KSS Line books three LPG dual-fuel VLGCs at HD HHI

South Korean shipowner and operator KSS Line has ordered three LPG dual-fuel very large gas carriers (VLGCs) from HD Hyundai Heavy Industries (HD HHI).

The contract, valued at KRW 504.8Bn (approximately US$342M), was signed on 30 April with HD Korea Shipbuilding & Offshore Engineering (HD KSOE), the shipbuilding intermediate holding company of HD Hyundai.

Due for delivery by H2 2029, the newbuilds will be deployed under long-term charter agreements with two major global energy players: two vessels have been allocated to BGN Group, while the third will serve Gyxis.

The investment follows the early renewal of an existing six-vessel charter with BGN Group in January. KSS Line has further cemented this partnership through a seven-year contract for the two new vessels, valued at approximately KRW 514.3Bn (US$350.3M). Additionally, the company has secured a five-year charter with GYXIS, estimated at KRW 185.2Bn (US$126.2M).

According to KSS Line, the eco-friendly 90,000-m³ VLGCs are designed to transit both the old and new Panama Canal locks. This design capability is expected to mitigate congestion risks and ensure compliance with increasingly stringent global environmental regulations.

KSS Line continues to prioritise its competitiveness in the gas carrier sector through disciplined vessel investment and robust fleet management. With these latest additions, the company’s fleet will feature six dual-fuel medium- and large-sized gas carriers.

The Seoul-based company is also pursuing revenue diversification by maintaining its core VLGC-focused business while expanding into the MR tanker segment. The newbuilding contract is expected to reinforce KSS Line’s position in the global LPG shipping market and enhance profitability through greater economies of scale.

Following the latest orders, HD KSOE reported that it has secured contracts for 86 vessels so far this year, totalling US$9.35Bn. This represents 40.1% of the shipbuilder’s annual order target of US$23.31Bn. Year-to-date, the shipbuilder has secured orders for 12 LNG carriers, 20 container ships, 18 LPG/ammonia carriers, seven crude oil carriers, 26 product carriers, two PCTCs, and one icebreaker.