George Economou-led TMS Cardiff Gas is said to have returned to South Korea for new LPG carrier orders after previously turning to China for a series of LNG tanker contracts
HD Hyundai Heavy Industries announced on 8 May that it had secured an order for two very large gas carriers (VLGCs), valued at approximately US$242M, with deliveries scheduled through March 2029.
The shipbuilder identified the client only as an Oceania-based shipping company, although shipbroking and market sources have linked the order to TMS Cardiff Gas.
Mr Economou attracted attention earlier this year after contracting CSSC’s Hudong-Zhonghua Shipbuilding for the construction of up to six 174,000-m³ LNG carriers.
Historically, the Greek owner has placed its gas carrier orders with South Korean shipyards, while relying on Chinese builders for tankers, bulk carriers, and container vessels.
TMS Cardiff Gas ranks among Greece’s largest gas carrier operators and continues to expand through an active newbuilding programme spanning both LNG and LPG vessels.
The company is listed with four very large ammonia carriers (VLACs) under construction at Samsung Heavy Industries.Riviera reported last year that the owner had also acquired Evalend Shipping’s VLGC newbuildings in a resale transaction.
According to Equasis, TMS Cardiff Gas currently operates a fleet of 24 vessels.
Strong flow of orders
Momentum in the VLGC newbuilding market remains strong despite rising prices, with HD Hyundai emerging as one of the main beneficiaries of the ordering wave.
Earlier this week, the South Korean shipbuilder secured a contract from domestic owner KSS Line for three vessels.
Meanwhile, energy trader BGN ordered four VLGCs in mid-April, following earlier contracts signed by Turkish player Aygaz and Greece-based Oceangold Tankers.
The group has already secured orders for 20 /ammonia carriers this year.
JP Morgan-backed interests have reportedly selected Samsung Heavy Industries for additional orders, while Greek owner Thenamaris has entered the VLAC segment with an order at China’s Jiangnan Shipyard.
More owners are showing interest and are in advanced discussions with shipyards, including newcomers such as Turkey’s Ciner Group.
Most recent contracts have been priced at around US$115M per vessel, although the latest disclosed VLGC deal suggests pricing has climbed to roughly US$121M per ship. Market sources also note that HD Hyundai’s available 2029 delivery slots are rapidly disappearing.
Whether higher prices and tightening yard availability will slow contracting activity remains unclear, but for now the VLGC newbuilding market continues to run hot.
