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LNG Prime was the first to report earlier this month that Shandong Marine was close to ordering four LNG carriers at Jiangnan.
Jiangan announced on Friday the shipbuilding signing ceremony with Shandong Marine, Shell (Singapore) Trading, and Minsheng Financial Leasing, which provided financial support for the project.
The shipbuilder will build four LNG carriers with a capacity of 175,000 cbm.
Moreover, Jiangnan expects to deliver the vessels between 2028 and 2029.
Following delivery, the vessels will serve long-term charters with Shell, it said.
The shipbuilder did not provide the pricing details.
Shipbuilding sources said that the price per vessel is expected to be between $220 million and $225 million.
Expanding cooperation
Jiangan noted that Shandong Marine’s affiliates previously placed orders with the shipbuilder for two LNG carriers and very large ethane carriers (VLECs).
In 2023, Taiping & Sinopec Financial Leasing (TSFL), a non-wholly owned subsidiary of China Taiping Insurance, and two special purpose vehicles (SPVs), Taiping 26 and Taiping 27, ordered two 175,000-cbm LNG carriers. Each is worth $235 million.
Jiangnan will deliver the first vessel by March 2027 and the second ship by July 2027.
As part of the finance lease agreements, Taiping 26 and Taiping 27 entered into bareboat charter deals with Shandong Marine Energy (Singapore) or SDME. The charters are for 15 years.
Prior to the delivery dates, Shandong Marine can also choose to exercise options to purchase the vessels.
These “LNG Jumbo” dual-fuel carriers feature GTT’s Mark III Flex membrane system, WinGD X-DF main engine, and a partial reliquefaction system.
They are 298.5 meters long and 46 meters wide, with a depth of 26.5 meters.