ADNOC Logistics & Services PLC (ADNOC) has recently awarded contracts worth up to AED 9.2 billion ($2.5 billion) to South Korea’s Samsung Heavy Industries and Hanwha Ocean. These contracts are for the construction of new LNG carriers as part of the company’s growth strategy and fleet expansion plans. The contracts include the building of four confirmed tankers with an option for one additional tanker. The vessels are expected to be delivered by 2028 and will be chartered to ADNOC Group companies for 20 years to support the increasing production of natural gas.
This move will increase ADNOC Logistics & Services’ LNG fleet from 14 to at least 22 vessels, making it a leader in reducing carbon emissions from maritime operations. Captain Abdulkareem Al Masabi, CEO of ADNOC L&S, emphasized the importance of these contracts in delivering their growth strategy and commitment to value-accretive investments. Following a strong first-quarter financial performance, ADNOC L&S has increased its investment targets to over AED 18.4 billion (US$ 5 billion) in maritime and energy logistics.
The company is focused on capitalizing on growth opportunities, as evidenced by the recent acquisition of Navig8 for AED 5 billion (USD 1.4 billion). ADNOC L&S has already committed significant capital expenditure for organic growth and is continuing to drive its transformational growth strategy. These new LNG carriers will use the latest technologies to increase fuel efficiency and reduce carbon emissions, aligning with the company’s sustainability goals. They will be equipped with advanced engines and sustainability technologies to minimize environmental impact, making them among the most fuel-efficient vessels globally, reinforcing ADNOC L&S’ position as a leader in reducing carbon emissions from maritime operations. This initiative supports ADNOC Group’s ambition to achieve climate neutrality by 2045.