Petronas signs long-term time charter with Japan shipbuilder K Line

Petronas’ subsidiary Petronas LNG Ltd recently signed a 12-year time charter party with a Japanese shipowner Kawasaki Kisen Kaisha Ltd for two midsized new build LNG vessels.

The deal comes with an option to extend the charter of the vessels, each boasting 79,960 cubic metres in capacity, for another 12 years,

Petronas said this was in line with the signing of the shipbuilding agreements between ‘K’ Line and Hudong-Zhonghua Shipbuilding Co Ltd for the construction of the vessels in Shanghai, China.

They are expected to be delivered in the second quarter of 2022.

“These identical vessels will be dedicated to serving Petronas’ long-term LNG delivery commitment to Shanghai under the new LNG supply agreement with Shenergy Group Co Ltd (Shenergy).

“The vessels, known as Wuhaogou-Max (W-Max), are specifically built to fully optimise the delivery of LNG cargoes to Shenergy’s Wuhaogou LNG terminal in Shanghai.

“The vessels are capable of delivering fully laden cargoes within the channel’s permissible limits without exceeding the port’s draught limitation,” Petronas said.

Petronas executive vice president and chief executive officer of gas and new energy Adnan Zainal Abidin commended the pace of the procurement and chartering of these vessels which were concluded within four months, thus setting a new standard in the industry.

The signing of the respective agreements between Petronas LNG and K Line for the TCP, together with the shipbuilding contracts involving K Line, Hudong-Zhonghua Shipbuilding and China Shipbuilding Trading Co Ltd were witnessed by Petronas president and group chief executive officer Tan Sri Wan Zulkiflee Wan Ariffin.
Source: New Straits Times