BW LPG and Global United Shipping India have agreed to set up a 50/50 joint venture (JV) in India.
The BW Global United LPG India JV will own and operate gas carriers for the transportation of LPG within Indian waters.
Under the terms, BW LPG will sell two of its vessels, namely BW Boss and BW Energy, to the JV, and has signed binding vessel sales contracts for this purpose.
BW LPG CEO Martin Ackermann said: “The joint venture will allow BW LPG to create a strong base in India, which is one of the world's largest LPG import markets. LPG growth in India is driven primarily by increased retail demand and strong support for LPG consumption from the government of India.
"Investments in import infrastructure, biomass displacement and continued government support also looks favourable for the LPG market. BW LPG looks forward to capturing growth opportunities alongside a trusted partner.”
BW LPG currently owns and operates 54 Very Large Gas Carriers (VLGC) and Large Gas Carriers (LGC), including two VLGC newbuilds with a total carrying capacity of 4.5 million cubic metres.
With four decades of operating experience in LPG shipping, BW LPG is associated with BW Group.