MOL Strikes Deal on Joint LNG Carrier Ownership

TOKYO-Mitsui O.S.K. Lines, Ltd. (MOL) and other two companies including Chubu Electric Power Company decided a deal on joint ownership with Chubu Electric’s decision to invest in Trans Pacific Shipping 2 Ltd., an LNG carrier-owning company, MOL said earlier today.

MOL established Trans Pacific Shipping 2 Ltd. (TPS2), a fifty-fifty joint venture owned with Mitsubishi Corporation, in May 2012, aimed at transporting LNG from Australia for Chubu Electric Power Company. TPS2 reached a long-term charter contract with Chubu Electric in October 2012.

Of the LNG tanker holding company’s stock, MOL will transfer 30% and Mitsubishi 10% so Chubu Electric can own a 40% share. The actual transfer is scheduled when the vessel is delivered.

“Toward realizing “Solid growth through innovative changes” set forth in the midterm management plan “STEER FOR 2020″, MOL takes advantage of the experience, knowhow, and networks built up over the years as one of the world’s largest LNG carrier owners and operators to meet the LNG procurement needs of our customers, including Japanese power and gas companies,” MOL added in its press release.

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MOL, May 16, 2014