Container News has confirmed with sources at Jiangnan Shipyard that revived Singapore-based liner operator Pacific International Lines (PIL) has ordered up to four 13,000 TEU container vessels at the Chinese ship builder.
Two firm orders, slated for completion in late 2024, have been commissioned, with options for another two ships. The vessels are to be LNG-fuelled.
It is the first time in seven years that PIL, which had well-documented financial difficulties, has ordered newbuildings. PIL’s last order was for seven 11,923 TEU ships at Yangzijiang Shipbuilding in 2015, but the company is now left with just two of these vessels, having sold off several ships to strengthen its balance sheet.
While PIL does not comment on ship acquisitions, the company was rejuvenated by a bailout from Heliconia Capital, a unit of the Singapore government’s investment company, Temasek Holdings, as well as the subsequent spike in container freight rates.
The company was on the brink after being in the red from 2018 to 2020. Heliconia Capital emerged as a white knight by injecting US$600 million for a 75% stake in PIL and granting the beleaguered company loans to maintain its operations.
Martina Li
Asia Correspondent
