Marubeni Agrees to Acquire Interest in 8 LNG Vessels (Japan)

Marubeni Corporation (“Marubeni”) has agreed with BW Gas Limited, Bermuda (“BWG”) to acquire 49% interest of 8 LNG carriers (“8 LNGCs”) presently owned by BWG under long-term time charter to Nigeria LNG Limited (“NLNG”).

Marubeni’s acquisition cost is about US$ 700 million (equivalent to JPY about 60 billion). This is Marubeni’s first participation in owning LNG vessels. Marubeni and BWG established a 49%/51% joint venture company (“JVC”) in Bermuda and the JVC acquires SPCs owning the 8 LNG vessels.

The JVC arranges the project finance for the acquisition of the SPCs. The 8 LNG vessels have been, since the deliveries from the shipyard in between 2004-2008, chartered by NLNG (a joint venture consisting of Nigeria National Petroleum Corp. 49%, Shell Gas BV 25.6%, Total LNG Nigeria Ltd 15% and Eni International NA NV 10.4%) and been engaged in LNG transportation from Nigeria to Europe and USA under the long-term LNG sales contracts.

The charter contracts of 8 LNG vessels are for the period of maximum 22.5 years. Marubeni and BWG wishes to take the opportunity afforded by this partnership to expand their cooperative ties in LNG and other energy transportation businesses.

Marubeni envisions energy supply chain including LNG transportation as one of the core growing business fields and does hope to expand its activities in energy transportation and other related marine business fields aggressively.

Outline of 8 LNG Vessels:

LNG River Orashi (2004, 145.914); LNG Enugu (2005, 145.926); LNG Oyo (2005, 145.842); LNG Benue (2006, 145.952); LNG Lokoja (2006, 148.471);  LNG Kano (2007, 148.565); LNG Ondo(2007, 148.478); LNG Imo (2008, 148.437);


Source: Marubeni Corporation, October 14, 2010;