Himalaya Shipping signs charter deals for two LNG dual fuel bulk carriers

Bulk carrier company Himalaya Shipping has inked charter deals with a commodity trading company for two of its LNG dual fuel bulk carriers being built at the New Times Shipyard in China.

PHOTO: Himalaya’s LNG-fuelled bulk carrier Mount Neblina. Himalaya Shipping

The two vessels can run on both LNG and conventional marine fuels, and are fitted with scrubbers.

Himalaya Shipping expects to take delivery of the vessels in the first half of 2024. Upon delivery, both vessels will be chartered out for a period of 24 months, with an evergreen structure. This means the charter agreement will renew automatically at the end of the term.

The company has so far taken delivery of six LNG dual fuel bulk carriers - Mount Norefjell, Mount Ita, Mount Etna, Mount Blanc, Mount Matterhorn and Mount Neblina - in a series of 12 being built at the Chinese shipyard.

Himalaya Shipping has so far chartered out 11 of its vessels.

LNG has been gaining popularity among shipowners. The global LNG-fuelled fleet is currently made up of 438 vessels, with another 97 expected to join this year, according to classification society DNV data.

LNG can curb carbon dioxide emissions by about a quarter compared to conventional bunker fuels. But its methane emissions can be 36 times more potent as a GHG compared to carbon dioxide over a century, according to a World Bank study.

By Tuhin Roy

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