Samsung Heavy terminates three Delos VLEC contracts

South Korean yard Samsung Heavy Industries has announced the termination of shipbuilding contracts with a North American owner for three VLECs.

The three VLECs were ordered by US shipping investment Delos Shipping in July last year as part of the company’s twelve 93,000 cu m VLEC orders at two Koran yards including three plus three at Samsung Heavy and another three plus three at Hyundai Heavy.

Samsung Heavy said the termination was due to the owner being unable to make payments according to contract terms.

The vessels were planned to be chartered to Chinese company Zhejiang Satellite Petrochemical to transport ethane from US to China’s Lianyungang port.

According to Samsung Heavy, it has already signed a letter of intent with a new client for the resale of the three vessels.

Jason Jiang

Jason is one of the most prolific writers on the diverse China shipping & logistics industry and his access to the major maritime players with business in China has proved an invaluable source of exclusives. Having been working at Asia Shipping Media since inception, Jason is the chief correspondent of Splash and associate editor of Maritime CEO magazine. Previously he had written for a host of titles including Supply Chain Asia, Cargo Facts and Air Cargo Week.
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