QatarEnergy and tender partner Qatargas are in the final throes of whittling down the shipowning partners it plans to work with on its first batch of 16 LNG carrier newbuildings.
Sources close to the process indicated that a choice of preferred shipowner or operator is due to be made this month.
They revealed that shipowners have recently made revised proposals to yards.
A “match-making” process in which owners are paired with shipyards is expected to take place in February. Shipbuilding and time-charter contracts are then likely to be signed in March to April.
Qatar has now declared a total of 16 berths out of up to 151 that are potentially available under the slot reservation deal signed with four of the biggest LNG carrier shipyard specialists.
To date, QatarEnergy has made formal announcements about only 10 berths — four each at Daewoo Shipbuilding & Marine Engineering and Hudong-Zhonghua Shipbuilding (Group), and two at Samsung Heavy Industries.
But those working on the project said four berths each have now been declared at SHI and Hyundai Heavy Industries.
The whole process on the mammoth newbuilding haul is moving slower than first expected, which is creating a logjam at shipyards that are now being inundated with enquiries for LNG berths for project business and from independent owners.
Qatargas announced the berth deals with shipbuilders in April and June 2020 amid indications that contracts on the first vessels would be signed that year, so deliveries could start in late 2024.
Pricing complications
But aside from news of the first berth declarations and talk of tough contractual terms, little else emerged and the first delivery slots have now moved into 2025, leaving shipbuilders little to offer others seeking LNG carrier newbuildings for pre-2026 handover dates.
The situation in 2021 was complicated for Qatar by price increases at shipyards.
The cost of LNG carrier newbuildings rose from around $185m at the start of the year to $210m-plus at the end, forcing fresh discussions with yards on pricing.
Qatar has said its LNG newbuildings will be used as shipping for its under-construction North Field expansion project, which will eventually boost the tiny Gulf state’s LNG production from 77 million tonnes per annum to 126 mtpa by 2027.
In addition, the vessels are needed to cover cargoes from the Golden Pass LNG project in the US, in which QatarEnergy is a shareholder, and for fleet renewal.
