Report: GAIL charters LNG carrier from K Line.
New Delhi: GAIL (India) Ltd, India’s leading natural gas transmission and marketing company, has signed a long-term time charter contract with Kawasaki Kisen Kaisha, Ltd. (“K” Line) for the charter hire of a newly built LNG carrier. The pact was signed through the ship-owning company established in Singapore.
The LNG carrier, a modern two-stroke vessel with a tank capacity of 1,74,000 cubic meters, is being built by Samsung Heavy Industries Co., Ltd., Korea. The shipbuilding contract has been concluded by the ship-owning company with Samsung Heavy Industries.
This is the first long-term time charter contract between GAIL and “K” Line involving a newly built vessel. The LNG carrier is expected to be engaged in the transportation of Liquified Natural Gas (LNG) for GAIL starting from 2027.
GAIL currently owns and operates a fleet of four LNG carriers, namely GAIL Bhuwan, GAIL Urja, Grace Emilia, and Maran Gas Pericles. Additionally, two more LNG carriers are expected to join the fleet next year, including the newly built vessel on long-term charter.
GAIL has a diversified sourcing portfolio for over 15 MMTPA of LNG, which includes supply sources from various geographies on both FOB and DES basis. The addition of this new LNG carrier will further strengthen GAIL’s LNG transportation capabilities and contribute to its long-term growth strategy.
The long-term charter agreement with “K” Line signifies GAIL’s commitment to securing reliable and efficient LNG transportation solutions. It also underscores the growing importance of LNG in India’s energy mix and the country’s efforts to transition towards cleaner and more sustainable energy sources.
Conclusion:
The long-term charter agreement between GAIL (India) and K Line marks a significant milestone in India’s LNG sector. It strengthens GAIL’s LNG transportation capabilities and solidifies its position as a key player in the global LNG market. This partnership will contribute to India’s energy security and its transition towards a cleaner energy future.
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