UAE’s ADNOC L&S to acquire two new-build LNG vessels built in China

UAE’s ADNOC Logistics & Services (ADNOC L&S), the shipping and maritime logistics arm of the Abu Dhabi National Oil Company (ADNOC) has signed a ship building contract for the construction of two 175,000 cubic metre LNG vessels.

The vessels will be built at the Jiangnan Shipyard in China and join ADNOC L&S’ fleet in 2025.

The new-build LNG vessels are significantly larger than the current ADNOC L&S fleet of LNG vessels, which have a capacity of 137,000 cubic metres each, according to news agency WAM.

Each of the new build vessels will carry enough LNG to power 45,000 homes for a year. The acquisition of the larger, more energy-efficient vessels allows ADNOC L&S to meet growing demand while improving the environmental footprint of its fleet.

ADNOC Logistics & Services is expanding its liquefied natural gas (LNG) fleet with the acquisition of two high-tech, new-build LNG carriers. These vessels will be built by Jiangnan Shipyard in China and feature innovative technologies to cut emissions and reduce fuel consumption.

— ADNOC Group (@AdnocGroup) April 12, 2022

The new vessels’ engine technology will slash emissions (CO2, NOX and SOX ), which along with an innovative air lubrication system further reduces fuel consumption by at least 10 per cent. These vessels will also feature partial reliquefication systems, which reduce emissions and conserve the cargo.

Jiangnan Shipyard was previously commissioned by ADNOC L&S in 2020 to build five Very Large Gas Carriers for AW Shipping, ANDOC L&S’ Joint Venture company with China’s Wanhua Chemical Group.

Over the past 24 months, ADNOC L&S acquired 16 deep-sea vessels, including eight Very Large Crude Carriers in 2021, adding 16 million barrels of capacity, six product tankers, which expanded the product tanker fleet capacity to over 1 million metric tonnes, in addition to five Very Large Gas Carriers for AW Shipping.

ADNOC L&S’ trading fleet transports crude oil, refined products, dry bulk, containerised cargo, LPG, and LNG to global markets through its owned chartered vessels.

Captain Abdulkareem Al Masabi, CEO of ADNOC L&S, said, “The expansion and modernisation of our LNG fleet will be a key enabler of ADNOC L&S’ growth strategy. This acquisition helps future-proof our fleet with more sustainable, modern vessels capable of serving our customers for the next 25 years and deepens our partnership with Jiangnan Shipyard.”