Greece’s Alpha Gas looks set to scoop multi-year time-charter business from Gazprom Marketing & Trading (GM&T) to back two LNG carrier newbuildings it has on order at South Korean shipbuilder DSME.
Industry sources said Alpha has emerged as the preferred choice from a raft of shipowners that made offers for the deal, although contracts have yet to be signed.
The company appears to have concluded its fourth LNG carrier order at DSME in the final few weeks of 2018.
Fresh order
TradeWinds reported last week that the shipowner had finalised a newbuilding at the yard. But a spokesman for the Greek outfit declined a request for confirmation, saying it is the company’s policy not to comment on market-related issues.
GM&T emerged in the last quarter of 2018 with a requirement for one firm LNG carrier of about 180,000-cbm capacity, with an option on a second vessel.
The company, which is the trading arm of Russian natural gas giant Gazprom, originally offered a charter of five years, but said it was open to extending the hire for up to eight years with optional periods.
GM&T specified ships fitted with either an M-type, electronically controlled, gas-injection (ME-GI) or XDF propulsion system.
The company said at the time that vessels delivering in 2020 were preferred, although those for 2021 handover would also be considered.
The specifications suggested that the trader was targeting some of the raft of speculatively ordered LNG newbuildings, which had been contracted during 2018.
GM&T is expected to require more tonnage to lift the shipments it is buying from projects such as those in Cameroon and Russia’s Yamal LNG.
Return to market
Alpha, like some of its compatriots, has made a return to the LNG scene this year as talk of a ship deficit from 2020 began to take hold.
In March, the shipowner dived in with a pair of LNG newbuildings. Both vessels are due for delivery in 2020.
The company returned to the yard in June to firm up an option during the Posidonia meeting in Greece.
Prior to this, the Greek shipowner had been operating a lone LNG carrier, the 160,000-cbm Energy Atlantic (built 2015), which it contracted — initially as one of two ships at STX Offshore & Shipbuilding in 2011, after flipping an earlier order for capesize bulkers to LNG newbuildings.
Since its delivery, the Energy Atlantic has been fixed by charterers such as US exporter Cheniere Energy and trader Trafigura for six-months-plus periods and shipowner Flex LNG, but is largely operated in the spot market.
