London - May 24, 2017
Stolt-Nielsen Limited (Oslo BÝrs: SNI) announced today that its subsidiary, Stolt-Nielsen Gas B.V. (SNG), has contracted with Keppel Singmarine for the construction of two 7,500 cbm liquefied natural gas (LNG) carriers, with options to purchase three additional similar ships. The contract for the initial two ships is valued at approximately $80.0 million, including site-team costs and capitalised interest during construction. The ships are to be built at Keppel Singmarine's shipyard in Nantong, China, with deliveries scheduled in the second and third quarter of 2019 respectively.
The ships will be capable of operating on either diesel fuel or LNG, with a class notation and technical capability for STS (ship-to-ship) bunkering, thus significantly enhancing their versatility.
Stolt-Nielsen Gas has established a wholly owned subsidiary, Avenir LNG Limited, to focus mainly on the development of small-scale LNG supply chains serving "stranded demand," where off-the-grid customers lack access to natural gas. SNG's current projects include plans to build and operate an LNG terminal and distribution facility in the port of Oristano, Sardinia, and a venture to provide LNG to areas of Scotland not served by the existing natural-gas grid. The newbuildings would be deployed, at least in part, in the supply chains serving these projects.
SNG has negotiated a Heads of Agreement with an oil major with the intention to charter the first ship for trading in the Mediterranean. The second ship is expected to trade in Northern Europe.
About Stolt-Nielsen Limited
Stolt-Nielsen Limited (SNL or the "Company") is a leading global provider of integrated transportation solutions for bulk liquid chemicals, edible oils, acids, and other specialty liquids through its three largest business divisions, Stolt Tankers, Stolthaven Terminals and Stolt Tank Containers. Stolt Sea Farm produces and markets high quality turbot, sole, sturgeon, and caviar. Stolt-Nielsen Gas develops opportunities in LPG and LNG shipping and distribution. Stolt-Nielsen Limited is listed on the Oslo Stock Exchange.
Stolt-Nielsen S.A. press release