Pacific Basin Shipping Limited, one of the world’s leading dry bulk shipping companies, has announced the order of four state-of-the-art 64,000 dwt dual-fuel low-emission vessels (LEVs). This milestone follows a two-and-a-half-year collaboration with prominent Japanese partners Nihon Shipyard Co., Ltd. and Mitsui & Co., Ltd. The new vessels will be designed to run on both green methanol and fuel oil, marking a significant step in the company’s long-term sustainability strategy.
The order comprises two vessels contracted with Nihon Shipyard Co. and Imabari Shipbuilding Co., Ltd. for delivery in 2028 and 2029, and two additional vessels contracted with Mitsui & Co. for the same delivery timeline. All four vessels will be built by Nihon Shipyard Co., incorporating cutting-edge designs optimized for fuel economy and operational safety. These vessels will feature the newest and most efficient engines available, with additional upgrades to enhance operational capabilities.
The dual-fuel engines on these newbuildings allow them to operate on conventional fuel oil, biofuel, and green methanol—offering significant flexibility in fuel choice. When green methanol is produced using sustainable feedstocks and renewable energy, it is classified as “low carbon” or even “net zero” on a lifecycle basis, helping Pacific Basin to reduce its carbon footprint and comply with emerging environmental regulations.
Pacific Basin has expressed confidence in green methanol as the most suitable low-carbon fuel for its first generation of LEVs. However, the company will continue to monitor developments in alternative fuel technologies and reassess the benefits of various fuels, considering factors such as safety, availability, and pricing.
Additionally, the company has entered into a memorandum of understanding (MOU) with Mitsui & Co. to secure access to green methanol volumes that will enable the new vessels and other Pacific Basin ships to meet and exceed the forthcoming FuelEU Maritime rules and the IMO’s global greenhouse gas fuel standards. This partnership will allow Pacific Basin to better position itself within the green fuel market, as it continues discussions with other green fuel suppliers and producers to diversify its fuel sources.
Martin Fruergaard, CEO of Pacific Basin, emphasized that the newbuilding order aligns with the company’s ongoing initiative to develop commercially viable, efficient dual-fuel low-emission vessels. Fruergaard described this move as a “major milestone” in Pacific Basin’s journey toward achieving net zero emissions by 2050. He expressed confidence that the new vessels’ design and specifications will meet customer requirements for safe, reliable, and low-emission transport well into the future.
Fruergaard further highlighted the strategic advantages of these new vessels, noting that the dual-fuel design will allow Pacific Basin to remain competitive and comply with increasing decarbonization regulations. This move positions the company as an early innovator in the sector and provides them with critical early-mover benefits that will be essential as regulatory pressures and market dynamics continue to evolve.
Growth Strategy and Fleet Modernization
Looking to the future, Pacific Basin plans to leverage its strong financial position to execute its long-term growth strategy. The company sees this newbuilding order as a way to create substantial growth opportunities, enabling the expansion of its fleet through additional LEV orders or long-term charters of newbuildings with purchase options. At the same time, Pacific Basin remains committed to renewing its fleet by acquiring modern second-hand vessels, while phasing out older, less efficient ships.
About Pacific Basin Shipping Limited
Pacific Basin Shipping Limited is one of the world’s leading owners and operators of modern Handysize and Supramax dry bulk vessels. Headquartered in Hong Kong and listed on the Hong Kong Stock Exchange, the company operates over 280 dry bulk vessels, with a fleet of 113 owned vessels and the rest chartered. Pacific Basin is committed to sustainable shipping and places a strong emphasis on seafarer security, safety, health, and wellbeing, alongside responsible environmental practices. The company’s world-class fleet management team ensures optimized fuel and carbon efficiency, enabling it to deliver best-in-class services to over 460 customers globally.
With a focus on sustainability and innovation, Pacific Basin is paving the way for the dry bulk shipping industry to transition to a cleaner, more efficient future.