Hanwha Ocean has successively obtained technical certifications from two international classification societies for FPSO (Floating Production, Storage and Offloading) units, facilities that extract crude oil at sea, refine and store it, and transfer it to transport vessels.

DNV and ABS Grant AIP for Low-Carbon Standard FPSO Design Framework

Norway's classification society DNV granted Approval in Principle (AIP) to Hanwha Ocean's low-carbon standard FPSO design framework. AIP is a procedure in which a ship inspection agency officially recognizes the technical feasibility of a new technology or design concept.

The United States' ABS also granted AIP to the same design framework. In addition, ABS issued a Statement of Fact for the Project Sustainability Execution Plan (PSEP), which specifies in detail the responsible organizations, key performance indicators (KPIs), and verification procedures.

Regarding the significance of these certifications, a Hanwha Ocean official explained, "It is meaningful that both pillars—low-carbon design and the sustainability execution framework—have been verified." The official added, "We plan to develop the results of this verification into a low-carbon technology package and sustainability execution framework that can be repeatedly utilized in future projects, thereby strengthening our order-winning competitiveness and project execution capabilities."

Changing Order Market... Eco-Friendly Design Capability Becomes Key to Winning Contracts

These moves come against the backdrop of changes in the FPSO order market. Global energy companies continue to raise their carbon reduction requirements each time they place orders for new projects. As a result, eco-friendly design capability itself has become one of the key criteria determining whether orders are won. This is why major offshore plant companies are racing to develop low-carbon designs and sustainability execution frameworks.

Hanwha Ocean's Response: 'Standardization'... A Structure for Reusing Verified Technologies

Hanwha Ocean's approach is standardization. Building on the standard FPSO design capabilities it has accumulated, the company is developing a low-carbon standard FPSO platform that systematically organizes verified low-carbon technologies so they can be combined according to the requirements of each project. Unlike the previous approach, in which low-carbon technologies had to be individually reviewed and applied for each project, this structure allows technologies verified once to be repeatedly utilized across multiple projects.

Certifications Won in West Africa in 2024, Followed by South America This Year

This is not the first standardization attempt. In 2024, Hanwha Ocean developed a standard FPSO tailored to the West African region and obtained certifications from ABS and France's classification society BV, and this year it additionally secured certifications from ABS and DNV with a standard FPSO optimized for South America. The latest AIPs signify the next step: securing the foundation needed to actually design low-carbon standard FPSOs and apply them to projects.

The two classification societies also focused on different aspects of verification. DNV verified the low-carbon design framework itself, which systematically incorporates emission reduction technologies for each major greenhouse gas emission source into the FPSO design. ABS confirmed an execution framework capable of implementing and managing sustainability goals, such as carbon reduction and energy efficiency improvement, throughout actual project execution.

Utilization Across the Entire Process, from Customer Consultations to Project Execution

Going forward, Hanwha Ocean plans to utilize the verified low-carbon design and execution frameworks across the entire process, from consultations with clients to bidding, Front-End Engineering Design (FEED), and project execution. The verified low-carbon technologies will be refined into reusable technology packages that can be selected according to project characteristics, while the PSEP will serve as the standard sustainability execution foundation for future FPSO projects.

[This article is for informational purposes only to aid investment decisions and is not intended to solicit investment or recommend specific stocks. The final judgment and responsibility for investments rest with the investor. This article was written with AI assistance.]