Angola state oil company Sonangol is considering ordering suezmax tankers and LNG carrier newbuildings worth nearly $1.2bn as part of its fleet renewal efforts.
Shipbuilding sources said Sonangol is looking for up to four suezmaxes priced at up to $95m each and three LNG carriers, which currently cost about $260m apiece.
A Sonangol executive confirmed to TradeWinds that it is considering ordering new ships for fleet renewal.
Those following the business closely said Sonangol has been working exclusively with one broker on a tender for up to four 158,000-dwt suezmax tankers.
They detailed that the company has asked for offers on two firm vessels with either one or two optional berths.
Only South Korean shipbuilders appear to be in the mix for the business, which has been with the yards for several weeks.
HD Hyundai Heavy Industries, Hanwha Ocean and DH Shipbuilding are said to be competing for the vessels.
Shipbuilding players believe Sonangol will need to pay about $380m for the four scrubber-fitted suezmax tankers as South Korean shipyards are seeking between $90m and $95m per ship.
One newbuilding player said: “Samsung [Heavy Industries] did not participate in Sonangol’s suezmax tanker tender as it does not have the berths to offer.”
SHI recently secured an order for four 158,000-dwt crude carriers from Dynacom Tankers Management of Greece, but the ships will be built in China as it has subcontracted out the newbuildings to PaxOcean Zhoushan.
The Koje-based shipbuilder is also thought to be reserving some of its berths for Evergreen Marine’s planned order for up to 11 mega-size, methanol dual-fuel container ships.
Sonangol is also said to have asked shipyards in China and South Korea for offers on three 174,000-cbm LNG carrier newbuildings, although brokers said this process had yet to be formalised.
Yard sources named HD Hyundai Heavy Industries, Hanwha Ocean and SHI together with China State Shipbuilding Corp’s Hudong-Zhonghua Shipbuilding and Jiangnan Shipyard among those asked to make offers on the LNG carriers.
Sonangol would be expected to pay about $780m for the trio.
Prices for LNG carrier newbuildings have remained stubbornly at about the $260m mark, largely due to the surge in ordering for vessels and large container ship tonnage, but depending on specifications and yards chosen some recent orders have dipped below this figure.
One shipbuilding source said: “There is a possibility that Sonangol may be able to firm up the order for the oil tankers before the year ends.”
But the enquiry for new LNG carriers is still at the initial stage and it will take some more time for the company to conclude these orders.
Sonangol has 10 suezmax tankers on the water, of which its oldest vessel — the 158,000-dwt Sonangol Namibe — was built in 2007. The company partners with Sweden’s Stena Bulk in the Stena Sonangol Suezmax Pool.
Angola LNG stake
The Luanda-headquartered company also controls a 22.8% stake in the country’s Chevron-led, 5.2 mtpa Angola LNG project, which shipped its first cargo in 2013.
Angola LNG boasts a fleet of seven 160,000-cbm LNG carriers, ordered for the project in 2007, which it charters in on a long-term basis.
Four of the vessels were built with diesel-electric propulsion systems, but the three contracted by Chevron in partnership with Sonangol Shipping — the 160,500-cbm Sonangol Sambizanga, Sonangol Benguela and Sonangol Etosha (all built 2011) — are steam turbine vessels.
Angola LNG states on its website that shipping accounts for about 20% of its total lifecycle emissions.
The company said: “We are working to implement a series of initiatives to improve emissions over the next few years as we embark on a road to net zero.
“During the first stage of modifications to our vessels, Angola LNG has estimated that a substantial commitment will be required to improve our carbon footprint.”
