On a visit to South Korea today, top management at Saudi Aramco has firmed up ties with Hyundai Heavy Industries (HHI), the world’s largest shipbuilder.
Saudi Aramco said it has signed an agreement with HHI and Saudi Arabian Industrial Investments Company (Dussur) to jointly set up a company that will manufacture engines and also provide aftersales service in the kingdom.
This was one among the 12 agreements the state oil giant and its affiliates signed with major South Korean companies to reinforce relationships with the Asian country and also expand international operations, and support the region’s energy security with the expansion of Arabian crude oil supply to Asian markets. The others include an MoU between Saudi Aramco and HHI that extends the existing collaboration to develop shipbuilding, engine manufacturing, refining, and petrochemicals.
An agreement was also signed between Saudi Aramco and HHI to increase HHI’s equity share in Saudi yard, International Maritime Industries (IMI) from 10% to 20% and plans were hatched to develop more business at the yard via Bahri, Saudi Aramco’s shipping division.