Adnoc Logistics & Services (Adnoc L & S) is continuing to renew its LNG carrier fleet with more newbuilding orders.
The Abu Dhabi-based shipowner has signed up for three more 175,000-cbm newbuildings at Jiangnan Shipyard, lifting the tally to five.
Two earlier vessels were ordered with the Chinese shipbuilder in March.
Adnoc L & S said the 175,000-cbm LNG carrier newbuildings are significantly larger than its existing LNG ships, which have a 137,000-cbm cargo capacity.
“Adnoc L & S is an active player in the evolving global energy landscape, where natural gas and LNG are playing an increasingly important role,” said CEO Capt Abdulkareem Al Masabi.
He added the acquisition of five state-of-the-art LNG vessels will support the firm’s existing LNG business as well as its significant growth plans.
“Several dynamics are strengthening the LNG market which makes the timing of these acquisitions, particularly significant. This includes a renewed emphasis on energy access and security, as well as new environmental regulations that favour more fuel-efficient vessels, such as the newbuilds that we are purchasing.”
The company said the larger and more energy-efficient vessels will allow it to meet growing customer demand while improving the environmental footprint of its fleet. The new vessels’ engine technology will reduce emissions [CO2, NOX and SOX] and in combination with the innovative air lubrication system, further reduce fuel consumption by at least 10%.
Adnoc did not disclose the price of its latest newbuildings but shipbuilding sources believe it is paying around $200m per ship.
Jiangnan is scheduled to deliver the gas carriers in 2025 and 2026.
Adnoc is believed to still hold an option vessel at Jiangnan that it is likely to exercise.
Adnoc L & S, the shipping arm of the Abu Dhabi National Oil Co. The company also has five co-owned, LPG-fuelled, 86,000-cbm VLGC newbuildings under construction at Jiangnan. The quintet was ordered in a joint venture with Chinese polyurethane producer Wanhua Chemical Group in 2020 for a reported price of $73m per ship.
Adnoc L & S, which claims to have the largest, most diversified fleet in the Middle East, with more than 200 vessels, has also been active in the secondhand market, buying eight VLCCs and six product tankers in the past two years.
