Japanese Shipping Major MOL Orders First LNG-Fueled VLCC for Long-Term Charter

Japanese shipping major Mitsui O.S.K. Lines (MOL) has decided to order a new LNG-fueled very large crude carrier (VLCC) to sail under a long-term time charter contract with compatriot ship manager and operator Idemitsu Tanker.

The 309,000 dwt vessel will be built at Dalian COSCO KHI Ship Engineering in China—jointly operated by Kawasaki Heavy Industries and China COSCO Shipping Corporation Limited—and delivered in 2027.

As informed, it will be the first dual-fuel VLCC to be chartered to a Japanese oil company.

The newbuild will feature a length of 339.5 meters and a breadth of about 60 meters.

“By entering this long-term time charter contract with Idemitsu Tanker, MOL seeks to spearhead the broader adoption of LNG fuels and contribute to reducing the environmental impact of the shipping industry,” the shipping company said.

MOL established the “MOL Group Environmental Vision 2.2” with the target of achieving net-zero greenhouse gas (GHG) emissions by 2050. LNG fuel reduces carbon dioxide emissions by about 25%-30% compared to conventional fuel oil. To achieve sustainable decarbonization of the shipping industry, MOL is proactively adopting LNG as a low-carbon fuel.

The company aims to operate 90 LNG/methanol-fueled vessels by 2030. Currently, it has about 40 LNG-powered ships.