MISC doubles LNG fleet with five new 20-year Petronas charters
Malaysian group secures 10-vessel programme with Petronas, locking in long-term revenue from 2030
Malaysian shipping company MISC has secured a new long-term agreement with state energy firm Petronas, expanding its fleet of liquefied natural gas carriers. The deal, confirmed on 7 October 2026, covers five additional vessels that will operate under 20-year charters starting in 2030.
The ships will be built by Hudong-Zhonghua Shipbuilding, a subsidiary of China State Shipbuilding Corporation. This latest order follows an earlier programme announced earlier in 2026, when MISC contracted three 174,000-cubic-metre carriers in January and added two more in February. Petronas later confirmed 20-year charters for all five, with deliveries scheduled between 2029 and 2030. The new award doubles MISC’s LNG carrier programme to ten vessels.
Financial impact and growth strategy: MISC
The expansion is expected to strengthen MISC’s earnings stability by locking in long-term revenue. Analysts estimate the five new vessels will contribute MYR 162 million to the company’s fiscal 2026 earnings—about 6% of its projected base—while generating at least MYR 600 million in additional annual revenue once operational.
Natural Gas
However, the fleet growth comes with substantial upfront investment. Capital expenditure for the newbuildings is projected between MYR 5 billion and MYR 6 billion from 2027 to 2030, with construction and financing costs incurred before the ships begin earning charter revenue. The timing aligns with MISC’s broader strategy to secure long-term contracts amid rising demand for LNG in Asia.
The company’s recent financial performance reflects strong momentum. In the second quarter of 2026, MISC reported revenue of MYR 4.79 billion, a 76% increase year-over-year, while net income surged 149% to MYR 1.15 billion. The results underscore the company’s diversified maritime portfolio, which includes LNG shipping, petroleum transport, offshore operations, and marine engineering.
Fleet expansion timeline
The latest order builds on a series of milestones in MISC’s LNG strategy. In January 2026, the company signed contracts for an initial batch of three carriers, later expanding to six. By May, Petronas had secured 20-year charters for all five vessels from the first phase, with deliveries set for 2029–2030. The October award adds five more ships, all slated to enter service in 2030.
MISC’s orderbook also includes a smaller 18,700-cubic-metre LNG carrier, confirmed in August 2026 for a ten-year charter serving the Bintulu–Sendai trade route. The company’s next earnings report, due on 27 November, will provide further details on its financial outlook and fleet development progress.
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