Recently, China Gas announced the approval of two new LNG carriers, with options for two similar LNG carriers.
According to the announcement, the four LNG carriers are planned to be deployed for international and domestic natural gas transportation, including but not limited to international LNG trade transportation, imports, and domestic coastal LNG receiving station turnover.
The new vessels have a total length of 299.7 meters, a beam of 46 meters, a depth of 26.2 meters, a design draft of 11.5 meters, a design service speed of 19.5 knots and a total cargo hold capacity of 175,000 cubic meters. The estimated Energy Efficiency Design Index (EEDI) value for the new vessel is 4.425 grams per ton per nautical mile, representing a reduction of approximately 55% compared to the baseline value, and 25% below the EEDI Phase 3 emission reduction standards, thereby meeting the latest EU carbon emission requirements.
It is reported that China Gas previously collaborated with Wah Kwong Transport Holdings Ltd. (Wah Kwong) and CSSC (Hong Kong) Shipping Company Limited to order several 175,000 cubic meter LNG carriers from Dalian Shipbuilding Industry Corporation (DSIC), with deliveries expected to begin in 2027.
In August 2023, SEA JADE INVESTMENT LIMITED, a joint venture between China Gas, Wah Kwong, and CSSC (Hong Kong) Shipping Company, ordered 2+2 175,000 cubic meter LNG carriers from DSIC.
In March 2024, China Gas announced that it planned to cooperate with Wah Kwong/CSSC (Hong Kong) Shipping Company to order two additional LNG carriers from DSIC; in April of the same year, OCEAN JADE INVESTMENT LIMITED, a joint venture between China Gas/Wah Kwong/CSSC (Hong Kong) Shipping Company, signed a contract with DSIC to build two LNG carriers.
It is unclear whether China Gas will continue with its previous shipbuilding model, but it is expected that orders for four new vessels will continue to be placed with Chinese shipyards. If the shipbuilding contract is successfully finalized, it will be the first large LNG carrier order for Chinese shipyards this year.
According to the public announcement, the four LNG carriers to be built will be invested and constructed by China Gas’ wholly-owned subsidiary, China Gas Investment Limited, with a total investment of RMB 7 billion (approximately US$975 million).
China Gas Investment Limited was established by China Gas on June 14, 2005, with an initial registered capital of US$30 million. After several capital increases, the registered capital increased to US$250 million as of the end of June 2019.
According to China Gas’ official website, the company is one of China’s largest cross-regional comprehensive energy supply and service companies and is listed on the Main Board of the Hong Kong Stock Exchange.
As of March 31, 2024, China Gas has a total of 80,000 employees, more than 500 natural gas vehicle and ship refueling stations, more than 100 liquefied petroleum gas terminal distribution projects, 5 liquefied petroleum gas terminals, 1 maritime transport fleet, etc. The total length of its gas pipeline network is more than 500,000 kilometers, and the annual sales of natural gas exceeds 40 billion cubic meters.