MISC Set to Grow LNG Carrier Orderbook With Five Vessels Under 20-Year Charters

Malaysian shipowner MISC is further expanding its LNG carrier business, with additional newbuildings planned under long-term charter agreements. The Petronas group company accepted a letter of award from Petronas LNG for the long-term charter of five newbuild LNG carriers, which will be built at CSSC subsidiary Hudong-Zhonghua Shipbuilding. Each vessel will be chartered for a firm period of 20 years, with charter commencement expected in 2030.

 

Details of the Charter

 

MISC has accepted a charter award. It is for five newbuild carriers. These are LNG carriers. The award came from Petronas LNG. It is a long-term charter.

The vessels will be built in China. MISC will contract a Chinese shipbuilder. This is Hudong-Zhonghua Shipbuilding. Each will be chartered for 20 years. Commencement is expected in 2030.

 

The Strategic Rationale

 

The charter serves clear goals. MISC described it as strategic. It capitalises on LNG production growth. This is Petronas’s anticipated growth. It supports a fleet programme.

The programme concerns rejuvenation. It introduces modern vessels. These are efficient vessels. This renews the fleet. It reflects a strategic initiative.

 

The Additional Charter

 

A separate charter was also announced. This involves a joint venture. The venture is with a Japanese partner. It covers a newbuild carrier. This has an 18,700-cubic-metre capacity.

The charter has defined terms. It runs for 10 years. Commencement is expected in 2028. The vessel will be built in China. This follows an earlier filing.

 

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The Joint Venture

 

The joint venture has a long history. MISC holds a majority stake. It was established in 1987. It owns an existing carrier. This serves a specific trade route.

The venture operates established services. Its vessel has served since 1998. This covers a specific route. The new charter extends this. It adds a modern vessel.

 

The Fleet and Orderbook

 

MISC has a substantial fleet. It lists 31 LNG carriers. These include joint venture vessels. It also has an orderbook. This spans multiple vessels.

The orderbook is significant. It includes many LNG carriers. Some are at Hudong-Zhonghua. Others are at Samsung. This reflects active ordering.

 

Significance of the Charters

 

The charters strengthen MISC’s position. They expand its LNG business. They deepen its Chinese shipbuilder ties. This follows earlier contracts. It reflects growing cooperation.

The charters reflect broader activity. MISC recently named a new carrier. This was for a Qatari charter. It participated in a fleet programme. These reflect MISC’s LNG expansion.