Samsung Heavy Industries has developed proprietary liquefaction technology for floating liquefied natural gas facilities, potentially breaking its dependence on US and European suppliers.
The technology, called SENSE IV, can process up to 2 million tons of natural gas annually while reducing energy consumption by 14% compared to existing systems. Industry sources said Wednesday that Samsung is in discussions with an Italian energy major to supply an FLNG equipped with this in-house technology.
FLNG construction typically costs between 2 trillion won and 4 trillion won ($1.5 billion-$3 billion) per unit, with liquefaction equipment accounting for up to 35% of that figure. Despite Korea’s leadership in shipbuilding, critical components like LNG liquefaction systems have historically been supplied by foreign firms, including North Carolina-based Honeywell International.
The development comes as Korean shipbuilders face heavy reliance on France’s GTT Group, which monopolizes LNG cargo containment systems and collects approximately 5% in royalties per LNG carrier built.
Samsung began developing SENSE IV in 2021 but initially encountered resistance from major energy clients who preferred US equipment. Analysts note that Samsung’s innovation coincides with geopolitical shifts that have sidelined Chinese competition following Trump administration sanctions imposed on China’s Zhoushan Wison shipyard in January.
Industry observers suggest this technological advancement could create opportunities for local suppliers to secure more overseas orders as global LNG demand continues to surge.
