Another 5 ships! Hudong-Zhonghua receives another LNG carrier order from Qatar's 100-ship plan
2022-11-09 09:00
Following the initial order of four LNG carriers in April, Hudong-Zhonghua has secured another large order for five LNG carriers from Qatar's "100-ship plan." To date, Qatar has ordered over 60 LNG carriers from four shipbuilding companies in China and South Korea this year, with Hudong-Zhonghua securing all nine orders placed in China.
On November 2, a joint venture company formed by China LNG Shipping (Holdings) Co., Ltd. (CLNG), Nippon Yusen Kaisha (NYK), Kawasaki Kisen Kaisha, and MISC Berhad signed a contract with Hudong-Zhonghua for the construction of five 174,000 cubic meter membrane-type LNG carriers. A long-term charter contract for these five LNG carriers was also signed with QatarEnergy.
The newly ordered five vessels are scheduled for delivery starting in 2025. The ships will be equipped with eco-friendly technologies, such as X-DF 2.1 engines and intelligent controlled exhaust gas recirculation (iCER), to reduce greenhouse gas emissions.
Qatar's LNG carriers will adopt Hudong-Zhonghua's independently developed and designed fifth-generation "Chang Heng series" 174,000 cubic meter vessel type. It incorporates the essence of the designs of the previous four generations of LNG carriers, developed according to the latest global design concepts, and combines excellent hydrodynamic characteristics and outstanding versatility. The vessel is 299 meters long, 46.4 meters wide, and 26.25 meters deep. It is tailored to the technical standards established by QatarEnergy's operation of the world's largest LNG fleet, adopts the latest generation of twin stern fins, and is equipped with multiple low-carbon energy-saving and digital technologies.
The joint venture shipowner company that placed this order consists of CLNG, NYK, Kawasaki Kisen Kaisha, and MISC, each holding a 25% stake. These four companies are major LNG carrier operators in Asia. Earlier this year, these four companies formed a consortium to bid on a project for 12 LNG carriers as part of QatarEnergy's "100-ship plan." In addition to the five vessels from Hudong-Zhonghua, the joint venture company ordered seven 174,000 cubic meter LNG carriers from Hyundai Heavy Industries in August.
It is understood that CLNG is an LNG investment company with 50% equity held by COSCO SHIPPING and China COSCO Shipping Energy. As of December 31, 2021, the CLNG fleet operated 21 LNG carriers with a total deadweight tonnage of 1,655,600 DWT and an average age of 5.8 years. It is the first and most powerful LNG carrier transportation company in mainland China and the Greater China region.
Qatar's LNG carriers will adopt Hudong-Zhonghua's independently developed and designed fifth-generation "Chang Heng series" 174,000 cubic meter vessel type. It incorporates the essence of the designs of the previous four generations of LNG carriers, developed according to the latest global design concepts, and combines excellent hydrodynamic characteristics and outstanding versatility. The vessel is 299 meters long, 46.4 meters wide, and 26.25 meters deep.
It is tailored to the technical standards established by QatarEnergy's operation of the world's largest LNG fleet, adopts the latest generation of twin stern fins, and is equipped with multiple low-carbon energy-saving and digital technologies.
The joint venture shipowner company that placed this order consists of CLNG, NYK, Kawasaki Kisen Kaisha, and MISC, each holding a 25% stake. These four companies are major LNG carrier operators in Asia. Earlier this year, these four companies formed a consortium to bid on a project for 12 LNG carriers as part of QatarEnergy's "100-ship plan." In addition to the five vessels from Hudong-Zhonghua, the joint venture company ordered seven 174,000 cubic meter LNG carriers from Hyundai Heavy Industries in August.
In April 2020, QatarEnergy was the first to sign a preliminary agreement with China Shipbuilding Group for an LNG carrier construction project worth RMB 20 billion. In June 2020, QatarEnergy signed a memorandum of agreement (MOA) with the three major South Korean shipbuilders, including Daewoo Shipbuilding & Marine Engineering, reserving a significant portion of their LNG carrier construction capacity for QatarEnergy until 2027.
Due to confidentiality agreements, the exact number of vessels in the relevant agreements has not been publicly disclosed. However, industry speculation suggests that the contracts for the three major South Korean shipbuilders are for 45 vessels each, totaling 135 vessels; Hudong-Zhonghua's contract is estimated to be a maximum of 20 vessels.
In April of this year, Hudong-Zhonghua signed a contract with Mitsui O.S.K. Lines for the construction of four LNG carriers, marking the first batch of LNG carrier orders from Qatar. Subsequently, QatarEnergy ordered 52 LNG carriers from the three major South Korean shipbuilders, including 19 from Hyundai Heavy Industries, 19 from Daewoo Shipbuilding & Marine Engineering, and 14 from Samsung Heavy Industries. Including Hudong-Zhonghua's latest five vessels, the number of confirmed orders for QatarEnergy's "100-ship plan" has reached 61.
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