LAUGFS to buy second ship
Laugfs Gas PLC’s new subsidiary, Laugfs Maritime Services (P) Ltd (LMS) with plans to strike partnerships in international shipping, logistics and maritime services, is to ink its second cargo ship deal next week, officials said.
“We were on the lookout for a second liquefied petroleum gas (LPG) vessel, having secured our first last September and we’ll finalise this deal in a few days time,” an official told the Business Times.
The company has been inspecting many ships over the past few months. According to him, the first cargo ship had an initial investment of US$ 6.9 million while the new ship will cost about the same. “Our first ship was named as ‘Gas Challenger’ and we will appropriately name the second one which will sail under the Sri Lankan flag,” he added.
He said that plans to sign with international partners for business in this area are also progressing. “Many international firms are talking to us,” an official told the Business Times, adding that those in discussion are mostly British and Middle Eastern firms.
LMS will own, operate, hire and charter various types and sizes of ships including LPG vessel and other type of vessel that can carry various energy products and depending on the need each year LMS has plans to acquire a ship.
The official said that Laugfs Gas PLC wants to collaborate with their suppliers in a bid to trade LP Gas and oil in the South Asian region as well. The LP Gas supply in Asia is mostly linked to refining. In the Middle East, it’s linked mostly to associated gas with a growing linkage to non-associated gas, whilst North America is essentially linked to non-ssociated gas, he said, noting that the company is surveying all these aspects in its decision to enter countries in the South Asian region.
The company also has plans to set up a LPG storage terminal to be commissioned in two years.