Maersk orders ten LNG dual-fuel 17,000 TEU containerships in China

November 6, 2024, by Fatima Bahtić

Continuing its fleet renewal push, Danish shipping and logistics major A.P. Moller – Maersk has ordered ten liquefied natural gas (LNG) dual-fuel containerships in China.

The Danish shipowner has stacked its orderbook with new boxships, which will be constructed at Yangzijiang Shipbuilding. According to the information provided by Intermodal, the vessels will have a nominal capacity of 17,000 TEUs.

Furthermore, the price tag for the ships is $202 million each, which brings the total value of the contract to $2.2 billion. The expected delivery dates for the Neo Panamax containerships are between 2027 and 2029.

In August this year, Maersk unveiled that it is in the process of signing newbuilding orders and time-charter contracts for dual-fuel vessels to match the planned renewal pace of around 160,000 TEUs per year.

The orders are expected to comprise a total of 50-60 containerships combining both owned and chartered dual-fuel vessels, equaling 800,000 TEUs. Approximately 300,000 TEUs will be owned capacity while the remaining 500,000 TEUs are planned through time-charter agreements, the company said at that time.

Meanwhile, the Danish company reported strong business performance in the third quarter of 2024. The growth was seen across its businesses, and financial results were “significantly above” those of the previous year, primarily driven by the ocean segment, while good performance was also marked in both logistics & services and terminals.

The group’s consolidated results for the quarter showed revenue of $15.7 billion, in contrast to $12.1 billion, marking a 30% increase year-over-year. The EBIT reached $3.3 billion, up from $538 million in the same period last year, while the EBITDA was $4.7 billion, compared to $1.8 billion from 2023.

Maersk also upgraded its guidance for 2024 on October 21, now expecting full-year underlying EBIT of $5.2 billion to $5.7 billion (previously $3 billion to $5 billion).

The company has set a net-zero target of 2040 and is the first shipping and logistics firm that has a pathway to net-zero approved by the Science Based Targets initiative (SBTi). To ensure its targets are met, the company has previously revealed the orders for 25 owned dual-fuel methanol vessels: 5 in service and 20 on order.

Moreover, last year, the firm transported more than 660,000 TEUs by using green fuels, saving “over 683,000 tonnes of greenhouse gases from being emitted into the atmosphere”.