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BG Group exercises options for delivery of four new LNG vessels

By OGJ editors

HOUSTON, Apr. 26 -- BG Group PLC said it will exercise its options with South Korean firm Samsung Heavy Industries Co. Ltd. for the delivery during 2007-08 of four, 145,000 cu m newbuild LNG vessels. The four-ship contract is valued at $620 million.

The ships will be used for BG's Atlantic basin LNG business.

Samsung will build, equip, launch, and deliver the ships, which will use steam-turbine propulsion, enabling them to sail at an average speed of 20 knots.

BG 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. The company also charters five ships from Bermuda-based Golar LNG Ltd.—Hill, Gimi, Khannur, Golar Freeze, and Methane Princess.

In addition, BG will take delivery of a new LNG ship, Methane Kari Elin, in mid-2004 and three new ships in second half 2006.

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