Hanwha Shipping places major tanker order at affiliate US shipyard

Hanwha Shipping, a US subsidiary of Hanwha Ocean, has placed an order for ten medium-range (MR) oil and chemical tankers from its affiliate, Hanwha Philly Shipyard. The company also exercised an option to order a second Liquefied Natural Gas (LNG) carrier from the yard.

The order for the ten MR tankers is described by the company as the largest US commercial vessel order in more than 20 years and the highest-value commercial order for a US shipyard.

The new MR vessels will be fitted to transport crude oil, refined petroleum, and chemical products. Hanwha said the order will significantly expand the US Jones Act fleet of US-built, US-owned, and US-crewed vessels operating between US ports. The first of the new tankers is expected to be delivered by early 2029.

The order for the second LNG carrier doubles the US orderbook for such vessels to the highest level since the 1970s. It follows an announcement last month for the first US-ordered, export-market LNG carrier in almost 50 years. The two LNG carriers will be built via a joint construction model between Hanwha Ocean in South Korea and Hanwha Philly Shipyard.

Ryan Lynch, President and CEO of Houston-based Hanwha Shipping, stated that the company is able to order the US-made tankers because of Hanwha’s investment in building a “world-class” shipyard in Philadelphia. Hanwha Group acquired the Philly Shipyard in December of last year for $100 million.