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QatarEnergy Wraps Up Historic Newbuild Orders with More Max LNG Carriers

largest LNG carrier
Rendering of the new QC-Max which will be the largest LNG carriers (CSSC)

Published Dec 11, 2024 3:29 PM by The Maritime Executive

 

QatarEnergy concluded a time charter agreement with a joint venture between Japan’s Mitsui O.S.K. Lines and China’s COSCO Shipping LNG as the last step in its historic multi-year shipbuilding program. The deal calls for six more QC-Max LNG carriers, the largest vessels of their kind in the world.

When the newbuilds are completed. QatarEnergy will have commitments for a total of 128 LNG carriers supporting the expansion of its LNG production and export operations. A total of 104 conventional size LNG carriers are being built between China and South Korea with the first of the ships beginning delivery this year. In addition, they will have 24 QC-Max vessels each with a capacity of approximately 271,000 cbm.

QatarEnergy and its partners have emphasized the greater efficiency of these massive gas carriers while saying they will still have access to most major ports. COSCO said the vessels will have enhanced fuel efficiency and reduced emissions making them among the most advanced in the industry. It was previously reported that each vessel will measure 1,128 feet (344 meters) with a design draft of just over 39 feet (12 meters).

It had been rumored for months that they were shopping the final order between yards in South Korea and China. The order for six of the Max vessels is going to Hudong-Zhonghua Shipbuilding, a subsidiary of China State Shipbuilding Corporation (CSSC). The same shipyard had received the prior orders which had been increased in April 2024 to a total of 18 vessels. The prior orders were reported to have delivery dates paced between 202 8 and 2031.

The agreement also extends the partnership between the two companies. MOL and COSCO in 2022 executed a contract for seven conventional-size LNG carriers (174,0000 cbn) which will operate on long-term charters to QatarEnergy. COSCO has benefitted from the newbuild program contributing to its expansion. The Chinese shipping company is also a joint-venture partner with China LNG Shipping for two additional vessels for QatarEnergy.

“We are proud to have forged very important partnerships and business relations with many companies and joint ventures including today’s new partnership with MOL and COSCO Shipping,” said Qatar’s Energy Minister and CEO of QatarEnergy His Excellency Minister Al-Kaabi.

Many leading shipping companies joined with QatarEnergy in executing the massive construction program. Qatar in 2020 reported it had made the largest ever reservation for newbuilds anticipating at least 100 vessels. The development of the new LNG field is still to give Qatar leadership as the largest LNG exporter after having vied the past few years with the United States and Australia for the largest volumes. 

Most of the vessels being built with be for fleet expansion. QatarEnergy however confirmed that some of the vessels would replace older carriers in a modernization of its existing fleet.