Exmar has finally taken delivery of what was the world’s first VLGC newbuilding to be ordered with a dual-fuelled propulsion system that will use LPG.
The Beligian shipowner announced the handover of the 88,000-cbm Flanders Innovation by Jiangnan Shipyard in China.
The company described the vessel as “the first-ordered, most efficient and largest dual-fuel LPG carrier in the world”.
The Flanders Innovation starts a five-year charter with Norway’s Equinor. The vessel is financed through a sale-lease-back scheme with Japanese shipping group Doun Kisen.
A sistership — Flanders Pioneer — is due for delivery later this summer.
Exmar was first to the table on LPG fuelling for a VLGC, which is now the preferred choice for almost VLGC newbuildings, contracting two 86,000-cbm ships at Hanjin Heavy Industries and Construction Philippines in early 2018 backed by long-term charters with Norway’s Equinor.
The vessels were originally due for handover in 2020. But the contract did not run smoothly, as the yard went into administration after defaulting on its loans.
Exmar jumped ship with the order to Jiangnan Shipyard, inking the newbuildings there at prices reported to be in the $73m to $74m range. But the delay cost the company its first-to-market crown for a dual-fuelled VLGC newbuilding.
The shipowner said its two VLGCs will reduce CO2 emissions by about 38% when compared to the International Maritime Organization’s reference lines for VLGCs.
The company said it took on a "serious challenge" by completing a project of this size during a global pandemic.
For the vessels, Exmar said it has revisited market standards for ship design, complying with and surpassing IMO rules and regulations and given special attention to energy efficiency and minimising environmental impact by adding eco-friendly features and selecting power-saving equipment.
"We are proud to show the world where we stand as Exmar when it comes to innovation, safety, sustainability and teamwork," Exmar chief executive Francis Mottrie said of the delivery of the Flanders Innovation.
"Successfully completing a project of this size under current challenging circumstances is a testimony to our crew’s perseverance."
