UNITED Arab Shipping Company (UASC) has placed its largest ever order for newbuildings worth more than US$2 billion with Hyundai Heavy Industries (HHI) in Korea for five 18,000 TEU vessels and five 14,000 TEU ships, including options for one additional 18,000 TEU vessel and six more 14,000 TEUers.
UASC to pay US$2 billion for five 18,000 TEUers, five 14,000 TEUers
UNITED Arab Shipping Company (UASC) has placed its largest ever order for newbuildings worth more than US$2 billion with Hyundai Heavy Industries (HHI) in Korea for five 18,000 TEU vessels and five 14,000 TEU ships, including options for one additional 18,000 TEU vessel and six more 14,000 TEUers.
The vessels will be among the largest and most technologically advanced and environmentally-friendly containerships built so far. They have been designed to improve cost efficiency given the high price of bunker fuel and will be "LNG ready" when delivered.
UASC director Abdul Aziz Al-Ohaly said at the signing ceremony in Dubai, "This is a critical step for the company to deliver on its long-term growth objectives. In addition, UASC hopes to set new benchmarks for fuel economy and environmental performance."
The latest order follows an earlier contract for nine 13,500-TEU vessels as the company makes significant investments in a newbuilding programme designed to establish its fleet as one of the youngest in the world and to take its "future fleet to the next level" to "ensure a successful and sustainable future for UASC", the company said in a statement.
Said HHI president OH Kim: "Four decades of relationship witness container ship size of UASC at Hyundai grow 16-fold, in other words from 1,100 TEU to 18,000 TEU!"
The shipping line plans to deploy the 18,000 TEU ships on its Asia and Europe trades, and to improve its position in its other key trades through the deployment of the 13,500 and 14,000 TEU vessels.
The 14,000- and 18,000-TEU newbuildings are scheduled for delivery from late 2014 and from the first half of 2015, respectively.
