South Korea’s top shipbuilding conglomerate Hyundai Heavy Industries Group said on Thursday that its three shipbuilding units have clinched 62 orders worth a combined $3.8 billion in the first five months of this year, raising expectations that it will outperform its annual target of $7.5 billion.

According to the conglomerate on Thursday, Hyundai Heavy Industries Co., Hyundai Samho Heavy Industries Co., and Hyundai Mipo Dockyard Co. won a combined 62 shipbuilding orders valued at $3.8 billion in the January-May period, which is more than three times higher than $1 billion worth of orders received over the same period last year to build 12 new vessels.

In May alone, Hyundai Heavy Industries’ shipbuilding units secured 20 orders valued at a combined $1.3 billion, maintaining the pace from April when they received 21 orders worth $1 billion.

An unnamed group official said that the steady performance signals that the group is coming out of a lengthy drought in new orders.

Hyundai Heavy Industries Group has achieved more than half of its annual order target of $7.5 billion in the first five months.

Last month, Hyundai Heavy Industries and Hyundai Samho Heavy Industries received 14 orders including 13 to build tankers and the remaining to build a liquefied natural gas (LNG) vessel worth $1.07 billion. Hyundai Mipo won six orders including of four product carriers (PC) valued at $240 million in total.

The shipyards received orders to build 28 large 100,000 ton or heavier oil tankers in the January-May period, accounting for 67 percent of 42 orders that have been placed globally. It also won 14 of the 27 global very large crude carrier (VLCC) orders placed over the same period.

The group official said given the surge in inquiries mainly on VLCC and LNG vessels, the shipbuilding group is confident of outdoing its sales target for this year.

By Moon Ji-woong

[ⓒ Pulse by Maeil Business News Korea & mk.co.kr, All rights reserved]