K Line and Chandris charter DSME LNG newbuildings to BP

K Line LNG Shipping (UK) Ltd and Chandris Hellas have agreed long-term time charter contracts with the BP group for two LNG carrier newbuildings they have ordered from Daewoo Shipbuilding and Marine Engineering (DSME) in South Korea.

DSME will deliver the two vessels, each built to carry 173,400mᶟ, in 2018. K Line Shipping (UK) managing director Yuzuru Goto says the vessels will primarily deliver LNG from new Texas, US-based export project Freeport LNG.

K Line will manage the two vessels from its European head office in London. The Japanese shipowner has eight LNGC newbuildings on order and 43 on the water. The company plans to increase its fleet to 61 vessels by 2019, when it celebrates its centenary year.

Four K Line newbuildings are booked against Australian export projects, and will be delivered by year-end 2016, and four are booked to carry US exports, to be delivered between 2016-2020.

Consortium partners K Line and Chandris see the time-charter deal as a way to develop their energy-transport relationship with BP and to meet growing global demand for LNG transport.