Singapore's Vard Holdings has clinched its first order from Boreal of Norway.
The yard will construct a ro-pax for delivery in the third quarter of 2019.
The 74-metre ship features a "fully electrical battery solution" for continuous electric operations.
It has been specially designed by Multi Maritime for environmentally-friendly operations in the Norwegian fjords.
The vessel will carry 60 cars and 199 passengers and crew.
The Hammerfest owner has a fleet of 40 ships.
Vard CEO Roy Reite said: “We are delighted to welcome Boreal as a new client to Vard, and look forward to building the battery-powered ferry, in which we can utilise our strong expertise in battery technology for efficient and environmentally friendly vessels.”
The hull of the vessel will be built by Vard Braila in Romania, while Vard Brevik in Norway will complete it.
The ferry will start operations in Norway from January 2020, serving the Kvanndal-Utne route for which Boreal has been awarded a nine-year contract by the Norwegian government.