QatarEnergy inks $6bn deal with CSSC for 18 QC-Max LNG vessels

QatarEnergy on April 29 announced an agreement with China State Shipbuilding Corporation (CSSC) for the construction of 18 QC-Max size LNG vessels. Valued at nearly $6bn, this deal represents the largest single shipbuilding contract ever signed in the industry's history.

The new vessels, boasting a capacity of 271,000 m³ each, will be constructed at China's Hudong-Zhonghua Shipyard, a wholly-owned subsidiary of CSSC. 

"With a total value of almost $6bn for these ultra-modern, largest ever LNG vessels by size, the agreement we signed today is the industry’s largest single shipbuilding contract ever," Saad Sherida Al-Kaabi, CEO of QatarEnergy, said. 

Al-Kaabi also noted that 12 conventional-size LNG vessels are currently under construction at Hudong-Zhonghua, with the first deliveries expected by the third quarter of this year.

Delivery of the 18 QC-Max size LNG vessels is scheduled between 2028 and 2031, with eight vessels to be delivered in 2028 and 2029, and the remaining ten in 2030 and 2031.

This announcement comes on the heels of QatarEnergy's recent time charter party agreements for 104 conventional-size vessels, underscoring Qatar's position as a global leader in LNG shipping.

QatarEnergy's ambitious expansion plans include the North Field West LNG Expansion project, aimed at increasing Qatar's LNG production capacity to 142mn tonnes/year by the end of the decade, representing an 85% increase from current levels.

Additionally, ongoing projects such as the North Field Expansion, including North Field South and North Field East expansion projects, are slated to commence production in 2026, further solidifying Qatar's role as a key player in the global LNG market.