Asyad Shipping eyes new contracts from Oman’s 4th LNG train project
Conrad Prabhu
Business Correspondent - Oman Daily Observer; Magazine Editor - ENERGY OMAN
OMAN DAILY OBSERVER / 24 FEB 2025
CONRAD PRABHU
MUSCAT: Omani state-owned maritime transportation company Asyad Shipping – part of Asyad Group – sees new business opportunities emerging from the proposed addition of a new LNG train at the country’s gas liquefaction complex at Qalhat.
The company recently launched an IPO offering 20 per cent of its share capital to anchor investors, corporate entities, and retail customers. The public subscription, set to conclude on February 27, 2025, aims to raise approximately RO 128 million.
US-based global engineering technology giant KBR is currently undertaking the front-end engineering design (FEED) contract for the 4th LNG train project, which will boost the integrated complex’s overall capacity to 15.2 million tons per annum (MMTPA). The contract award also entails the expansion of utilities, an LNG tank, the jetty, and associated infrastructure.
“The project’s future expansion includes a fourth production train, anticipated by 2029, which is expected to add 3.8 MMTPA of LNG export capacity and presents an opportunity for (Asyad Shipping) to secure new contracts in the future,” the company said.
“This project highlights the Company’s integral role in supporting Oman LNG’s expansion plans, enabling the Company to strengthen its position as a key partner in Oman’s energy export strategy,” it noted in its IPO prospectus.
Asyad Shipping’s Gas Shipping business currently operates five co-owned and one owned LNG carriers, among other gas carriers, to transport LNG to markets around the world. The LNG carriers primarily serve Asian markets, including China, South Korea and Japan, supporting clients such as Oman LNG, AMIC (formerly ADNOC), Gunvor Group, Itochu Corporation and Trafigura.
As a key player in the transportation of Omani LNG, Asyad Shipping currently supports the Qalhat complex’s existing three production trains, which export 11.4 MMTPA of LNG, with two LNG carriers contracted until the end of 2025.
Significantly, this ongoing support will be further bolstered by two new eco-LNG carriers, which have already been contracted for delivery in May and June 2026.? The Company and South Korean shipyard Hyundai Samho is currently constructing two 174,000 cubic meter class LNG carriers under contracts signed in 2022. These vessels are intended to be chartered to Oman LNG for a period of eight years.