Hanwha Ocean is facing a $1 billion damages claim from LLC “Arctic LNG 2” in an arbitration related to terminated shipbuilding contracts.
LLC “Arctic LNG 2” filed the arbitration with the Singapore International Arbitration Centre (SIAC) on 1 September 2026. Hanwha Ocean confirmed the filing on 2 September 2026 and disclosed the case on 3 September 2026.
According to the disclosure, LLC “Arctic LNG 2” is seeking damages over alleged breaches of Step In Agreements connected with shipbuilding contracts terminated by Hanwha Ocean.
The disclosed claim amount is $1 billion. Hanwha Ocean reported the amount as KRW 1.3703 trillion, based on an exchange rate of KRW 1,370.30 per $1 on 2 September 2026.
The claim represents 22.2% of Hanwha Ocean‘s KRW 6.175 trillion consolidated equity at the end of 2025.
The $1 billion figure is not a final damages amount. Hanwha Ocean said LLC “Arctic LNG 2” presented the amount in its notice of arbitration without providing detailed calculations.
According to the disclosure, the claimant considers it likely that the final claim will exceed $1 billion. The specific amount is expected to be determined further during the arbitration process.
Hanwha Ocean said it plans to proceed under the applicable arbitration process, including the formation of an arbitral tribunal and submission of its response.
The company also said the arbitration amount and other procedural details may change as the case progresses.
