Tokyo Gas Unit in LNG Tanker Deal

Tokyo LNG Tanker, a unit of Tokyo Gas, has signed a contract for shipbuilding regarding two LNG vessels (165,000m3 tank capacity) with Japan Marine United Corporation, and has signed a Heads of Agreement regarding the joint ownership and 20-year charter of the vessels one with Mitsui O.S.K. Lines and the other with Nippon Yusen Kabushiki Kaisha. 

Two LNG vessels scheduled to be delivered in 2017 will be employed for transporting LNG mainly from U.S. Cove Point Project. The vessel is designed to transit the expanded Panama Canal.

Ship management of the vessels will be done by MOL and NYK respectively, in accordance with the 20-year time charter agreement. When the vessels are delivered, the number of LNG vessels in Tokyo LNG Tanker fleet will become twelve.

The vessels’ containment system is SPB, which is a Japanese technology developed by IHI Corporation and JMU. This containment system enables to maximize utilization of the space inside the hull and free designing of the shape of hull for the best fuel consumption.

The SPB system has been adopted for LNG vessels the first time in 24 years (building year base), and it is the first time for Tokyo LNG Tanker to order LNG vessel with SPB tanks. The vessels will be the world’s largest LNG vessels with SPB tanks.

To comply with the U.S. emission control regulations  within coastal area of the U.S., the vessels will be equipped with Tri Fuel Diesel Electric (TFDE) propulsion system allowing to use low-sulfur oil or gas. The vessels are also designed with world’s lowest boil-off rate (0.08%/day), and combination with TFDE propulsion will show excellent fuel consumption and eco-friendly performance.

Tokyo Gas Group will aim to diversify and increase suppliers, and decrease material costs, byowning and operating its LNG vessels proactively