An order for liquefied natural gas (LNG) carriers that South Korea’s HD Hyundai Samho and Samsung Heavy Industries have been waiting for has once again fallen through.
In industry news, the Mozambique LNG project led by French energy giant TotalEnergies has been delayed once again, with TotalEnergies promising to make a decision by the end of August 2025 for the Mozambique LNG project. This means that HD Hyundai Samho and Samsung Heavy Industries’ long-awaited LNG carrier order will continue to be postponed.
Previously, the Export-Import Bank of the United States (Export-Import Bank) had decided to finance the Mozambique LNG project, which HD Hyundai Samho and Samsung Heavy Industries saw as a positive sign for the new shipbuilding program, however, Total Energy chose to postpone it again, and the ship orders related to it could only be postponed.
Previously, the Export-Import Bank of the United States had decided to provide funding for the Mozambique LNG project, which HD Hyundai Samho and Samsung Heavy Industries saw as a positive signal for their new shipbuilding plans. However, TotalEnergies chose to postpone it again, and the related vessel orders had to be postponed accordingly.
It is reported that a total of 40 LNG carriers are planned for the Mozambique LNG project. 2020, TotalEnergies signed a Letter of Intent (LOI) with HD Hyundai Samho and Samsung Heavy Industries for the construction of the first 17 LNG carriers.
Among them, 9 LNG carriers were built by HD Hyundai Samho, and ordered by Japanese shipowners Mitsui OSK Lines (5 vessels) and Kawasaki Kisen Kaisha (4 vessels); Samsung Heavy Industries was responsible for the construction of the remaining 8 ships, and ordered by Nippon Yusen Kabushiki Kaisha (4 vessels) and Greek Maran Gas Maritime (4 vessels).
As of the end of April 2025, when the letter of intent expires, HD Hyundai Samho and Samsung Heavy Industries have waited for five years but have not yet won the order, and are still working hard to get it.
Currently, HD Hyundai Samho and Samsung Heavy Industries have accepted TotalEnergies’ request for a contract extension to extend the validity period once again beyond the end of August 2025 and to reserve slots for nine and eight LNG carriers, respectively.
It is worth noting that the order for 17 LNG carriers related to the Mozambique LNG project has experienced several delays.
Following the signing of the Letter of Intent in 2020, the parties had planned to sign a formal shipbuilding contract in May 2021 and deliveries were scheduled to begin in 2023, but due to the deteriorating security situation in Mozambique, TotalEnergies declared a delay in the shipbuilding program due to force majeure factors.
In 2022, TotalEnergies and related shipowners again negotiated with the two South Korean shipbuilders for the booking of the slots with order confirmation planned for July 2023, but still announced the postponement.
At the beginning of 2024, TotalEnergies had originally planned to place an order for shipbuilding through the selected shipowner. However, due to delays in the project, the relevant shipbuilding program has been postponed to July 2024 as well.
TotalEnergies initially hoped to resume construction of the Mozambique LNG project in mid-2024. For now, it still faces many difficulties.