MISC Expands LNG Fleet with Newbuild Order for Petronas
Malaysia’s leading shipping group, Malaysia International Shipping Corporation (MISC), has confirmed a fresh long‑term charter award from national oil and gas giant Petronas. The deal adds five LNG carriers to MISC’s portfolio, bringing the total number of vessels under the same 20‑year charter programme to ten.
Newbuild Programme Details
The newly ordered vessels will be built by Hudong‑Zhonghua Shipbuilding, a subsidiary of China State Shipbuilding Corporation. The shipyard will construct each carrier to a capacity of approximately 174,000 cubic metres, matching the specifications of the earlier three‑vessel order placed earlier this year. Delivery of the new ships is scheduled between 2029 and 2030, with the vessels expected to enter commercial service from 2030 onward.
Strategic Significance
- Long‑term stability: The 20‑year charter guarantees a stable revenue stream for MISC and ensures Petronas has dedicated LNG transport capacity for its growing export volumes.
- Fleet expansion: The award doubles MISC’s LNG carrier orderbook with Petronas from five to ten vessels, reinforcing the company’s position as a premier gas carrier operator in the region.
- Regional cooperation: The partnership highlights the collaborative approach between Malaysian and Chinese shipbuilding industries, supporting the broader Asia‑Pacific maritime supply chain.
Background on MISC’s LNG Programme
Earlier in the year, MISC contracted three 174,000 cu m LNG carriers from Hudong‑Zhonghua, followed by an additional two in February. Those five vessels were also secured on firm 20‑year charters with Petronas, with expected entry into service in 2029‑2030. The latest award effectively mirrors that earlier arrangement, confirming Petronas’s confidence in MISC’s operational expertise and the shipyard’s delivery capabilities.
Additional Orders
Beyond the large 174,000 cu m carriers, MISC confirmed a smaller 18,700 cu m LNG vessel, also to be built at Hudong‑Zhonghua. That ship will operate on a ten‑year charter servicing the Bintulu–Sendai trade route, further diversifying MISC’s LNG fleet and market reach.
Outlook
With the new order, MISC’s LNG carrier orderbook continues to grow, reflecting a broader industry trend of securing long‑term contracts to mitigate market volatility. The partnership with Petronas ensures a reliable deployment of capacity for Malaysia’s LNG export strategy, while the Chinese shipyard’s involvement underscores the importance of regional shipbuilding capabilities in meeting future demand.
Industry observers will watch the construction progress closely, as the delivery timeline aligns with a period of expected growth in global LNG trade, particularly in Asian markets.