SEOUL, November 19 (AJP) - South Korea’s largest container carrier, HMM, is reentering the liquefied petroleum gas market after nearly a decade.
The company said Friday it has partnered with B International Shipping & Logistics, a subsidiary of the United Arab Emirates–based BGN Group, to create a Singapore-based venture called HMMB INT Shipping Pte. Ltd. Each partner will hold a 50 percent stake.
The new company plans to operate two very large gas carriers, each capable of transporting 88,000 cubic meters of LPG. The ships have already secured a 15-year transport contract with BGN’s trading arm, BGN INT DMCC — a deal that HMM described as providing a reliable commercial footing for its return to the sector.
The vessels are being built by HD Hyundai Heavy Industries and are expected to be delivered in the first half of 2027. BGN Group, which handles roughly 14 million tons of LPG each year, operates a fleet of more than 40 LPG carriers. HMM once operated five such ships but exited the business in 2016 as part of a broader restructuring.
The joint venture is a pillar of HMM’s broader efforts to expand its bulk shipping business and strengthen its foothold in low-carbon energy transport, including LPG and ammonia, under its 2030 mid- to long-term strategy. Earlier this year, the company acquired three medium-size LPG carriers in a bid to rebuild its gas portfolio.
“This joint venture marks a strategic partnership with BGN Group to meet growing gas transport demand and expand cooperation in low-carbon, eco-friendly energy transport,” Jung Joon, head of HMM’s bulk division, said in a statement.
BGN’s chief executive, Ozan Turgut, said the collaboration would enable both companies to pursue “a shared vision for decarbonizing the shipping industry,” adding that the new vessels would support the sustainable growth of BGN’s LPG operations.
* This article, published by Aju Business Daily, was translated by AI and edited by AJP.
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