Navigator Holdings Ltd. (“Navigator” and the “Company”) (NYSE:
NVGS), the owner and operator of the world’s largest fleet of
handysize liquefied gas carriers, today announced the signing of a
non-binding memorandum of understanding (the “MoU”) with Bumi
Armada Berhad (“Bumi Armada”), one of the world’s largest floating
infrastructure operators, to establish a joint venture company to
provide CO2 shipping and injection solutions in the United Kingdom
(the “Bluestreak CO2 Joint Venture”).
The Bluestreak CO2 Joint Venture, to be owned
50% by Navigator and 50% by Bumi Armada, aims to provide an
end-to-end solution for carbon emitters to capture, transport,
sequester and store their carbon dioxide emissions in line with the
United Kingdom’s Industrial Decarbonisation Strategy.
By leveraging the expertise and experience of
its principal shareholders, it is anticipated that the Bluestreak
CO2 Joint Venture will design and implement a value chain of
shuttle tankers delivering to a floating carbon storage &
injection unit. The complete value chain is expected to safely and
reliably transport and provide buffer storage of liquid carbon
dioxide. The CO2 is intended to be subsequently injected into
offshore storage aquifers and/or depleted oil and gas reservoirs in
a controlled manner, with full surveillance and management of the
permanent storage location. This approach is anticipated to allow
the Bluestreak CO2 Joint Venture to serve emitters with no access
to pipeline infrastructure, to effectively manage their CO2
emissions.
It is estimated that the potential market in the
United Kingdom alone, is over 30 million tonnes of CO2 per annum
from emitters who are not proximate to existing awarded carbon
capture, usage and storage clusters. Navigator and Bumi Armada are
in initial discussions with a number of emitters and if successful,
the first shipment of CO2 is anticipated by the parties to take
place three years after taking final investment decision.
Mads Peter Zacho, Navigator’s Chief
Executive Officer, commented:
“The Bluestreak CO2 Joint Venture marks the
first shipping partnership into the carbon capture sector in the
UK. I’m incredibly pleased to have the opportunity to offer an
end-to-end solution for customers, particularly those not served by
the large “mega-cluster” projects. Bumi Armada is a great partner
to be taking this strategic step with, and we are very proud to be
playing such a meaningful role in the UK’s decarbonisation
strategy.”
Gary Christenson, Bumi Armada’s Chief
Executive Officer, said:
“We are excited to collaborate with Navigator in
this strategic partnership to bring sustainable and scalable
solutions to reduce carbon emissions, which is also in line with
Bumi Armada’s recently launched decarbonisation agenda to achieve
net zero by 2050. This collaboration is a testament to our strong
commitment towards providing the best decarbonisation solutions
globally.”
The transaction is subject to the execution of a
definitive joint venture agreement, approval by the boards of
directors of both Navigator and Bumi Armada, regulatory approvals
where applicable and other customary closing conditions. The
parties anticipate entering into a definitive joint venture
agreement by the end of the fourth quarter of 2023. The
commercialisation of the Bluestreak CO2 Joint Venture is subject to
sufficient long-term customer commitments.
About Bumi ArmadaBumi Armada is
a global provider of floating infrastructure systems, offshore
energy engineering, facilities, and services provider. Bumi Armada
is committed to delivering world-class performance across a broad
range of major marine projects. Bumi Armada partners and operates
the only FPSO vessel in the world that uses an amine recovery
system to extract H2S from the production gas. This is the same
amine system that is used for many of the CO2 capture-recovery
systems worldwide. Bumi Armada is also engineering a carbon capture
injection system for a gas field incorporating its experience. Bumi
Armada owns and operates one of the largest Floating Production
Systems in the UK North Sea, which is also amongst the most complex
systems of its kind, supporting the production of its main UK
client.
Bumi ArmadaAttention: Investor Relations
ir@bumiarmada.com Tel: +603 2302 9000
About Navigator GasNavigator
Holdings Ltd. is the owner and operator of the world’s largest
fleet of handysize liquefied gas carriers and a global leader in
the seaborne transportation services of petrochemical gases, such
as ethylene and ethane, liquefied petroleum gas (“LPG”) and ammonia
and owns a 50% share, through a joint venture, in an ethylene
export marine terminal at Morgan’s Point, Texas on the Houston Ship
Channel, USA. Navigator’s fleet now consists of 56 semi- or
fully-refrigerated liquefied gas carriers, 25 of which are ethylene
and ethane capable. The Company plays a vital role in the liquefied
gas supply chain for energy companies, industrial consumers and
commodity traders, with its sophisticated vessels providing an
efficient and reliable ‘floating pipeline’ between the parties,
connecting the world today, creating a sustainable tomorrow.
Navigator’s common stock trades on the New York
Stock Exchange under the symbol “NVGS”.
Navigator Gas |
|
Attention: |
Investor Relations investorrelations@navigatorgas.com
and randy.giveans@navigatorgas.com |
Address: |
333 Clay Street, Suite 2400, Houston, Texas, U.S.A. 77002 |
Tel: |
+1 713 373 6197 and +44 (0)20 7340 4850 |
|
|
Investor Relations / Media Advisors |
Nicolas Bornozis / Paul Lampoutis |
Capital Link – New York |
Tel: +1-212-661-7566 |
Email: navigatorgas@capitallink.com |
|
Forward Looking StatementsThere
can be no assurance that a definitive joint venture agreement
regarding Bluestreak CO2 will be executed or that the Joint Venture
will be completed on the terms anticipated or at all or that the
first shipment of CO2 will take place as anticipated or at all.
This press release contains certain
forward-looking statements concerning plans and objectives of
management for future operations or economic performance, or
assumptions related thereto, including statements concerning the
anticipated Bluestreak CO2 Joint Venture, the anticipated terms and
benefits thereof and the anticipated timing of completion thereof
and the timing of any related CO2 shipment. In addition, we and our
representatives may from time to time make other oral or written
statements that are also forward-looking statements. In some cases,
you can identify the forward-looking statements by the use of words
such as “may,” “could,” “should,” “would,” “expect,” “plan,”
“anticipate,” “intend,” “forecast,” “believe,” “estimate,”
“predict,” “propose,” “potential,” “continue,” “scheduled,” or the
negative of these terms or other comparable terminology.
Forward-looking statements appear in a number of places in this
press release. These forward-looking statements involve many risks
and uncertainties that could cause actual results to differ
materially from those expressed or implied by such statements.
These risks and uncertainties include but are not limited to those
set forth in the periodic reports Navigator files with the
Securities and Exchange Commission.
All forward-looking statements included in this
press release are made only as of the date of this press release.
New factors emerge from time to time, and it is not possible for us
to predict all of these factors. Further, we cannot assess the
impact of each such factor on our business or the extent to which
any factor, or combination of factors, may cause actual results to
be materially different from those contained in any forward-looking
statement. We expressly disclaim any obligation to update or revise
any forward-looking statements, whether because of future events,
new information, a change in our views or expectations, or
otherwise. We make no prediction or statement about the performance
of our common stock.
Category: General
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