The National Shipping Company of Saudi Arabia (NSCSA)  has signed an agreement with Hyundai Samho Heavy Industries of South Korea for the construction of two crude oil tankers (VLCCs).

The vessels will be delivered during the third quarter of 2007.
Suleiman bin Jasir Al-Herbish, chairman of the NSCSA board of directors,  signed the agreement in Riyadh.
Al-Herbish, who chaired the board of directors’ meeting, said that the board has resolved to refer the recommendation for the distribution of 10 per cent of the profit or SR5 per share to the shareholders to the company’s general assembly for its approval.
This will be implemented on approval of the final results for the fiscal year 2004.
Al-Herbish said that the board of directors had approved the financial statements for the third quarter of 2004 which shows a profit of SR85 million ($22.7 million) as compared to the profit of SR29 million achieved during the same period in 2003.
He also stated that the unaudited profit of the company for the period from January 1, 2004 to September 30, 2004, amounted to SR274 million as compared to SR132 million for the same period during 2003.
He further added that NCC, which is a subsidiary of NSCSA, is about to sign contracts with Hyundai Mipo Dockyard of South Korea for the construction of four chemical tankers of 46,200 dwt capacity each.
These chemical tankers will be inducted into service during the fourth quarter 2007, and the first quarter of 2008 respectively replacing four tankers which will be withdrawn from service.
He further stated that the four chemical tankers added to the six chemical tankers which NCC had signed already with Hyundai Mipo in 2003, makes a total of 10 new chemical tankers under construction for the National Chemical Carriers Ltd Co (NCC).
NSCSA also celebrated its silver jubilee by organising a reception ceremony attended by ministers, members of the Consultative Council, VIPs from the various government departments, leading businessmen and shareholders.
The NSCSA was incorporated as a Saudi Joint Stock Company by a Royal Decree in October, 1979 and is the national flag carrier of the Kingdom of Saudi Arabia.
NSCSA has fully paid up capital of SR2 billion, 29 per cent of which is owned by the Saudi Government and the remaining by leading Saudi businessmen and citizens. 
Since starting Container-RoRo service in 1980, NSCSA has diversified its activities by entering into petrochemical transportation in 1985.
During 1995-1996 the Company stepped up crude oil transportation.  In 1997 NSCSA established its own Ship Management Company in Dubai and also a Container Service Yard at Jeddah Islamic Port.
During 2002, NSCSA further expanded its activities into Freight Forwarding / NVOCCs services and making rapid strides since then.
NSCSA has been playing a significant role in the transportation of project cargoes contributing to the regions' infrastructure development and related requirement of specialist cargo transportation for oil fields, petrochemical and construction industries.
During 1996-1997, NSCSA entered into crude oil transportation by taking delivery of five newly built double-hull VLCCs from Mitsubishi Heavy Industries, Japan.  Four more double-hull VLCCs built by Samsung Heavy Industries, Korea were acquired in 2001-2002.  
NSCSA has joined the elite group of companies at the top of the crude oil transportation arena.   The company’s VLCCs are currently operating both on time-charter as well as spot market.
The NCC, a joint venture Company was established jointly by NSCSA and Saudi Basic Industries Corporation (Sabic) with both having 80:20 participation.