Abu Dhabi-listed ADNOC Logistics and Services (ADNOC L&S) has awarded South Korean shipyards up to 9.2 billion UAE dirhams ($2.5 billion) shipbuilding contracts for the construction of new liquified natural gas (LNG) carriers.

Samsung Heavy Industries and Hanwha Ocean were each awarded contracts for the construction of four firm vessels, with the option for an additional one, the company said in a statement to the Abu Dhabi Securities Exchange on Monday.

The vessels are expected to be delivered beginning in 2028. They will be time chartered to ADNOC Group subsidiaries for 20 years to support the growing natural gas export volumes as an in-demand critical lower-carbon transitional fuel. 

The new vessels will increase the company’s fleet of LNG carriers from 14 to at least 22 vessels.

(Editing by Anoop Menon) (anoop.menon@lseg.com)

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