Kyushu Electric Power Co., Inc., NYK Line, ITOCHU ENEX CO., LTD., and SAIBU GAS CO., LTD.(hereinafter "the parties") have established a joint venture company, KEYS Bunkering West Japan Co., Ltd. ("KEYS"), in February this year and have performed considerations with the goal of beginning the operation of the liquefied natural gas ("LNG") fuel supply business for ships in Japan’s Kyushu and Setouchi regions in the spring of 2024.¹

The parties announced today the conclusion of a shipbuilding contract for one private vessel for the supply of LNG fuel to ships (hereinafter "bet365 出 金 楽天 銀行 vessel") between KEYS and Mitsubishi Shipbuilding Co., Ltd.² The construction of the bet365 出 金 楽天 銀行 vessel is planned to be completed in March 2024, and the vessel will become the first bet365 出 金 楽天 銀行 vessel operated in West Japan.

For starting the LNG fuel supply business, the parties also applied, in January 2022, for support from the subsidy program for development of bet365 出 金 楽天 銀行 bases , the Ports and Harbours Bureau, Ministry of Land, Infrastructure, Transport and Tourism (hereinafter “MLIT”) assistance project that supports the establishment of LNG fuel supply facilities. The support for this LNG fuel supply business was approved on March 4, 2022.³ With the support of the MLIT, KEYS will own and manage bet365 出 金 楽天 銀行 vessels and implement the LNG fuel supply business.

Through this business, which handles environment-friendly LNG fuel, the parties and KEYS will contribute to the reduction of greenhouse gas emissions with the goal of realizing a carbon-neutral society.⁴

¹ Outline of the joint venture
(1) Corporate name: KEYS Bunkering West Japan Co., Ltd.
　　　KEYS is an acronym for Kyushu, Enex, Yusen, and Saibu.
(2) Head office address: Kitakyushu-shi, Fukuoka, Japan
(3) Representative: Takashi Mitsuyoshi
(4) Details of business: sales of LNG fuels ship-owning of bet365 出 金 楽天 銀行 vessel
(5) Stockholders:
　　　　　　Kyushu Electric Power Co., Inc. 40%
　　　　　　NYK Line 40%
　　　　　　ITOCHU ENEX CO., LTD. 15%
　　　　　　SAIBU GAS CO., LTD. 5%
(6) Established: February 2, 2022

Business scheme

2 Outline of the bet365 出 金 楽天 銀行 vessel
　Length overall: 82.4 meters
　Breadth: 18.2 meters
　Draft:4.8 meters
　Gross tonnage: Approx. 4,850 tons
　LNG tank capacity: 3,500 m3
　Propulsion system: Electric propulsion (Dual-fuel engine uses LNG and diesel oil)
　Delivery: March 2024
　Shipyard: Mitsubishi Shipbuilding Co., Ltd.

³ Approved for the 2021 bet365 出 金 楽天 銀行 Base Formation Project (Ministry of Land, Infrastructure, Transport and Tourism)
https://www.mlit.go.jp/report/press/port02_hh_000161.html

⁴ When compared with heavy oil used as marine fuel, the environmental impact of LNG fuel is lower and it is expected to reduce sulfur oxide (SO_x) and particulate matter (PM) emissions by 100%, nitrogen oxide (NO_x) emissions by 80% at the maximum, and carbon dioxide (CO₂) emissions by approx. 30%.
Assuming that 100,000 tons of LNG fuel is supplied annually, ships shifting from heavy oil to LNG is expected to reduce CO₂ emissions by approximately 100,000 tons-CO₂/year.

Company overview