ExxonMobil tenders for five LNG carriers

ExxonMobil has sent out tender documents to shipowners and yards for up to five LNG newbuildings to serve its Papua New Guinea (PNG)-based liquefaction project.

Shipbuilding sources say they are reviewing a tender for vessels of between 150,000 cbm and 180,000 cbm. Four or five ships will be required, depending on the size selected.

This week, reports said the prequalification of owners and yards for the PNG LNG project has been completed. The business could provide shipyards with some very welcome newbuilding business to haggle over in the current dire market.

Concerns, however, have been expressed by some players that this could simply turn into an elaborate price-checking exercise, particularly since there are so many vessels that could potentially be made available as at least interim tonnage from the existing pool. These fears have been fuelled by previous comments from PNG LNG officials, who said the company will look at acquiring newbuildings, existing vessels or leasing ships.

PNG LNG is planned as a two-train 6.3-million-tonnes-per-annum (mtpa) project. A final investment decision is due at the end of this year, at which time any newbuilding contract would also be concluded. The first export cargo is targeted for 2014. The project also has scope for a third and fourth train.