Wedoany.com Report-Dec.26, Mitsui O.S.K. Lines (MOL), one of Japan’s leading shipping companies, has secured project financing for a newbuild floating storage and regasification unit (FSRU). The FSRU will be deployed in Singapore to serve as the country’s second liquefied natural gas (LNG) terminal.

Takeshi Hashimoto, MOL’s President and CEO, announced the signing of the finance agreement with a syndicate of banks. The lending group includes the Japan Bank for International Cooperation (JBIC), Mitsubishi UFJ Financial Group (MUFG), DBS Bank Ltd., Oversea-Chinese Banking Corporation (OCBC), and Standard Chartered Bank (Singapore).

Singapore LNG Corporation (SLNG) will operate the FSRU, marking the first deployment of such a unit in Singapore. The country relies on imported natural gas for about 95% of its domestic power generation, making reliable LNG infrastructure essential for energy security and supply stability.

MOL described the financing as a result of aligned objectives among the participants. The company stated: “This financing was made possible through the convergence of MOL’s mission to support customers in diversifying LNG procurement and ensuring a stable supply via FSRU projects; JBIC’s commitment to supporting the business expansion of Japanese companies in Asia; and the initiatives of JBIC, MUFG, DBS, OCBC, and SCB, which prioritize advancing the energy transition and contributing to decarbonization across the region.”

The project supports MOL’s long-term strategic goals. It aligns with the ‘Blue Action 2035’ vision, which emphasizes growth in both shipping and non-shipping businesses. It also fits the ‘MOL Group Environmental Vision 2.2,’ which focuses on expanding low-carbon and decarbonized operations through coordinated group-wide efforts.

The FSRU will enhance Singapore’s LNG import and regasification capacity. This addition will provide greater flexibility in LNG procurement and help meet rising energy needs while supporting the transition to cleaner fuel sources.

In related developments, MOL and South Korea’s Samsung Heavy Industries (SHI) earlier this year obtained approval in principle (AiP) from Lloyd’s Register. The AiP covers the design of a 174,000-cubic meter LNG carrier equipped with Solid Oxide Fuel Cell (SOFC) technology. This innovation aims to reduce emissions during vessel operations and contributes to MOL’s broader sustainability objectives.

The FSRU financing and the SOFC-equipped LNGC design demonstrate MOL’s active role in advancing energy infrastructure and cleaner maritime solutions. The company continues to strengthen its position in the global LNG and offshore sectors by delivering reliable, efficient, and environmentally responsible services.

This latest agreement reinforces MOL’s commitment to supporting stable energy supply chains in Asia. It also highlights the importance of international collaboration among financial institutions, project developers, and operators to address regional energy demands effectively.