Ocean Yield Buys Ethylene Gas Carrier with Long-Term Charter

October 10, 2019, by World Maritime News

Norwegian shipowner Ocean Yield ASA has agreed to acquire Navigator Aurora, a 37,300 cbm ethylene gas carrier owned by Navigator Gas.

Under the agreement, the ship will be purchased for a total consideration of USD 69.75 million net of a seller’s credit, with a 13-year bareboat charter to a company 100% owned and guaranteed by Navigator Holdings — Navigator Gas.

“We are pleased to further diversify our portfolio of vessels with the investment in an ethylene gas carrier with 13-year charter to Navigator Gas,” Lars Solbakken, Ocean Yield’s Chief Executive Officer, commented.

As informed, the 27,900 dwt vessel is expected to be delivered to the company during October 2019. Navigator Gas has certain options to acquire the vessel during the charter period.

The transaction is subject to final documentation, Ocean Yield said.

Built in China in 2016, the vessel is operating on a sub-charter to the European chemical group Borealis for the transportation of ethane from the US East Coast to Europe until December 2026. The propulsion and electrical systems are designed to use LNG as fuel in addition to conventional fuel. Further, the vessel is currently going through a project to also use ethane as fuel.

“Including this vessel, Ocean Yield will have three vessels that can use ethane as fuel, reducing emissions compared to vessels that utilize conventional fuel,” Solbakken added.