Japanese shipping major Mitsui O.S.K. Lines (MOL) and compatriot energy giant JERA have signed a long-term charter deal for a newbuild liquified natural gas (LNG) carrier.
This is the fifth contract, following a time charter contract for four LNG carriers that were signed for JERA.
The vessel will be built at the Geoje Shipyard of South Korean shipbuilder Hanwha Ocean (formerly DSME). It will measure 294.9 meters in length, with a breadth of 46.4 meters. The ship’s capacity will be 174,000 cbm.
The LNG carrier is scheduled for delivery in 2025. It will be managed by MOL and will transport LNG for JERA.
The new vessel will be equipped with MAN Energy Solutions’ engine (ME-GA), which is expected to improve fuel consumption efficiency, with specifications that enhance its environment friendliness, compared to conventional LNG carriers.
This initiative is in line with the “MOL Group Environmental Vision 2.2,” which aims to achieve net zero greenhouse gas (GHG) emissions by 2050, and the goal of “expanding the low-carbon/decarbonized business by leveraging the group’s collective strength.”
Recently, MOL announced a charter agreement with Kansai Electric Power Co. for a LNG-powered bulker. The unit will be built at Oshima Shipbuilding and the delivery date is scheduled for the second half of 2026.
By opting for LNG propulsion MOL expects to cut CO 2 emissions by about 25% and NOX emissions by 85% respectively, and eliminate sulfur oxide (SOx) emissions in comparison to burning conventional marine fuel. The company said that LNG made sense due to its maturity level in terms of availability and widespread use.