ADNOC L&S acquires three ultramax carriers to bolster dry bulk fleet

ADNOC Logistics & Services (L&S), the maritime arm of ADNOC, announced the acquisition of an Ultramax bulk carrier (Al Karama), following the acquisition of two Ultramax carriers earlier this year.

The Al Karama bulk carrier vessel was built in 2019 and has a deadweight of 64,000 metric tonnes. It will immediately be deployed on key ADNOC L&S trading routes, including the transport of sulphur from facilities in Ruwais, Abu Dhabi, to global customers.

The Al Karama joins the Motor Vessel Al Dhafra and Motor Vessel Al Wathba, which were built in 2019 in Japan, as part of the ADNOC L&S Ultramax dry bulk fleet. These vessels play an important role in delivering products to ADNOC customers around the world and, in particular, service the long-term sulphur supply agreement signed between ADNOC and OCP Morocco, one of the world’s largest sulphur importers.

Speaking at this year’s virtual Abu Dhabi International Petroleum Exhibition and Conference (ADIPEC), Abdulkareem Al Masabi, Chief Executive Officer of ADNOC L&S said: "The addition of these modern bulk carriers to our fleet is a key milestone in the delivery our growth plans. The vessels will increase ADNOC L&S’ regional presence and will enable allow us to explore more cargo options outside the UAE market.

“As we continue to invest in our shipping fleet to service our global network of customers, we remain focused on delivering a safer and smarter growth strategy in shipping, driving growth opportunities and creating value for ADNOC, Abu Dhabi and the UAE.”

The new Ultramax bulk carriers feature economically efficient engines and smart speed management technology, allowing the vessels to operate at very low engine speeds resulting in a marked decrease in fuel consumption and lower emissions.

The MV Ghantout, a smaller class of bulk carrier with the capacity of 23,000 metric tonnes, has also recently joined the ADNOC L&S fleet. This vessel will be used to transport calcined petcoke from ADNOC’s Ruwais terminal to Jebel Ali and Khalifa Port in the UAE, supporting a long-term supply contract between ADNOC and Emirates Global Aluminum (EGA), which was signed in 2019.

The addition of these four vessels increases ADNOC L&S’s bulk cargo tonnage by 214,000 metric tonnes. The purchases reflect the company’s focus on modernising its fleet and optimizing its cargo capacity, thereby ensuring that its vessels are at the forefront of technology and sustainable shipping.

The new fleet will enable ADNOC L&S to deliver more backhaul bulk cargoes in the open market, thereby making fewer ballast voyages and delivering greater value from each journey. More broadly, the expansion of ADNOC L&S’ dry bulk fleet also supports ADNOC’s Downstream growth and its move into Trading.