Recently, Chinese shipyards have successively landed major contracts in the field of Liquefied Natural Gas (LNG) carriers.

On June 2, COSCO Shipping Energy signed a contract with Jiangnan Shipyard to build four 175,000-cubic-meter LNG vessels. The total investment is $952.53 million, with deliveries scheduled between 2029 and 2030.

According to an announcement by COSCO Shipping Energy, upon delivery, four single-purpose vessel companies will time-charter the four LNG vessels to Shell Tankers (Singapore) for a period of seven years (with an option for the charterer). The total rent for this period amounts to approximately $798.08 million.

This project marks the first collaboration between COSCO Shipping Energy and Jiangnan Shipyard to build LNG vessels. Regarding the funding pathway, COSCO Shipping Energy will first inject $309.33 million into its wholly-owned subsidiary Shanghai LNG. Shanghai LNG will then inject the same amount into its wholly-owned subsidiary COSCO Shipping LNG Investment. Finally, COSCO Shipping LNG Investment will contribute $309.33 million to establish four wholly-owned single-purpose vessel companies responsible for investing in and building the LNG vessels at Jiangnan Shipyard.

COSCO Shipping Energy stated that ordering these four LNG vessels is a crucial step in serving the national energy strategy, optimizing the structure and investment layout of its LNG fleet, and seizing market development opportunities. Through this transaction, the Group will consolidate and expand its LNG fleet capacity, enhance its independent marketing and operational capabilities, and solidify its international strategic layout, which aligns with the company's long-term development strategy and the interests of all shareholders.

Similarly, another international shipping company has recently entrusted its new LNG shipbuilding project to a Chinese shipyard.

BGT, a subsidiary of Nigeria LNG (NLNG), has returned to China and recently awarded the contract for three new 174,000-cubic-meter LNG carriers to Hudong-Zhonghua Shipbuilding and China State Shipbuilding Corporation (CSSC) Trading.

Last December, the two companies had already signed a contract for three 174,000-cubic-meter LNG vessels.

In its statement, BGT mentioned that these vessels are part of its fleet renewal and replacement plan. Each vessel will be equipped with advanced X-DF propulsion technology, which improves fuel efficiency and reduces emissions compared to older ship designs. The three vessels are expected to be delivered in 2029, chartered by NLNG, and managed by NLNG Shipping & Maritime Services(NSML).

According to industry insiders cited by TradeWinds, these firm orders are expected to include options for at least three additional vessels.

Established in Bermuda in 1989, BGT is committed to modernizing its existing LNG fleet, aiming to provide dedicated shipping capacity for transporting LNG from Bonny Island to global customers. Its core business is owning and chartering out LNG carriers to transport NLNG's LNG cargo to international markets.

Data from Clarksons shows a significant shift in the global LNG ship order landscape in the first five months of this year: South Korean shipbuilders secured 34 vessels, while Chinese shipbuilders secured 15 vessels (including 9 from Hudong-Zhonghua and 7 from Jiangnan Shipyard). In contrast, during the same period last year, a total of 35 orders were almost entirely monopolized by South Korean shipbuilders, with only 3 going to Hudong-Zhonghua in China.