UAE firm to enrich fleet with two LNG carriers by 2027, first vessel deal now in the bag

On a quest to expand its maritime operations by enlarging its fleet, Dubai-based independent energy and commodities trading group BGN has sealed a long-term liquefied natural gas (LNG) carrier (LNGC) charter with an affiliate of Capital Clean Energy Carriers (CCEC).

BGN has partnered with CCEC in a joint venture company, BM Capital, for the long-term charter and operation of the Amore Mio I LNG carrier, which is the Dubai-headquartered company’s first long-term ownership of an LNG vessel. The deal comprises a ten-year charter period, with the option to extend by six more years.

Ozan Turgut, BGN Shipping Director, commented: “This is a major milestone for BGN as we continue to invest and expand our maritime operations. Taking delivery of our first LNG shipping vessel significantly enhances our fleet capacity and ability to meet growing demand across our global customers.

“BGN set an ambition to increase its fleet with two new LNG vessels by 2027, and ten new LPG vessels by 2028.  I’m pleased to say that taking delivery of the LNG vessel, the Amore Mio I in early 2027, puts us firmly on track to achieve this goal.”

The Amore Mio I two-stroke 174,000 cbm LNG carrier, which is equipped with onboard reliquefication and shaft generators, is compliant with IMO Tier III emissions standards. The joint venture is perceived to demonstrate BGN’s commitment to expanding its operational capabilities through strategic partnerships and investment in its asset base and logistics infrastructure, as it realizes its ambitions to grow its global footprint across the energy sector.  

Jerry Kalogiratos, CEO of Capital Clean Energy Carriers, emphasized: “We are very pleased to have concluded this innovative transaction with the BGN group, which enables CCEC to achieve several strategic objectives simultaneously. Firstly, securing a new long-term charter underscores the enduring strength of the LNG shipping sector for reputable owners operating state-of-the-art LNG carriers.

“Secondly, it highlights our ability to attract co-investment with a major energy trading partner such as BGN. Thirdly, the new charter enhances the diversity and quality of our charter portfolio, provides further balance sheet flexibility, and strengthens cash flow visibility for our investors.”