Swan Defence and Heavy Industries Share Price Hits 5% Upper Circuit on Signing LOI with Rederiet Stenersen AS

Swan Defence and Heavy Industries Limited (SDHI) has signed a Letter of Intent (LoI) with European ship owner Rederiet Stenersen AS for constructing 6 IMO Type II chemical tankers. Each vessel will have a capacity of 18,000 deadweight tonnes (DWT). 

As per the exchange filings, the total value of the agreement is estimated at around approximately $220 million, with an option for 6 more vessels of the same class.

Construction at Pipavav Facility

The tankers will be built at SDHI’s shipyard in Pipavav, Gujarat. This is the company’s first major international order since operations resumed under the Swan Group. The facility has India’s largest dry dock, measuring 662 metres by 65 metres, and a fabrication capacity of 164,000 tonnes per year.

Design and Classification

The vessels will be designed by Marinform AS of Norway and classed by DNV. They will be built to Ice Class 1A standards, which make them suitable for operations in icy waters. The ships will also feature a hybrid propulsion system that improves efficiency, allows multiple operating modes, and helps lower emissions during operation.

Future Fuel Compatibility

Each tanker is being built with provisions to adapt to cleaner fuel technologies. The design allows conversion to methanol or LNG-based propulsion and includes the option to install battery capacity of up to 5,000 kWh. These additions are to make the vessels compliant with evolving global environmental standards.

About the Companies

Rederiet Stenersen AS, founded in 1974, operates a fleet of 19 chemical and product tankers ranging between 16,000 and 19,000 DWT. The company primarily serves routes in Northern Europe.

SDHI, formerly Reliance Naval and Engineering Limited, is engaged in shipbuilding and heavy fabrication. The company operates from its shipyard on India’s west coast.

Read More: Swan Defence Partners with Mazagon Dock for Indian Navy’s Amphibious Warships!

Swan Defence and Heavy Industries Share Price Performance

As of 10:22 am on November 11, 2025, Swan Defence and Heavy Industries share price was trading at ₹986.75, hitting 5.00% upper circuit.

Conclusion

The Letter of Intent outlines the framework for collaboration between the two companies. Detailed commercial terms and delivery timelines will be finalised under the subsequent shipbuilding contract.

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