Greek Dynagas To Buy Five Arctic LNG Carriers from Yamal Shipyard

August 11, 2015

Shipping company Dynagas will buy five Arctic LNG carriers and take on shipments from the Yamal LNG project.

Dynagas, the private liquefied natural gas shipping arm of the Greece-based George Prokopiou group, is taking on five icebreaking LNG carriers to serve Russia’s Yamal LNG project, writes Lloyd's List reports.

The 172,000 cu m newbuildings, of ice-class Arc 7, were ordered at Daewoo Shipbuilding & Engineering by Yamal Trading as part of a 15-vessel project.

The specific quintet was expected to have been owned by Russian flagship shipping company Sovcomflot, but financing has proved a problem.

Lloyd’s List has been told that even for established western European or Asian owners some banks have balked at what is seen as a ‘Russian risk’.

Dynagas, though, is thought to have lined up funding for the vessels, which are worth a total of more than $1.5bn.

Deliveries of its five vessels begin in 2017 and some sources put the likely delivered cost as high as $320m per unit.

The other Yamal-linked vessels were awarded to a consortium of Teekay LNG and China LNG Shipping, which will own six of the newbuildings, and Mitsui OSK Lines (MOL), together with China Shipping Development, which will have three.

After the switch of five vessels to Dynagas, Sovcomflot will be left with one of the Yamal vessels, the lead ship, which is scheduled to emerge next year from DSME.

Copyright, Lloyd's List, 2015.