MISC Bhd and Samsung Heavy Industries Co Ltd have signed shipbuilding contracts for the construction of two newbuild liquefied natural gas (LNG) carriers, scheduled for delivery in 2027.
In a filing with Bursa Malaysia, MISC said it had also signed a letter of intent with PETRONAS LNG Sdn Bhd (PLSB) for the provision of long-term LNG shipping services to PLSB and/ or its subsidiaries which involves the time charter of the new LNG carriers.
“Concurrently, both MISC and PLSB have agreed to the early termination of the time charters of three existing steam LNG carriers, Seri Ayu, Seri Angkasa and Seri Begawan (Seri AAB) as well as entering into time charters for two LNG carriers, Seri Alam and Seri Amanah (Seri AA) upon expiry of their existing time charters.”
MISC said it will incorporate new wholly owned subsidiaries to own the new LNG carriers (SPVs).
“The SPVs will enter into time charters with PETRONAS LNG Ltd for the charter of the new LNG carriers for a firm period of 15 years from 2027.
“The new LNG carriers support the strategic intent of rejuvenating MISC’s LNG fleet with modern and efficient vessels towards achieving reduction of greenhouse gas emissions and intensity by 2030.”
Additionally, MISC said the time charters for Seri AAB will be terminated and Seri AAB will be redelivered on the 20th year anniversary of their respective time charters in 2027/ 2028 and in return, MISC will receive monetary compensation from PLSB.
“MISC and PLSB have agreed to enter into time charters of Seri AA upon expiry of their existing time charters (in 2025 and 2026) until March 31, 2028.”