Hanwha Ocean

Hanwha Ocean Co., Ltd. (Korean: 한화오션; RR: Hanhwa Osyeon), formerly known as Daewoo Shipbuilding & Marine Engineering (DSME; Korean: 대우조선해양; Hanja: 大宇造船海洋; RR: Daeu Joseon Haeyang), is one of the "Big Three" shipbuilders of South Korea, along with Hyundai and Samsung.

Hanwha Ocean Co., Ltd.

Native name	한화오션 주식회사
Formerly	Daewoo Shipbuilding Industries (1978–2002) Daewoo Shipbuilding & Marine Engineering (2002–2023)
Company type	Public
Traded as	KRX: 042660
Industry	Defense Shipbuilding
Founded	26 September 1978; 46 years ago (1978-09-26)[1]
Headquarters	3370, Geoje-daero, Geoje-si, Gyeongsangnam-do , South Korea
Number of locations	3: Okpo, Houston, London
Area served	Worldwide
Key people	Kwon Hyuk-woong (CEO)
Products	Drillships FPSO LNG-Regasification vessels LNG/LPG Naval ships offshore structures Passenger ships Semi-submersible VLGC/VLCC
Revenue	₩4.8602 trillion[2] (2022)
Operating income	₩−1.6136 trillion[2] (2022)
Net income	₩−1.7448 trillion[2] (2022)
Total assets	₩12.2357 trillion[2] (2022)
Total equity	₩745 billion[2] (2022)
Owner	Hanwha Aerospace (67.47%)[2] National Pension Service (5.01%)[2] Employee stock ownership (5.00%)[2] Treasury stocks (0.01%)[2]
Number of employees	8,645 (March 31, 2022)
Parent	Hanwha Group
Website	Official website in English Official website in Korean

History

Aerial view of Daewoo Shipbuilding & Marine Engineering in August 2017

Hanwha Ocean
Hangul	한화오션
Revised Romanization	Hanhwa Osyeon
McCune–Reischauer	Hanhwa Osyŏn

"Big Blue" statue at the former DSME headquarters, 2015

On 21 February 2011, the A. P. Moller-Maersk Group (Maersk) ordered 10 large container ships from DSME, each with a capacity of 18,000 containers, surpassing the then record holder; the Mærsk E-class at 15,200 containers.^[3] The contract is worth $1.9bn.^[4] The first was to be delivered in 2014. In June 2011, Maersk ordered ten more, for another $1.9bn.^[4] The new class is called the Triple E class.

On December 20, 2011, Daewoo Shipbuilding Marine Engineering won the largest single defense contract by a Korean firm; valued at $1.07 billion to build three Indonesian submarines.^[5] It also would mark the first exports of submarines from South Korea.^[6]

On 22 February 2012, a £452 million order was placed with DSME for four 37,000 tonne double hulled 'MARS' fast fleet tankers by Britain's Ministry of Defence for the Royal Fleet Auxiliary. The ships entered service in 2017.

The firm built 15 icebreaking LNG carriers commissioned by Yamal LNG which are used to export liquefied natural gas from the Russian Arctic. The ice class Arc7 Yamalmax ships are designed to operate year-round from the Yamal Peninsula and to break ice up to 1.5 m (4.9 ft) thick when sailing bow first and up to 2.1 m (6.9 ft) thick in astern direction. The tankers were designed in Finland by Aker Arctic Technology Inc.^[7][8]

The South Korean Board of Audit and Inspection found ₩1.5 trillion (equivalent to ₩1.53 trillion or US$1.35 billion in 2017)^[9] of accounting fraud in DSME's books on 15 June 2016.^[10] In July, 2016, shares in DSME were suspended from trading, and were announced to be suspended until at least September 28, 2017.^[11] After suffering losses of Won3.3tn in 2015 and Won2.7tn in 2016, it was given a ₩2.9 trillion (US$2.57 billion) government loan in March 2017 to prevent bankruptcy.^[12]

In 2017, it was uncovered that North Korea may have hacked the company and stole company's blueprints in April 2016.^[13]

In December 2022, Hanwha Group announced that it would acquire a controlling 49.3 percent stake in Daewoo Shipbuilding & Marine Engineering worth 2 trillion won (US$1.5 billion). The deal was supported by the Korea Development Bank in an attempt to improve competition in the Korean shipbuilding industry.^[14]

In July 2024, Hanwha Ocean became the second Korean shipbuilder after Hyundai Heavy Industries to sign a master ship repair agreement (MSRA) with Naval Supply Systems Command (NAVSUP), qualifying it to participate in the U.S. Navy's MRO business.^[15]

On 29 August 2024, Hanwha Ocean won an MRO contract for the USNS Wally Schirra, the US Navy's auxiliary ship, and 3 months of maintenance work will take place at the Geoje Shipyard from 2 September 2024.^[16][17]

Ships built

• Crane vessels
  • 1 Pioneering Spirit
• Container ships
  • 20 Triple E class
  • 11 Triple E class (Gen2)
  • 10 of 16 Gülsün class
  • 8 of 14 Explorer class
  • 6 Earth class
  • 5 Dream class
  • 6 of 14 Pegasus class
  • 23 Danit class
  • 6 Olympic class
  • 5 CMA CGM Vela class
• Submarines
  • 3 Type 214
  • 8 of 9 Jang Bogo class
  • 2 Nagapasa class
  • 2 of 9 Dosan Ahn Changho class
• Surface naval
  • 3 of 6 Chungmugong Yi Sun-sin-class destroyers
  • 3 Gwanggaeto the Great-class destroyers
  • 4 of 8 Daegu-class frigates
  • 3 of 9 Ulsan-class frigates
  • 1 of 4 Donghae-class corvettes
• Tank ships
  • 5 Tide-class tankers

See also

• Daewoo dissolution and corruption scandal

References

1. Choi Daeyoon (1 April 2024). "[교과서에 없는 거제역사 이바구43] 조산산업의 메카 거제". Geoje News. Archived from the original on 26 July 2024. Retrieved 26 July 2024.
2. "Hanwha Ocean 042660". FnGuide. December 2022. Archived from the original on 23 January 2024. Retrieved 23 January 2024.
3. Emma Mærsk Archived 2009-03-27 at the Wayback Machine
4. "Triple-E Class Container Ships". ship-technology.com. Retrieved 2014-10-10.
5. "RI orders 3 submarines worth $1b in regional 'catch-up'". December 22, 2011.
6. "DSME to Build Three Submarines for Indonesia". October 10, 2011. Archived from the original on April 22, 2012. Retrieved October 10, 2011.
7. Eric Roston (July 9, 2018). "Russia Is Building $320 Million Icebreakers to Carve New Arctic Routes: The 1,000-foot-long vessels for hauling liquefied natural gas can cut through ice up to 7 feet thick". Bloomberg. Retrieved July 11, 2018.
8. "Aker Arctic Technology Inc Newsletter" (PDF). akerarctic.fi. Aker Arctic. March 2018. p. 10. Archived from the original (PDF) on July 11, 2018. Retrieved July 11, 2018.
9. 1906 to 1911: Williamson J. (1999), Nominal Wage, Cost of Living, Real Wage and Land Rent Data for Korea 1906-1939 1912 to 1939: Mizoguchi, T. (1972). Consumer Prices and Real Wages in Taiwan and Korea Under Japanese Rule. Hitotsubashi Journal of Economics, 13(1), 40-56. Retrieved May 21, 2021. Afterwards, consumer price index from Statistics Korea. Consumer Price Index by year. Retrieved 3 April 2018
10. "Watchdog finds 1.5 tln in accounting fraud in Daewoo Shipbuilding". Yonhap News Agency. 15 June 2016. Retrieved 22 June 2016.
11. Kyunghee Park (29 September 2016). "Daewoo Shipbuilding Told by Exchange to Improve Financials". Bloomberg.
12. Youkyung Lee (23 March 2017). "South Korea to inject $2.6 bln into ailing shipyard Daewoo". SFGate. Archived from the original on 24 March 2017.
13. "North Korea hacked Daewoo Shipbuilding, took warship blueprints". Reuters. 2017-10-31.
14. Park, Jae-Hyuk (27 December 2022). "Competition intensifies between Hanwha, HD Hyundai in shipbuilding industry". The Korea Times. Dongwha Enterprise. Retrieved 28 December 2022.
15. "Hanwha Ocean earns MSRA certification to participate in U.S. Navy's maintenance, repair, and overhaul business". Hanwha Ocean. 30 July 2024. Archived from the original on 4 September 2024. Retrieved 4 September 2024.
16. "Hanwha Ocean becomes first South Korean shipyard to secure U.S. Navy MRO contract". Naval News. 29 August 2024. Archived from the original on 29 August 2024. Retrieved 29 August 2024.
17. "Hanwha Ocean secures South Korea's first U.S. Navy MRO project". Hanwha Ocean. 4 September 2024. Archived from the original on 4 September 2024. Retrieved 4 September 2024.

External links

• Companies portal
• South Korea portal

• Official website
• Business data for DSME:
  • Bloomberg
  • Google
  • Reuters
  • Yahoo!