Electrical Fire Knocks Out Power at Hyundai Samho Shipyard
Massive Fire Disrupts Operations at South Korean Shipyard
A significant electrical fire at the HD Hyundai Samho shipyard in South Korea has wreaked havoc, burning for nearly nine hours and causing extensive damage. Fortunately, the incident occurred just as workers began their summer vacation, preventing any casualties. All power has been cut off to the facility as officials assess the damage and plan for recovery.
Fire Details and Response Efforts
The fire ignited around 11:20 p.m. local time on July 28, originating in an underground tunnel that houses a power substation critical to the shipyard’s operations. This substation, located approximately 5 to 6.5 feet below ground, posed significant challenges for firefighters due to the intense heat and toxic smoke. Initial attempts by the shipyard to combat the blaze with internal resources were unsuccessful, leading to a rapid spread of the fire.
Local fire department crews arrived on the scene and worked throughout the night, finally declaring the fire extinguished around 8:30 a.m. on July 29. While the transformer within the substation appears to be undamaged, officials report extensive damage to the wiring and the substation itself. Given the severity of the damage, it is unlikely that the existing wiring can be reused. As a precaution, all power to the shipyard facilities has been turned off while recovery efforts are underway.
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Impact on Shipyard Operations
The HD Hyundai Samho shipyard is a vital part of the HD Hyundai shipbuilding operation, accounting for 13 percent of the company’s assets. The yard specializes in constructing LNG carriers and is currently involved in significant projects, including the construction of two 174,000 cbm LNG carriers for Nakilat as part of the QatarEnergy shipbuilding programme. Additionally, work has recently begun on eight new container cranes for Gwangyang Port in South Korea.
Despite the fire, HD Korea Shipbuilding & Offshore Engineering, the parent company, reported a strong order flow, having secured orders for 82 ships worth $11.22 billion in 2025 alone. This figure represents 62 percent of their annual target for new orders. Earlier this year, the company reported a backlog of nearly three years, with a total backlog valued at over $74 billion as of the first quarter. Work at the shipyard is scheduled to resume on August 8, but officials have indicated that it is too early to determine the exact timeline for recovery and repairs.
