Kawasaki Kisen Kaisha, Ltd. (“K” LINE) has agreed in principle with GAIL (India) Limited (GAIL) and J M Baxi Group (J M Baxi), our business partner in India, on the joint ownership of an LNG carrier currently under construction by Samsung Heavy Industries Co., Ltd.
This vessel, constructed by Samsung Heavy Industries, is scheduled for delivery in 2027. With an overall length of approximately 290 meters and a beam of 45.8 meters, it features a tank capacity of 174,000 cubic meters. The vessel is equipped with a 2-stroke propulsion system, enabling a service speed of 19.5 knots.
Upon delivery, the vessel is scheduled to be put into service under a long-term time charter with GAIL. The three partners held a signing ceremony during India Energy Week in Goa on January 27 that was attended by the honorable Shri Hardeep Singh Puri, the Minister of Petroleum and Natural Gas of the Government of India.
This initiative is part of our strategy“Acquiring opportunities in future growth markets such as Asia” identified in our Medium-Term Management Plan. “K” LINE concluded a long-term time charter contract with GAIL, which was announced on December 2, 2024, and has it has an established long-standing track record of collaboration with J M Baxi in the Indian market through agency services and logistics operations. By jointly owning the vessel, “K” LINE aims to further strengthen its relationships with both companies and continue to pursue the development of new business opportunities, particularly in the Asian region.
“K” LINE will continue to expand its long-term contracts and accommodate the growing demand for energy by responding to the diverse needs of its customers in the LNG carrier business.
It is understood that the collaboration between “K” LINE and GAIL dates back to the “Bishu Maru”, built in 1983. In addition to “K” LINE, GAIL has also signed a long-term charter agreement with another Japanese shipowner, NYK, to charter the 174,000 cubic meter LNG carrier “Grace Emilia”, delivered in October 2021 by HD Hyundai Samho.
VessselsValue data shows that GAIL currently operates three 174,000 cubic meter LNG carriers and operates a fourth through a joint venture with Mitsui O.S.K. Lines (MOL).
Currently, “K” LINE has an order backlog of seven 174,000 cubic meter LNG carriers, with Hanwha Ocean and Samsung Heavy Industries building four and three respectively. Two are planned for delivery in 2026, and one in 2027—the vessels involved in this joint venture project.