Malaysia's MISC and its Japanese partner have secured a 10-year time charter with Norway's Northern Lights joint venture for a new liquefied carbon dioxide carrier, the Malaysian shipper said on Wednesday.
The 12,000-cubic-metre carrier, which will be owned jointly by MISC and Japanese shipper Kawasaki Kisen (K Line), is expected to feature dual-fuel liquefied natural gas propulsion, allowing the carrier to run on both LNG and conventional marine diesel, MISC said in a statement.
It will transport liquefied carbon dioxide from industrial capture sites to permanent offshore storage in Norway, it added.
A second time-charter party for a second new-build liquefied CO2 carrier is expected to be awarded in April, MISC said.
The new carriers are expected to be delivered between the second half of 2028 and first half of 2029.
The Northern Lights carbon capture and storage (CCS) project is a joint-venture between Equinor, TotalEnergies and Shell aimed at commercialising CCS as a way to reduce CO2 emissions, especially for sectors that rely on fossil fuel input and are hard to "decarbonise".
The project's first phase started operations in August last year.
(Reporting by Ruth Chai; Editing by Christian Schmollinger)
