On Bloomberg, the corporation’s CFO, Chun Tae Heung, was quoted as saying that one of three countries will be selected to host the shipyard to build cargo ships, tankers and small container ships. The construction is scheduled in 2017.

Samsung Heavy Industries expects to finalize the plan for the overseas shipyards this year, Chun said.

A shipyard of Samsung Heavy Industry in Geoje Island, South Korea. Photo: Bloomberg

The company has received orders worth $5.5 billion. Next year, it estimates that it will win at least $15 billion in orders.

Samsung Group wants to merge two subsidiaries – Samsung Heavy Industries and Samsung Engineering - to prepare for the upcoming transfer of power. Chairman Lee Kun Hee was hospitalized following a heart attack in May, and his successor is his son Lee Jae Yong.

Samsung Heavy Industries had losses in the first half of the year due to overspending standby for orders with Nigeria and Australia. The company expects to have revenue from offshore shipbuilding operations increasing to 8 trillion won in 2020, accounting for one-third of the total revenue.