Technical Support Agreement
Hyundai Samho Heavy Industries will set up a joint venture in Russia.
The company announced on June 4 that it signed a technical support agreement with Russian shipyard Zvezda Shipbuilding to provide services such as technological expertise to Zvezda-Hyundai at the Saint Petersburg International Economic Forum (SPIEF) in Russia on the 2nd. The signing ceremony was attended by Ka Sam-hyun, head of the ship sales division at Hyundai Heavy Industries, Igor Sechin, CEO of Russia’s state-run Rosneft and Ambassador to Russia Park Ro-byug.
Under the technical support agreement, Hyundai Samho will provide support in the ship design, marketing, personnel and training areas to Zvezda-Hyundai.
Zvezda-Hyundai is a newly created joint venture in the ship engineering and project management sector which is 49 percent owned by Hyundai Samho with a 51 percent stake of Zvezda under the Eastern Shipbuilding & Ship Repair Center (FESRC).
The Korean shipbuilder said that Zvezda-Hyundai plans to construct Aframax oil tankers from 2018 onwards at the Bolshoi Kamen yard near Vladivostok. On May 24, Zvezda-Hyundai officials visited Hyundai Samho Heavy to discuss ways to install the shipbuilding construction equipment and purchase ship materials and equipment.
An official from Hyundai Samho Heavy said, “With the establishment of Zvezda-Hyundai and the latest agreement, we have secured new revenue sources and expect to expand our business opportunity in the Russian market.”
Hyundai Heavy Industries Group has received orders to build 94 ships in Russia until now, including four 114,000-ton LNG-powered oil tankers won by Hyundai Samho Heavy from Sovcomflot, a Russian state-owned shipping company, in February.