Mitsui O.S.K. Lines Partners with ONGC for Ethane Transport
Mitsui O.S.K. Lines, Ltd. has announced the formation of two joint ventures with India’s Oil and Natural Gas Corporation Limited (ONGC). This collaboration includes a significant 15-year charter contract for two new Very Large Ethane Carriers (VLECs), which was finalized during the India Energy Week 2026. The vessels, designed for transporting liquefied ethane from the U.S. to India, are set to enhance the operational capabilities of both companies in the energy sector.
Innovative Fleet Expansion and Future Deliveries
The newly commissioned VLECs will each have a capacity of 100,000 cubic meters and will be equipped with dual fuel main engines that can utilize ethane as fuel. Construction will take place at Samsung Heavy Industries in South Korea, with delivery expected in late 2028 or beyond. This contract marks a significant expansion for Mitsui O.S.K. Lines, increasing its VLEC fleet to a total of 16 vessels, solidifying its position as the largest operator in the world.
Since entering the ethane transport market in 2016, Mitsui O.S.K. Lines has established itself as a leader in the sector, leveraging its extensive experience with liquefied gas carriers. The company’s operational expertise, particularly within the Indian Special Economic Zone where these joint ventures will operate, has been pivotal in securing this long-term charter agreement. The partnership with ONGC is expected to bolster the logistics infrastructure necessary to meet the growing demand for energy in India.
Strategic Growth and Future Vision
Mitsui O.S.K. Lines has identified regional strategy as a cornerstone of its management plan, “BLUE ACTION 2035.” The company recognizes Asia, and India in particular, as a region poised for significant economic growth. By expanding its energy business through this project and strengthening its collaboration with ONGC, Mitsui aims to contribute to the stable supply of energy resources, including natural gas, in response to the increasing demand.
The company is also focused on transforming its business portfolio to enhance profitability, even during downturns in the shipping industry. By expanding its LNG and VLEC fleets, along with securing long-term charter contracts, Mitsui O.S.K. Lines is positioning itself as a global leader in social infrastructure. The company is committed to sustaining livelihoods, ensuring a prosperous future, and delivering value to all stakeholders through its innovative approaches in the energy transport sector.
