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Adnoc L&S earmarks USD 2.5 bn to expanding its LNG carrier fleet: Adnoc Logistics and Services (L&S) inked contacts worth USD 2.5 bn with South Korean shipyards Samsung Heavy Industries and Hanwha Ocean for eight to ten LNG carriers, according to a statement (pdf). The intake of newbuilds is set to boost the firm’s current fleet from 14 carriers to at least 22 vessels.
ICYMI- In late May, the firm signed letters of intent with the two shipbuilders for new vessels to serve Adnoc’s second LNG terminal at Ruwais. Ruwais aims to be the region’s first LNG export facility powered by renewable energy.
The details: Samsung Heavy Industries and Hanwha Ocean were each awarded contracts to build four vessels, with an option for an additional ship. Each carrier will have a 174k cubic meter capacity and operate with Mega and XDF2.2 engines, which will offer the lowest emissions in the company’s fleet.
Timeline: Delivery of the carriers will commence in 2028 and will be time chartered to Adnoc’s subsidiaries for a duration of 20 years.
Part of the post-IPO expansion strategy: This investment is part of a broader expansion strategy announced ahead of Adnoc L&S’s USD 769 mn IPO last year, committing to USD 5 bn in medium-term investments. Adnoc has already allocated over half of this USD 5 bn target to expanding its LNG fleet.
IN OTHER ADNOC NEWS-
Adnoc saved up to USD 500 mn and reduced over 1 mn tonnes of carbon emissions in 2023 thanks to 30 AI tools used to boost efficiency, Wam reports, citing Adnoc Chief Sustainability Officer Ibrahim Al Zu’bi on the sidelines of the Global Sustainability Forum in Abu Dhabi.
Adnoc also launched a digital platform for AI and sustainability startups in partnership with CEO Sustainability Network and IBM, Al Zu’bi said.
