South Korea’s troubled shipbuilder Hyundai Heavy Industries Co. announced that it has been selected as the preferred bidder for a 12-oil tanker contract worth $660 million of Russia’s Sovcomflot, reports Korea Herald.
Russia’s largest state-owned shipping company Sovcomflot last month chose the South Korean shipbuilder as preferred bidder to build 12 oil tankers which will be used to carry crude oil produced
in Russia to overseas. Sovocomflot will charter the fleet to Shell.
Sovcomflot is a state-owned shipping company that specializes in petroleum and LNG shipping.
The two firms are in talks to determine detailed terms of the agreement and plan to sign a deal within the month.
Hyundai is also working with Russian state-owned shipbuilder Far Eastern Shipbuilding and Ship Repair Center to set up a joint venture for ship design and project management.