Source Fact: Financial Supervisory Service DART / 2024-09-24
Disclosure Type: Amendment to Single Sales/Supply Contract Execution
💡 3-Second Summary
Regarding the KRW 1.0948 trillion contract for one FPSO secured by Hanwha Ocean from a European shipowner in 2021, the final contract expiry date has been amended and extended from December 5, 2025, to September 26, 2026, based on a mutual agreement with the buyer.
📊 1. [Key Disclosure Content & Major Figures Summary]
- Amendment Details: The contract execution period, specifically the completion date, regarding the ‘one FPSO’ project initially filed on June 14, 2021, has been modified.
- Contract Period Amendment: (Before) Expiry Date: 2025-12-05 → (After) Expiry Date: 2026-09-26 (The commencement date remains identical as 2021-06-11).
- Reason for Amendment: Extension of the contract period based on mutual agreement with the buyer.
- Contract Value: KRW 1,094,800,000,000 (KRW 1.0948T).
- Proportion to Recent Revenue: 15.6% against the consolidated revenue of the fiscal year-end 2020 (KRW 7,030,200,000,000), which serves as the comparative baseline at the time of initial contract signing.
- Contracting Counterparty & Region: European shipowner / European region.
- Financial Baseline & Parameter Criteria:
- Recent revenue is based on 2020 year-end consolidated financial statements; both contract value and revenue are rounded to the nearest hundred million KRW.
- The total value was calculated applying the base exchange rate of 1 USD = 1,115.00 KRW as of the initial contract date on June 11, 2021.
- Additional Note: The original disclosure does not specify progress payment parameters, revenue recognition schedules, or detailed manufacturing specifications. The contract duration and final settlement amounts remain subject to change during the construction process.
📈 2. [Expert View: Significance for Investors]
This amendment filing documents a timeline calibration for a major offshore plant project valued at over KRW 1 trillion, moving the contract expiry date forward by approximately 9.5 months. The core contract volume and transaction values remain intact, indicating a chronological extension rather than a structural reduction in project value or cancellation of the order.
Investors should avoid making definitive assumptions regarding unnoted shifts in revenue recognition timing, potential liquidated damages (LD), or updates to localized cash receipts schedules. The text specifies that the adjustment stems from a ‘mutual agreement with the buyer’ but does not present financial advantages or disadvantages, nor does it detail whether the specific dates for milestones have been altered. The correct analytical framework is to track the explicit factual shift of the closing date to September 26, 2026, and closely monitor whether further settlement parameters are amended based entirely on objective regulatory data.
📝 Editor’s Comment (by K-STOCK Editor)
This update clarifies that the formal execution boundary for Hanwha Ocean’s multi-year FPSO supply contract has altered its final expiry schedule to late September 2026. As the targeted deadline shifts forward by several months, readers should simply note the structural point that the overall contractual timeline is operating on a modified tracking path compared to initial projections.
However, the disclosure text avoids detailing the exact technical factors causing the extension or stating whether this alteration introduces variations to the total final contract value. Consequently, readers must exercise caution and refrain from applying independent interpretations to label this change as either a severe operational bottleneck or a completely harmless calibration. Following the recorded parameters, tracing subsequent quarterly and half-year reports alongside future amendment updates will serve as the primary checkpoints to observe how these contract numbers develop.
📢 Disclaimers and Source Information
Source: This content has been newly structured and written based on official data submitted to the Financial Supervisory Service’s Electronic Disclosure System (DART).
Investment Risk Notice: This content is provided solely for informational and linguistic reference purposes. Under no circumstances does it constitute financial advice or a recommendation to buy or sell specific stocks. All investment decisions and financial responsibilities rest entirely with the investor.
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