiang secured agreements for the building and delivery of 10 units of dual-duel 7,000 twenty-foot equivalent unit (TEU) containerships and two units of 50,000D deadweight tonnage (DWT) medium-range tankers for US$1.08b.

The company has also signed a letter of intent for additional five units of dual-fuel 7,000 TEU containerships in July and is expected to be effective in August.

The 15 units of dual-fuel 7,000 TEU containership were placed by Seaspan Corporation which will be delivered between 2023 and 2024.

These containerships will be fitted with Type B liquified natural gas (LNG) fuel tanks, wherein the shipbuilding participated in the design of the LNG fuel storage, supply system, and tanks as part of its research and development.

Ren Letian, executive chair and CEO of the Group, said the securing of contracts for LNG dual-fueled vessels with LNG systems jointly designed by the company is a “history-making moment” for the group.

“This momentous achievement has placed Yangzijiang amongst the playing field of other shipyards that were known to enjoy a monopoly over the construction of dual-fuel engine vessels, and this was only possible through our continuous R&D efforts,” he said. “As the shipping industry moves towards sustainable development and pivots to carbon-neutrality, we are confident that more shipowners will opt for such vessels to ensure functionality and relevance of newly built vessels and we are optimistic in clinching more of such orders.”

The group has so far secured new orders for 112 vessels worth US$6.67b this year, excluding the letter of intent for five units of LNG dual-fuel vessels, the largest order wins of the group based on total contract value since 2007.

Yangzijiang also currently has an order book of US$8.74b for 170 vessels which remains record-high in its history.

“The group remains confident in securing more order wins amidst continued favourable market sentiments,” it said, adding that the securing of LNG dual-fuel vessels will strengthen the company’s foothold in the LNG market and will be a foundation for growth and expansion.
Source: Singapore Business