NYK, Pertamina’s shipping unit ink LNG carrier pact

Japan’s shipping giant NYK and Pertamina International Shipping (PIS), a shipping unit of Indonesia’s state-owned energy firm Pertamina, plan to jointly own liquefied natural gas (LNG) carriers.

According to a statement by NYK, the duo signed a memorandum of understanding in Jakarta on June 20 to collaborate in the field of LNG and liquefied carbon dioxide (LCO2) and jointly establish a ship management company.

NYK and PIS agreed to begin full-scale discussions on joint ownership of LNG carriers, NYK said.

“Based on NYK’s more than 40 years of experience in owning and operating LNG carriers, we will work with PIS to meet the demand for LNG transport in Indonesia, where further expansion of LNG production and consumption is expected,” the company said.

LCO2

Based on the strategic partnership agreements signed in 2022, NYK and PIS have agreed to collaborate in obtaining business opportunities through assessments and feasibility studies for the transboundary transportation of LCO2 to and from Indonesia, NYK said.

The two companies aim to offer LCO2 transportation services for storage operators and CO2 emitters like Pertamina.

In addition, NYK and PIS have agreed to jointly establish a ship management company.

“Through this initiative, we aim to build a stronger relationship with PIS and provide advanced ship management services to meet the expected increase in demand for ships in the country,” NYK said.

Back in 2022, NYK finalized its deal to invest in PIS.

The two firms concluded the investment agreement and a strategic alliance agreement on December 1, 2022.

NYK’s LNG fleet

NYK’s large fleet of operational LNG carriers rose to 91 vessels by the end of March this year.

The company had 86 operational LNG carriers in its fleet at the end of September last year.

According to a presentation by NYK for fiscal 2023, its LNG carrier fleet included 78 owned or co-owned LNG carriers and 13 chartered vessels by the end of March this year.

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