COSCO Shipping Energy Transportation (CSET) has announced a CNY 3.496 billion (US$378.3 million) investment plan for the construction of six new tankers. The company's board has approved the order, which is subject to shareholder approval.
The new vessels will be built by COSCO Shipping Heavy Industry and include two Aframax tankers, two LR2 tankers, and two Panamax tankers.
Two 74,000 dwt Panamax crude and product tankers will be constructed in Dalian for CSET subsidiary Hainan COSCO Shipping Energy Transportation at a cost of approximately US$64 million each. These vessels will be methanol fuel-ready.
The remaining four tankers will be built by COSCO Shipping Heavy Industry Yangzhou. The two Aframax tankers (114,200 dwt, US$86 million each) and the two LR2 tankers (109,900 dwt, US$89 million each) will be equipped with methanol dual-fuel engines.
COSCO's energy shipping division operates a fleet of over 150 crude and product tankers and has interests in nearly 90 LNG carriers, in addition to LPG and chemical tankers. CSET recently announced a US$1.1 billion fundraising initiative for an 11-ship newbuilding program, comprising three Aframaxes, six VLCCs, and two LNG carriers.
COSCO Shipping Energy Transportation (CSET) is the listed oil and gas shipping business of COSCO Shipping Group, specializing in the transportation of energy products.
COSCO Shipping Group is a large Chinese shipping conglomerate involved in various shipping and logistics businesses.
COSCO Shipping Heavy Industry is a subsidiary of COSCO Shipping Group engaged in shipbuilding and ship repair.
Hainan COSCO Shipping Energy Transportation is a subsidiary of CSET focusing on energy transportation.