Borealis and IINO Lines Ink Second Long-term Time Charter Deal for Very Large Gas Carrier

Borealis, renowned for its advanced and eco-friendly polyolefin solutions and a key player in polyolefin recycling in Europe, along with IINO Kaiun Kaisha Ltd. (IINO Lines), a prominent global maritime transportation leader based in Japan, disclose the signing of a long-term charter agreement for a very large gas carrier (VLGC). This Ice Class IB vessel is scheduled for delivery in the first quarter of 2027.

Featuring a cargo tank capacity of 93,000 m3, the ship will ferry raw materials to Borealis' petrochemical facility in Porvoo, Finland, bolstering the plant's consistent operations as the sole ice-strengthened VLGC of Ice Class IB worldwide. The Ice Class IB designation is granted to vessels capable of traversing light ice conditions with icebreaker assistance, in compliance with the Finnish-Swedish Ice Class Regulations. These regulations outline the criteria for ships navigating the Baltic Sea during winter months.

Thanks to its dual-fuel engine, the new vessel has the capability to run on both liquefied petroleum gas (LPG) and low-sulfur fuels. As the largest VLGC, it features a Shaft Generator Motor (SGM) System for generating electrical power from LPG dual fuel. This leads to a significant decrease in both fuel consumption and emissions of common air pollutants from vessels, including nitrogen oxides (NOx), sulfur oxides (SOx), carbon dioxide (CO2), and particulate matter. Additionally, the adoption of an onshore power supply system allows the vessel to utilize shore-side renewable electricity while docked in port, further diminishing its carbon footprint.

"Ensuring our ability to efficiently transport cost-competitive light feedstock from international sources to our European base chemicals operations is crucial for maintaining our competitiveness in delivering sustainable base chemicals and polyolefins solutions. The recently finalized charter not only offers us competitive flexibility but also contributes to lowering the environmental impact of our transportation activities. This aligns perfectly with our strategic Energy & Climate objectives, showcasing our dedication to redefining essentials for sustainable living," stated Thomas Van De Velde, Senior Vice President of Base Chemicals and Energy at Borealis.

"We at IINO Lines are immensely proud to have secured this second long-term charter, providing safe and flexible transportation in alignment with Borealis' revised raw material procurement strategy. Drawing from our extensive experience and expertise in operating LPG Carriers since 1960, we are poised to facilitate more efficient and environmentally sustainable transport, ensuring stable plant operations year-round. We eagerly anticipate witnessing its passage through icy waters as it safely transports LPG to Porvoo," remarked Ryuichi Osonoe, Senior Managing Executive Officer in charge of Gas Carrier Management at IINO Lines.