Sonatrach subsidiary Hyproc SC, Hyundai Heavy Industries ink deal

"Hyproc Shipping Company", an Oran-based subsidiary of Sonatrach signed with the shipyard "Hyundai Heavy Industries", a contract for the construction of two twin gas carriers (tankers) for the transportation of LNG, with a capacity of 171,800 M3 each, said Thursday the Head of the Subsidiary’s Communication centre Khaled Sellami.
The USD$635 million contract, signed in Oran, provides for the possibility of building a third tanker. The two tankers to fly national flag will be delivered by the end of 2016, the same source said, adding that the 10% of the funds for the two tankers will be provided by Hyproc SC while the remaining 90% will be ensured by the External Bank of Algeria (BEA).
The two carriers will be equipped by advanced and eco-friendly technologies of the maritime industry, in order to ensure safe navigation.
The acquisition of the LNG carriers is part of a program of modernization of the Company’s fleet. These two major acquisitions that will be followed by others and should enable Sonatrach Group, through its subsidiary Hyproc, to strengthen its LNG transport capacity and its position on the world distant markets.
This contract is, according to Hyproc SC, the result of a long process, launched by the engineers of the national company for twenty months and culminated in late 2012 in the launch of a call for tender to shortlist shipyards. The different technical steps that followed, led to the selection of three South Korean shipyards: Daewoo Shipbuilding Marine Engine LTD (DSME), Hyundai Heavy Industries LTD (HHI) and Samsung Heavy Industries LTD (SHI).
The final phase of financial bid opening of the three shipyards took place last August. HHI shipyard clinched the deal.
Hyproc SC has 16 ships, i.e. 8 LNG carriers, six LPG carriers and 2 bitumen carriers.