China Gas Holdings has entered into time charter contracts with CG Fortune Marine, a joint venture between China Gas and Hong Kong’s Fortune Oil, for two newbuild 84,000 cu m VLGCs.
The two vessels, ChinaGas Legend and ChinaGas Glory, are set to be delivered by Jiangnan Shipyard and chartered to Zhongran Energy, a subsidiary of China Gas, for a period of 10 years at a day rate of $34,760.
China Gas believes the time charter contracts will help the group fulfil the transporation demands for its LPG business development and diversified business models.
“Under the time charter contracts, Zhongran Energy has the rights to use the two leased vessels, including the right to sub-lease such vessels to third parties during the time charter period at its absolute discretion, which allows the group to have more flexibility and optimize its economic benefits in deploying the vessels,” China Gas said.
China Gas is a gas operator and service provider principally engaged in the investment, construction and operation of gas pipeline infrastructure facilities, gas terminals, storage and transportation facilities. Fortune Oil is a major shareholder in the company.