Hengli Shipbuilding Secures Major Order for Crude Oil Tankers
Hengli Shipbuilding, a prominent Chinese shipbuilder, has announced a significant contract for the construction of ten large crude oil tankers. This order, valued between USD 700 million and USD 1 billion, marks a substantial achievement for the company in the competitive maritime industry. The contract was confirmed by Songfa Ceramics, Hengli’s parent company, which disclosed the details late yesterday.
The order includes nine tankers commissioned by Dynacom Tankers Management, based in Athens. Each vessel will have a deadweight tonnage of 158,000 tons. Additionally, one tanker will be built for a reputable European shipowner, whose identity remains undisclosed. The announcement did not specify a delivery schedule for these vessels, leaving stakeholders eager for further updates.
Following the news, shares of Songfa Ceramics (SHA: 603268) experienced a notable increase, closing 5 percent higher at CNY 89.67 (USD 12.95) per share. This uptick reflects positive market sentiment, as the broader Shanghai stock market also saw a slight rise of 0.1 percent.
Recent Orders Highlight Hengli’s Growth
This latest contract represents Hengli’s sixth order since the beginning of 2023. Earlier this year, the company secured two contracts for a total of five vessels, with an estimated value between USD 430 million and USD 600 million. These earlier orders included a mix of Cape-size bulk carriers and very large crude carriers, showcasing Hengli’s diverse capabilities in shipbuilding.
Among Hengli’s clients are well-known shipowners from Singapore and Minerva Marine, a leading private shipowner based in Greece. The company’s ability to attract such reputable clients underscores its growing reputation in the maritime sector.
Hengli Shipbuilding is recognized as one of China’s top five shipbuilders. In 2022, it became a subsidiary of the Hengli Group, a major player in the petrochemical industry. However, in May 2023, the company underwent a significant restructuring, transferring to Songfa Ceramics. This shift marked a strategic pivot for Songfa, which has transitioned its focus from ceramic manufacturing to the research, development, production, and sales of high-end marine equipment and vessels.
As Hengli continues to expand its portfolio, the recent orders signal a robust demand for large crude oil tankers, reflecting the ongoing growth in global shipping and energy markets. The company’s strategic partnerships and innovative shipbuilding capabilities position it well for future opportunities in the maritime industry.
