Navigator Gas welcomes first of three new ethylene carriers to its fleet

Navigator Holdings (Navigator Gas), a UK-based owner and operator of the ‘world’s largest’ fleet of handysize liquefied gas carriers, has completed the acquisition of the first of three new 17,000 cbm liquefied ethylene gas (LEG) carriers.

The acquisition and delivery of this German-built vessel, renamed Navigator Hyperion, is the first of three ethylene carriers that Navigator Gas committed to acquiring to complement the increased export capacity from its Morgan’s Point terminal in Houston, U.S.

Delivery of the remaining two vessels is expected between February and May 2025. As disclosed, all three carriers are anticipated to operate in the spot market upon or shortly after delivery.

To finance the transaction, Navigator Gas revealed the company will use cash on hand and proceeds raised from a facility agreement with Nordea Bank.

Gary Chapman, CFO of Navigator Gas, said: “We have put in place competitively priced debt to finance the majority of the cost of acquiring the three vessels. As the vessels are delivered now, and in the coming weeks, we expect these to support our ethylene export terminal expansion and be accretive to our earnings both in 2025 and beyond.”

To remind, Navigator Gas announced the completion of the expansion of its Morgan’s Point ethylene terminal, a joint venture with Enterprise Products Partners, and committed to buying three ethylene carriers in January 2025.

The company did not disclose further details about the transaction, however, VesselsValue’s data show that the LEG carriers in question are Gaschem Antarctic, Gaschem Pacific and Gaschem Adriatic, acquired for $28.3 million, $29 million and $29 million, respectively. The units, built between 2009 and 2010, were, reportedly, acquired from the German shipping company Harpain Reederei in December 2024.

Following the transaction completion, Navigator Gas will own and operate a fleet of 59 vessels, 28 of which will be ethylene and ethane-capable.