Kyushu Electric Power Co., Inc., NYK Line, ITOCHU ENEX CO., LTD., and SAIBU GAS CO., LTD. have established a joint venture company, KEYS Bunkering West Japan Co., Ltd. ("KEYS"), in February this year and have performed considerations with the goal of beginning the operation of the liquefied natural gas ("LNG") fuel supply business for ships in Japan’s Kyushu and Setouchi regions in the spring of 2024, according to NYK's release.
The parties announced the conclusion of a shipbuilding contract for one private vessel for the supply of LNG fuel to ships between KEYS and Mitsubishi Shipbuilding Co., Ltd. The construction of the LNG bunkering vessel is planned to be completed in March 2024, and the vessel will become the first LNG bunkering vessel operated in West Japan.
For starting the LNG fuel supply business, the parties also applied, in January 2022, for support from the subsidy program for development of LNG bunkering bases , the Ports and Harbours Bureau, Ministry of Land, Infrastructure, Transport and Tourism assistance project that supports the establishment of LNG fuel supply facilities. The support for this LNG fuel supply business was approved on March 4, 2022.3 With the support of the MLIT, KEYS will own and manage LNG bunkering vessels and implement the LNG fuel supply business.
Through this business, which handles environment-friendly LNG fuel, the parties and KEYS will contribute to the reduction of greenhouse gas emissions with the goal of realizing a carbon-neutral society.