KCC – Shipbuilding contract for three third generation CABU vessels concluded
Oslo - Klaveness Combination Carriers ASA has announced that a 100% owned subsidiary has concluded the shipbuilding contract for the construction of three third generation CABU vessels with Jiangsu New Yangzi Shipbuilding Co. Ltd. and Jiangsu Yangzi Xinfu Shipbuilding Co., Ltd in line with the Letter of Intent (“LOI”) announced 23 May 2023.
Compared to the existing CABU vessels built 2001-2002 that the newbuilds will replace, the vessels are estimated to have 25-30% higher earnings capacity and around 35% lower CO2 emissions due to increased cargo carrying capacity and substantially lower fuel consumption.
The newbuilds are key for KCC to position the Company for expected growing caustic soda import volumes to Australia, and for meeting its ambitious targets of an approximately 45% reduction in its carbon intensity within 2030 relative to its actual 2018 performance.
The vessels are estimated to be delivered in Q1-Q3 2026 and the equity portion of the investment is fully funded, partly through a private placement of NOK 550 million in May 2023.
Image: KCC CEO Engebret Dahm and Ji Hongfei, Assistant General Manager of Yangzijiang Shipbuilding Group Ltd. complete signing