Top Page > Press Release 2024 > MOL and JERA Signs Long-Term Charter Deal for Newbuilding LNG Carrier

MOL and JERA Signs Long-Term Charter Deal for Newbuilding LNG Carrier

May 22, 2024

TOKYO-Mitsui O.S.K. Lines, Ltd. (MOL; President & CEO: Takeshi Hashimoto) today announced the signing of a long-term charter contract for a newbuilding LNG carrier with a vessel operation management company funded by JERA Co., Inc. (JERA)

This is the seventh contract, following a time charter contract for sixth LNG carrier (Note) that were signed for JERA. The vessel will be built at the Geoje Shipyard of SAMSUNG HEAVY INDUSTRIES CO., LTD (Headquarters: South Korea), and is scheduled for delivery in 2026. It will be managed by MOL and will transport LNG for JERA. The new vessel will be equipped with the cutting-edge MAN Energy Solutions engine (ME-GA), which improves fuel consumption efficiency, with specifications that enhance its environment friendliness, compared to conventional LNG carriers.

Through this long-term charter contract, MOL will contribute to the realization of a stable supply of LNG in partnership with JERA.

(Note) For details please refer to the following press release.
-October 25, 2023: MOL and JERA Signs Long-Term Charter Deal for Newbuilding LNG Carrier | Mitsui O.S.K. Lines

[Outline of the vessel]

Main dimensions LOA: 290m; Breadth: 45.8m
Tank type 174,000m3 membrane
Main engine ME-GA
Scheduled delivery 2026

[Outline of JERA]

Corporate name JERA Co., Inc
Headquarters Location 2-5-1 Nihonbashi, Chuo-ku, Tokyo
Representative Yukio Kani, Chairman of the Board, Global CEO
Hisahide Okuda, President, Director, CEO and COO
Business Details Founded on April 30, 2015, as a joint venture and comprehensive alliance between what was then known as the Tokyo Electric Power Company, Inc., and Chubu Electric Power Co., Inc., bringing together the entire supply chain from fuel upstream operations and procurement to power generation and sales. It consolidated all of the existing thermal power generation enterprises in April 2019, becoming an energy company that leads Japan in power generation capacity and ranks among the highest in the world in fuel transaction volume.

To achieve decarbonization over the middle and long term while securing a stable electricity supply, JERA will, in addition to strengthening operations of the thermal power generation business it has cultivated over the years, establish a clean energy supply platform that utilizes digital technology to combine renewable energy and low greenhouse gas thermal power. By providing Asia and the world with a platform that achieves both supply stability and decarbonization, JERA aims to contribute to the sound growth and development of the world and maximize its corporate value.

MOL positions the expansion of its LNG fleet and long-term charter contracts, including this project, as an accumulation of stable profit-earning businesses in its business portfolio transformation as defined in its "BLUE ACTION 2035" management plan. LNG is regarded as a low-carbon energy source which has lower GHG emissions during combustion compared to heavy oil, etc, and this initiative is also in line with the "MOL Group Environmental Vision 2.2," which aims to achieve net zero greenhouse gas (GHG) emissions by 2050, and the goal of "expanding the low-carbon/decarbonized business by leveraging the group's collective strength."

MOL will leverage its experience and expertise as one of the world's largest shipping companies to develop various social infrastructure businesses, technologies, and services, centering on ocean transport, to meet the needs of a wide range of customers throughout the group. It aims to become a global social infrastructure company, a strong and resilient corporate group that supports people's daily lives from the blue oceans, ensures a prosperous future, and delivers new value to all of its stakeholders.

MOL Group 5 Sustainability Issues
MOL Group identifies "Sustainability Issues" (Materiality) as our key issues for sustainable growth with society through realization of the Group Vision.We anticipate this initiative to contribute especially to the realization of "Safety & Value -Provide added value through safe transportation and our social infrastructure business- ", "Environment -Conservation for Marine and global environment-", "Innovation -Innovation for development in marine technology-".