SFL’s 3rd LNG-powered car carrier delivered

Bermuda-based ship-owning and chartering company Ship Finance International Limited (SFL) has taken delivery of 7,000 CEU Odin Highway, its latest LNG dual-fuel car carrier.

The vessel, part of a two-ship order, has been contracted by Japanese shipping major K-Line under a 10-year time charter agreement.

Odin Highway, boasting a capacity of 7,000 Car Equivalent Units (CEU), is equipped with dual-fuel technology, allowing for a transition between liquefied natural gas (LNG) and conventional fuel, thus enhancing operational flexibility and aligning with global efforts to reduce carbon emissions in the maritime industry.

The ship’s dual-fuel propulsion system has an endurance of up to 15,000 nautical miles.

With this in mind, the company expects that the vessel will meet EEDI 3 requirements introduced by the International Maritime Organisation (IMO).

The second vessel in the series, Thor Highway, is scheduled for delivery in the second quarter of 2024. The vessel is also set for a ten-year charter with K Line upon delivery. Both ships are being built by Guangzhou Shipbuilding International, a subsidiary of China State Shipbuilding Corporation.

The ships have a total length of 200 meters, a width of 38 meters, a design draft of 8.6 meters, and a design speed of 19 knots. It has 13 decks and can carry about 7,000 cars. Two of the decks can be loaded with hydrogen fuel cell vehicles.

The completion of the Odin Highway delivery comes amid an increasing industry focus on adopting cleaner technologies to meet evolving environmental standards. SFL has seven car carriers in its fleet, including four LNG-powered units.

The LNG-fuelled 7,000 CEU Wolfsburg and Emden car carriers were delivered in 2023 and have been chartered out to Volkswagen for ten years.

All four units were ordered back in 2021. SFL said at the time that aggregate construction cost would be approximately $155 million, and the charter period would be ten years from the delivery of the vessels, adding more than $200 million to SFL’s contracted charter backlog.