Al Seer Marine, BGN launch JV: UAE’s IHC maritime solutions subsidiary Al Seer Marine has launched a JV —dubbed ASBI Shipping FZCO — with energy trader Geneva-based BGN Energy affiliate B International Shipping & Logistics, according to an ADX statement (pdf). Under the JV, the pair will own and operate mid-sized liquefied petroleum gas (LPG) and product vessels.

ASBI steps into the fray: ASBI Shipping FZCO uptook two 22k cbm semi-refrigerated LPG tankers — christened Alkaid and Alcor — under a 10-year charter that is backed by BGN subsidiary BGN INT DMCC. The charter agreement ensures nearly AED 660 mn (USD 180 mn) in revenues for the firm until 2035.

Where’s the money coming from? Abu Dhabi Commercial Bank (ADCB) has offered up AED 210 mn in senior secured term financing with a seven-year tenor. The facility is secured against the tankers and their projected revenues.

A gateway for emerging hubs: The mid-size tankers are key for serving emerging hubs in Africa, South Asia, and Southeast Asia — as nearly 30% of LPG shipments to the areas depend on sub-30k cbm vessels. The ships are tailored to transport petrochemical cargo, including, but not limited to propane, butane, and ammonia. The demand for flexible tonnage has spiked some 10% y-o-y in Southeast Asia alone, B International Shipping & Logistics Director Ozan Turgut added.

Not their first JV: The pair also have another JV focused on gas tankers under the name of ABGC. Last year, a banking syndicate led by Abu Dhabi Islamic Bank (ADIB) extended a shariah-compliant loan amounting to AED 865 mn to ABGC to finance the purchase of three very large gas carriers (VLGCs) from South Korea and Japan. Two of the vessels are set to be delivered this year, and the third is scheduled for 2026.

Al Seer’s latest additions: Al Seer Marine added two AED 257.2 mn new medium range (MR) tankers to its fleet in March — the last two ships in its series of six newly built MR tankers commissioned from K Shipbuilding Korea.

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