ZIM Inks Deals for 10 New LNG-Powered Vessels

ZIM announced today the signing of new agreements for the long-term charter of 10 dual-fuel vessels powered by Liquefied Natural Gas (LNG) and fuel, each with a carrying capacity of 11.5 thousand containers (TEU), for a total charter price of about $2.3 billion, for use on ZIM's various trade routes worldwide.

Seven of the vessels will be chartered to ZIM by Containers Venture Holdings, a company related to the TMS shipping group, and three vessels will be chartered to ZIM by a shipping company related to Kenon Holdings, Ltd., a company that was the largest shareholder in ZIM until the end of 2024. The vessels will be built at the Zhoushan Changhong shipyards in China, and delivery of the new vessels to ZIM is expected to take place in 2027 and 2028.

Eli Glickman, President and CEO of ZIM, said: 'After receiving all 46 new vessels we ordered in 2021 and 2022, which significantly improved our operational efficiency, we are pleased to announce another step in our fleet management strategy with the signing of agreements for the long-term charter of these new vessels, each with a carrying capacity of 11.5 thousand containers, and dual propulsion in natural gas and fuel. These agreements ensure the company's access to an important sector and strengthen our natural gas-powered core fleet, which is a critical differentiating factor commercially. It is important to note that these versatile vessels are particularly suited to the international trade routes on which ZIM operates and enhance our operational flexibility and growth potential.'

Glickman added: 'The expansion of our LNG-powered vessel fleet supports ZIM's sustainability goals and strengthens its position as a leader in the shipping industry in reducing carbon emissions. The operation of natural gas-powered vessels has proven to be a commercial advantage for ZIM, and we foresee growth in demand for environmentally friendly transport services, in a way that will further increase the advantage of operating a natural gas-powered fleet in the future.'

Glickman further added: 'The addition of these ten vessels, with their dual propulsion, helps maintain the competitiveness of the company's innovative fleet, and supports profitable long-term growth, for the benefit of the company's shareholders.'