Hyundai Heavy set to buy 10 pct stake in Brazilian shipyard

SEOUL, Feb. 3 (Yonhap) -- Hyundai Heavy Industries Co., the world's largest shipbuilder, is seeking to buy 10 percent of a Brazilian shipyard in a bid to win orders from the South American country, industry sources said Wednesday.

Hyundai Heavy is in talks with OSX Brasil SA, a shipbuilding and oil services
company, over the deal. The South Korean shipyard will transfer its shipbuilding
technology to the Brazilian business partner in return for the stake purchase.
"In a couple of weeks, the two companies are expected to sign a deal," a source
said.
Petrobras, Brazil's state-run oil firm, is projected to place orders for offshore
oil development vessels such as drill ships and storage facilities, valued at up
to US$42 billion.
Hyundai Heavy and local rivals such as Samsung Heavy Industries Co. and Daewoo
Shipbuilding & Marine Engineering Co. are competing to clinch orders from Brazil.
In December, OSX Brasil said it bought its first floating production, storage and
offloading vessel from Samsung Heavy.
sam@yna.co.kr
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