MPCC orders six 3,700 TEU container ships from China
The new vessels are ready for alternative fuels to meet environmental rules.
MPC Container Ships ASA (MPCC) and Taizhou Sanfu Ship Engineering in China have inked contracts for the construction of six 3,700 twenty-foot equivalent unit (TEU) container vessels.
In a statement, MPCC said the vessels are based on the newest design, which optimises speed and fuel consumption for regional and feeder trades, whilst keeping enough flexibility to shift between trade lanes as markets evolve.
The vessels are prepared for alternative fuels and advanced emissions-reduction technologies, providing a design that can adapt to tightening environmental rules over the lifetime of the ships.
With a total investment of $292.5m, the initial charter period is expected to generate approximately $479m in revenue. The project will be financed through a balanced mix of equity and debt.
First delivery is expected in the second half of 2028, with each vessel operating under a 10-year time charter, with extension options, to a top 5 liner company.
MPCC also announced a newly established 50/50 joint venture with Uthalden AS. The JV will own two 4,500 TEU newbuildings that are currently wholly owned by MPCC and will be on charter to a top 5 liner company.
The establishment of this joint venture will free up committed capital and optimise the company’s investment capacity.
The joint venture will finance the majority of the purchase price of the vessels through moderate leverage.
In line with its fleet modernisation, MPCC has agreed to sell AS Clementina, a vessel approaching the 20-year class renewal in 2026, for $24m. Handover is expected to take place after expiry of the current charter, towards the end of the second quarter of 2026.
MPCC has also upsized its existing undrawn revolving credit facility to $130m with maturity in 2030 as well as reduced the applicable margin. This will strengthen the company’s balance sheet flexibility and provide additional capital to support potential future acquisitions.
