In a bid to establish itself as a global shipping company amid the lifting of international sanctions on Iran, the Islamic Republic of Iran Shipping Lines (IRISL) and the Iranian Offshore Oil Company have struck a US$2.4 billion deal with South Korean shipyards, according to the Wall Street Journal.
Included in the deal is an order with with Hyundai Mipo dockyard, a subsidiary to Hyundai Heavy Industries (HHI), for up to 10 petroleum product tankers, as well as six handysize bulk carriers.
Sanctions were lifted on Iran recently after a Nuclear deal was sealed, which would enable non-US citizens and companies to trade with Iranian government entities.
An unnamed source said: “The yards are making slots available to the Iranians starting in 2018 and 2019. The Iranians are trying to make the 20% down payments through oil state-to-state deals to finalise the orders.”
This news comes on the back of a recent article by PTI, reporting on the talks that IRISL were involved in for the order of three container ships of more than 14,000-TEU from HHI.
The latest move with Hyundai Mipo confirms its previous plan to acquire $2.5 billion in order to modernise its oil tanker fleet.
IRISL are also planning to make a comeback within the container shipping industry by purchasing more than 570,000 TEU of containerships.
The company plans to join a big shipping alliance in the future to expand and build on its current strategy.