Dynagas swoops five Yamal LNG carriers

Financial issues at Russia’s shipping company Sovcomflot have reportedly opened doors for Dynagas, an Athens-based owner and operator of LNG carriers, to move in and acquire five ice-class Arc 7 LNG newbuildings destined for the Novatek-operated Yamal project. 

Lloyds List reports that Sofcomflot ran into problems securing the finances for the newbuildings as banks turned away from the project, declaring it risky.

Dynagas, however, secured funds for the five vessels at a total of $1.5 billion, with each of the five LNG carriers to be delivered from 2017 onwards valued at $320 million. The 172,000 cubic meter Arc 7 LNG carrier newbuildings are being built by the Korean shipbuilder Daewoo Shipbuilding and Marine Engineering.

Sovcomflot will have one Yamal LNG carrier left on order and expects it to be delivered in 2016.

Production at the 16.5 mtpa facility at Sabetta, north-east of the Yamal Peninsula, is scheduled to start in 2017.

LNG World News Staff; Image: Teekay