BG Group exercises $620 million LNG option

BG Group recently announced that it has exercised its options with Korea’s Samsung Heavy Industries for the delivery of four new Liquefied Natural Gas ships.

BG Group recently announced that it has exercised its options with Samsung Heavy Industries Co. Limited of Korea for the delivery of four new Liquefied Natural Gas ships.

The 145,000 cubic-metre ships are scheduled to be delivered in 2007 and 2008. The value of the contract for the four ships is $620 million.

Martin Houston, Executive Vice President and Managing Director, North America, Caribbean and Global LNG, said: “These four new ships will be used to meet BG’s fast growing Atlantic Basin LNG business.”

Samsung will build, equip, launch and deliver the ships using the GTT membrane cargo containment system. The vessels will use steam turbine propulsion, enabling them to sail at an average speed of 20 knots.

BG Group currently owns two LNG ships (Methane Arctic and Methane Polar) which are on long-term charters to third parties in the Atlantic Ocean and Mediterranean Sea. It also charters five ships from Golar LNG (Hill, Gimi, Khannur, Golar Freeze and Methane Princess). In addition, BG will take delivery of a new LNG ship in mid-2004 (Methane Kari Elin) and three new ships in the second half of 2006.