K Line, Partners to Form New JV Shipping Company

Japanese shipping major K Line has partnered up with Taiwan Power Company (Taipower), U-Ming Marine Transport Corporation (U-Ming) and Kuang Ming Shipping Corporation to set up a new joint venture company.

Illustration; Image Courtesy: K Line

Under a Memorandum of Understanding (MoU), signed between the parties on July 1 in Taipei, Taiwan, the shipping joint venture will own both coal and LNG carriers, and operate them for transporting raw materials to Taipower.

The new company, yet to be named, is planned to be established in October 2020 with a capital of TWD 1 billion (USD 32.3 million).

Taipower would own the majority stake in the company with 40%, while U-Ming, Kuang Ming and K Line would hold 32.5%, 20% and 7.5% respectively.

“We will devote ourselves to contribute to the safety of Taiwan’s energy requirements by providing our many years of accumulated know-how in ship management and safe ship operations to this new joint venture,” K Line said.