Japan’s NYK eyes four new LNG-fuelled Capesize carriers

Japanese shipowner Nippon Yusen Kaisha (NYK) will place orders for four LNG-fuelled Capesize bulk carriers to transport coal and iron ore.

NYK will place the orders with Japanese shipbuilders Nihon Shipyard and Namura Shipbuilding and Chinese shipbuilder Shanghai Waigaoqiao Shipbuilding for delivery during April 2024-March 2026. Nihon Shipyard will build two of the vessels.

The company is introducing LNG-fuelled vessels as it sees LNG as a bridging fuel, before zero-emission ships, which use alternative marine fuels such as hydrogen and ammonia, are ready.

The new LNG-fuelled vessels are expected to cut 100pc of sulphur oxide, 85pc of nitrogen oxide (NOx) and 40pc of CO2 emissions, compared with its existing fleet that runs on conventional bunker fuel, and will meet the International Maritime Organization's tier-three NOx emission standards, NYK said.

NYK has already ordered two LNG-fuelled bulk carriers, a coal carrier for Japanese utility Kyushu Electric Power and a Capesize bulk carrier to transport iron ore and coal for steel mill JFE Steel.

The company will operate six LNG-fueled bulk carriers, including the four vessels, by the end of the April 2025-March 2026 fiscal year.

By Maiko Nakashima