Hyundai Heavy to Build Boxships, Tankers for IRISL

IRISL South Korean shipbuilder Hyundai Heavy Industries (HHI) has signed contracts to construct 14,500 TEU container ships and 49,000 dwt product/chemical carriers for Islamic Republic of Iran Shipping Lines (IRISL). The value of the contracts, which were signed in Seoul on December 9, 2016, was not revealed. However, local media reported that the deals are worth around USD 700 million. Under the agreements, HHI will reportedly build a total of ten vessels, including four boxships and six tankers, which will meet the latest International Maritime Organization (IMO) Tier III requirement, limiting NOx emission. The container ships, to be built at HHIs yard in Ulsan, will be 366 meters long and 48 meters wide, according to the shipbuilder. The product/chemical tankers will feature a length of 183 meters and a width of 32.2 meters and will be constructed at Hyundai Mipo Dockyard, HHI said. The negotiations for these contracts commenced in December 2015 with a series of meetings in Seoul and Tehran, according to HHI. In addition to the contracts, HHI plans to discuss and pursue technical cooperation related to developing the Iranian shipbuilding industry with a local shipbuilder at the request of IRISL. The aforementioned contracts are said to be the first shipbuilding orders following the implementation of the Joint Comprehensive Plan of Action (JCPOA), known as Iran nuclear deal, between Islamic Republic of Iran and P (5+1), the UN Security Councils five permanent members including China, France, Russia, the United Kingdom, and the United States, plus Germany, in January 2016. After the sanctions were lifted, Iranian shipping companies have been seeking to renew their fleets and restore former shipping links.