No slowdown in LNG carrier newbuilding orders

Both 2011-built vessels Stena Crystal Sky and Stena Clear Sky are now Singapore-flagged and have been delivered to BW LNG. The company has added its moniker to the vessel’s names and said it will immediately assume the existing charters for the vessels.

“This is an interesting growth opportunity for us; acquiring high-specification vessels on the water with solid charters to existing key clients. In BW LNG, we are committed to developing strategic floating LNG infrastructure," said BW executive vice president for LNG shipping, Petter Lindvig Larssøn. The vessels were originally built at South Korea’s Daewoo Shipbuilding & Marine Engineering and have an LNG carrying capacity of 174,000 m3.

Stena Bulk president and chief executive, Erik Hånell, said: “As part of our strategy to continuously look for new opportunities, Stena Bulk took the decision some time ago to sell Stena Crystal Sky and Stena Clear Sky. We are pleased to have been able to find a solid buyer in BW LNG for these two LNG carriers.”

The last Stena Bulk controlled LNG carrier – the 2006-built 143,632 cbm Stena Blue Sky - was sold in April 2024.

“The design focuses on minimising unit freight costs and ensuring structural robustness”

While Qatar is one of the main driving forces behind the latest wave of large LNG carriers, it is in competition with the fast developing LNG export facilities being developed in the US. In March 2024, Venture Global announced the acquisition and construction of nine new ships, currently under construction at an unnamed yard in South Korea. Six vessels will have a cargo capacity of 174,000 m3 and the remaining three a capacity of 200,000 m3.

Venture Global LNG chief executive, Mike Sabel, said the company expects to take delivery of the first two ships later in 2024, which suggest these are vessels being sold off-the-blocks. All nine vessels will use the latest two-stroke MEGA/MEGI engines. Venture Global said the selected main engine type supported by the shaft generator technology “significantly reduces” methane slip compared with the previous generations of two-stroke and four-stroke-propelled LNG carriers.

The decision to opt for an owned fleet gives the exporter the option of selling cargoes directly into the spot market without using trading houses or intermediaries. It would create a vertically integrated structure and place Venture Global in a very strong position if there is another surge in LNG spot prices as seen during the development of the first phase of its Calcasieu Pass facility.

“We are sending a strong signal to the global market of our long-term commitment to meeting the world’s growing energy demand at a large scale, bolstering the security of our customers and allies by providing them with clean, affordable and reliable US LNG as efficiently as possible,” Mr Sabel said.

Major LNG carrier builder recruits star team

In a surprise move South Korean shipyard group Hanwa Ocean, which has 78 LNG carriers on its orderbook, has recruited a dream team of LNG specialists to head up its London office. Overseas shipyard sales offices are normally staffed by native company representatives on secondment but the move to recruit foreigners in senior positions is highly unusual. Especially very senior figures such as Shell’s former shipping LNG and decarbonisation manager, Claire Wright, (a regular speaker at the LNG Shipping & Terminals conference). The other three members have not yet been revealed but are expected to be of a similar calibre.