Northern Lights, Bernhard Schulte join forces on LNG-powered CO2 carrier

Norway’s Northern Lights, a joint venture consisting of Equinor, Shell, and TotalEnergies, has signed a charter deal with Bernhard Schulte for a new LNG-powered CO2 carrier that will be built in China.

The 7,500-cbm liquefied CO2 ship will be the fourth in line to the sister ships currently under construction at Dalian Shipbuilding Offshore (DSOC), Northern Lights said in a statement on Thursday.

Following the announcement of commercial agreements with Orsted and Yara for the transportation and storage of CO2, Northern Lights placed an order for a third vessel in September this year.

With the chartering of a fourth vessel from Bernhard Schulte, Northern Lights expands its shipping capacity further to provide CO2 transportation services to its commercial customers, it said.

Northern Lights has signed a long-term time charter party for the cross-border transport of CO2.

The fourth Northern Lights ship will be owned and operated by Germany’s Bernhard Schulte, the ship owning business of the family-owned Schulte Group.

This deal marks Bernhard Schulte’s entry into the CO2 shipping business.

Such as its sister ships, the new vessel will have LNG dual-fuel propulsion.

Besides LNG power, the 130 meters long vessel will feature a wind-assisted propulsion system and air lubrication in order to reduce carbon intensity.

Northern Lights did not provide the price tag or the delivery date of the new CO2 carrier.

The JV will take delivery of the first two LNG-powered ships in 2024 and the third vessel in 2025.

Bernhard Schulte said in a separate statement that the new vessel will be delivered in 2026.