Active Stocks
Fri May 24 2024 15:59:27
  1. Tata Steel share price
  2. 174.80 -0.37%
  1. NTPC share price
  2. 374.85 0.68%
  1. State Bank Of India share price
  2. 828.60 -0.45%
  1. ITC share price
  2. 436.10 -1.16%
  1. Power Grid Corporation Of India share price
  2. 318.50 -0.39%
Business News/ Companies / News/  Gail inks pact with Japan’s Mitsui OSK for LNG carrier
BackBack

Gail inks pact with Japan’s Mitsui OSK for LNG carrier

The vessel will be built by South Korean shipbuilder Daewoo Shipbuilding & Marine Engineering with a charter period from 2023

Gail is one of the largest natural gas processing & distribution company (REUTERS)Premium
Gail is one of the largest natural gas processing & distribution company (REUTERS)

New Delhi: State-owned Gail India and Japanese transport firm Mitsui OSK Lines, through its wholly owned subsidiary, has signed a time charter contract for a new-build liquefied natural gas (LNG) carrier, and for joint ownership of an existing LNG carrier.

The vessel will be built by South Korean shipbuilder Daewoo Shipbuilding & Marine Engineering with a charter period from 2023, according to a joint statement by MOL and Gail on Wednesday.

The parties signed a contract for the first vessel in 2019 and it has been chartered to Gail through a wholly owned MOL subsidiary from 2021, the statement said.

“At this time, MOL and GAIL reached an agreement to share the vessel by transferring a portion of a wholly owned MOL subsidiary’s shares to GAIL," it added.

By strengthening MOL and GAIL’s partnership, there will be synergies that will make MOL to provide more reliable services, and this will lead MOL to extend services even further against the demand that will grow in the future.

MOL sets regional strategies as one of the pillars in “Rolling Plan 2022," its fiscal 2022 management plan, and takes a proactive stance in its business expansion in Asia, especially in India, as a region with strong potential for growth. It will strengthen its presence and business base in India, where energy demand is expected to increase.

MOL continues to work proactively to provide high-quality LNG transport services that precisely meet customer needs by leveraging the know-how and network it has accumulated as one of the world’s largest LNG carrier ownership and management companies.

Gail is constantly expanding its global presence through its participation in projects/ventures along the natural gas value chain. With the global LNG portfolio of around 14 MMTPA, GAIL has emerged as one of the leading global LNG players and is actively involved in the LNG trading business in the international market.

GAIL India is one of the largest natural gas processing & distribution company. The Government of India held 51.90% stake in Gail (India) as on 30 September 2022.

You are on Mint! India's #1 news destination (Source: Press Gazette). To learn more about our business coverage and market insights Click Here!

Catch all the Corporate news and Updates on Live Mint. Download The Mint News App to get Daily Market Updates & Live Business News.
More Less
Published: 21 Dec 2022, 02:44 PM IST
Next Story footLogo
Recommended For You