Eastern Pacific Shipping charters LNG-powered bulker quintet to BHP

Singapore’s Eastern Pacific Shipping has signed a deal to charter five LNG-powered Newcastlemax bulk carriers to Australian miner BHP.

The five-year deal follows a tender by the mining giant seeking vessels with the ability of reducing greenhouse gas emissions by more than 30 percent per voyage.

Both companies credit a shared commitment to industry-wide decarbonisation as a driving force behind the contract.

The five dual-fuel bulk carriers will carry iron ore between Western Australia and China from 2022.

The two companies did not reveal any additional info regarding the charter contract.

World’s first dry bulk LNG-powered charter

BHP claims this is the world’s first LNG-fueled Newcastlemax bulk carrier tender and charter.

Additionally, the 209,000-dwt vessels will feature high-pressure ME-GI engines reducing methane slippage to “negligible levels”.

Furthermore, the frim said in a statement on Friday it expects to award the LNG bunkering supply contract in October this year.

“As one of the largest dry bulk charterers in the world BHP recognises the role we play in working with our suppliers and customers to drive actionable reductions in GHG emissions across the maritime supply chain,” BHP chief commercial officer, Vandita Pan said.

She said the tender marks a progressive shift for BHP and the broader mining and shipping industry and is a significant step toward lowering GHG emissions in the 1.5 billion tonne iron ore seaborne market.

“The LNG bunkering time charter contract, with a total cost of ownership less than a conventionally-fueled Newcastlemax, will enable BHP to manage the fuel supply risk, build LNG operations capability internally and capture OpEx benefits through optimization of voyage operations and fuel utilization,” Pan said.

EPS CEO Cyril Ducau said, “When these vessels deliver in 2022, they will be the cleanest and most efficient in the entire dry bulk shipping fleet and will be IMO 2030 compliant, eight years ahead of schedule.”

- Advertisements -

Most Popular

Stena Bulk sells its last LNG carrier

Swedish shipping firm Stena Bulk has sold its last liquefied natural gas (LNG) carrier to an undisclosed Asian buyer. The...

Gulfstream LNG asks US FERC to start pre-filing process

Houston-based Gulfstream LNG is seeking approval from the US FERC to initiate the environmental pre-filing review for its mid-sized...

Shell launches largest bio-LNG plant in Germany

A unit of LNG giant Shell has launched what it says is the largest bio-LNG production plant in Germany. The...

More News Like This

EPS orders two LNG-powered tankers in China

Singapore's Eastern Pacific Shipping has ordered two LNG dual-fuel LR2 oil tankers in China. EPS and CSSC's Guangzhou Shipbuilding International...

CoolCo still in talks to secure work for LNG newbuild duo

LNG carrier operator CoolCo continues to hold talks with charterers to find work for two newbuild LNG vessels it...

Eastern Pacific Shipping in 150th LNG bunkering op

Singapore’s Eastern Pacific Shipping has completed its 150th LNG bunkering operation as the company’s fleet of LNG-powered vessels continues...

EPS orders two more LNG-powered PCTCs in China

Singapore’s Eastern Pacific Shipping has ordered two more LNG-powered pure car and truck carriers from China Merchants Jinling Shipyard...