Dorian LPG Ltd. (LPG) has agreed with Hanwha Ocean Co., Ltd. (042660.KS) to construct three 90,000-cubic-meter dual-fuel Panamax very large gas carriers for approximately $345 million.
The newbuild order represents a significant fleet expansion commitment from Dorian LPG as global demand for liquefied petroleum gas transportation continues to shape shipping investment strategies.
The three vessels are scheduled for delivery in June, September, and December 2030, spreading the fleet additions across the second half of that year.
Each of the newbuildings will feature dual-fuel engines capable of using LPG and conventional low-sulfur fuels, giving the company operational flexibility across different fuel markets.
The vessels will also incorporate shaft generator systems designed to handle onboard power generation during sea voyages, reducing reliance on auxiliary engines.
Energy-efficient hull forms and propulsion systems will be built into each carrier, reflecting an industry-wide push toward lower emissions and improved operational efficiency.
Alongside the shipbuilding agreement, Dorian LPG entered into a new seven-year $368.4 million credit facility on September 2 to refinance its existing debt obligations.
The facility consists of a $213.4 million term loan and a $155.1 million revolving credit facility, providing the company with structured access to capital across different financing instruments.
A $200 million accordion facility has also been included within the arrangement, giving Dorian LPG additional borrowing capacity to support future fleet or business growth.
On the chartering side, Dorian LPG said it has fixed 99% of its calendar days for the quarter ending September 30, 2026, at rates above $88,000 per day.
The company noted that the estimate excludes potential demurrage from voyages completed during the month of September, which could affect the final revenue picture for the quarter.
The strong charter coverage at elevated day rates signals robust near-term earnings visibility for the company heading into the final months of 2026.
Shares of Hanwha Ocean Co. closed trading 0.35% higher at KRW 86,800 on the Korean Stock Exchange ahead of the announcement.
In pre-market trading, Dorian LPG (LPG) was 0.06% higher at $53.60 on the New York Stock Exchange, reflecting measured investor reaction to the fleet expansion and refinancing news.
