Avenir sells world’s largest LNG bunkering ship to Chinese JV

London-based small-scale player Avenir LNG has sold the world’s largest LNG bunkering vessel, Avenir Allegiance, to a joint venture consisting of China’s terminal operator Shanghai International Port (SIPG) and Shenergy.

Shanghai SIPG Energy Service Co. would use the 20,000-cbm Avenir Allegiance to bunker CMA CGM’s LNG-powered vessels as part of a deal revealed earlier this month, according to a statement by Avenir on Monday.

CMA CGM’s unit in China said on January 13 it had signed the 10-year LNG bunkering deal with SIPG under which the latter would fuel CMA CGM’s 15,000 TEU vessels with a new 20,000-cbm LNG bunkering vessel in Yangshan Port.

The firm did not reveal the name of the LNG bunkering vessel but LNG Prime reported then that the ship in question could be the recently delivered Avenir Allegiance.

Last month, Avenir, a joint venture consisting of Stolt-Nielsen, Hoegh and Golar, took delivery of the world’s largest LNG bunkering ship from China’s CIMC SOE.

Following the sale to the Chinese JV and name change, the vessel berthed at Shenergy’s Yangshan LNG terminal earlier this month, according to local media reports.

Avenir sells world's largest LNG bunkering ship to Chinese JV
Image: Avenir LNG

Marketing deal

Besides the sale, Avenir has entered into a long-term joint co-operation agreement with SSES.

The firm said in the statement it would be responsible for the global marketing of LNG bunkering services in Shanghai Port.

In addition, it would support SSES with operational and technical services to ensure “seamless LNG bunkering operations” for the CMA CGM containerships and future customers.

With this, Avenir expands into the rapidly growing Chinese market adding another hub to its existing bunkering network in the Mediterranean, northwest Europe, and Malaysia.

Avenir did not the price tag of the LNG bunkering vessel sale.

It said that the sale released “significant” cash back to Avenir and the proceeds would go towards boosting the company’s working capital position and fund future growth opportunities.

VesselsValue data suggest the 20,000-cbm Avenir Allegiance is worth about $58.57 million.

Chief executive Peter Mackey welcomed the opportunity to, “play an important role in establishing and promoting China’s first LNG bunkering hub in Shanghai.”

“This deal marks another major achievement in Avenir’s development as we continue to expand our LNG bunkering network globally,” he said.

Most Popular

South Korea’s Posco says first LNG carrier to start ops in H2

Posco International, a unit of South Korean steel producer Posco, plans to start shipping LNG with its first dedicated LNG carrier in the second half of this year.

Atlantic LNG shipping rates continue to decrease

Atlantic LNG freight shipping rates continued to decrease this week, while European prices also dropped compared to last week.

Canada’s Cedar LNG names FLNG

Canada’s Cedar LNG, a joint venture of Canada’s Pembina Pipeline and the Haisla Nation, has picked a name for its floating LNG facility, which will be located in the traditional territory of the Haisla Nation, on Canada’s West Coast.

More News Like This

Avenir LNG seals charter deal with Excelerate

UK-based small-scale firm Avenir LNG has secured a multi-year extension for its 7,500-cbm vessel Avenir Accolade with US FSRU player Excelerate Energy.

Jiangnan to build one LNG bunkering vessel for SIPG

Chinese shipbuilder Jiangnan has secured a contract to build one large LNG bunkering vessel for compatriot Shanghai International Port (SIPG).

Stolt-Nielsen wraps up purchase of remaining Avenir LNG shares

UK-based small-scale player Avenir LNG is now fully owned by Norway's Stolt-Nielsen after the latter completed the purchase of Avenir LNG's remaining shares.

Hudong-Zhonghua delivers CMA CGM’s LNG-powered giant

Chinese shipbuilder Hudong-Zhonghua has delivered CMA CGM’s first in a new series of 23,000-teu LNG dual-fuel containerships.