Ship finance giant Anchor Ship Partners launches Japanese green ship fund

Japanese ship finance giant Anchor Ship Partners is launching a massive fund to build up a fleet of LNG carriers to lease Nippon Yusen Kaisha, Mitsui OSK Lines and Kawasaki Kisen Kaisha to the nation's top three lines.

The new Y600bn ($5.65bn) fund, Japanese newswire Nikkei reports, will start by ordering LNG-fuelled gas carriers before ordering ships fueled by new fuels such as hydrogen and ammonia.

It is also eyeing hydrogen carriers, a burgeoning shipping industry that Japan is leading.

Anchor is seeking contributions from regional banks and other financial institutions in the new Green Ship Fund. The goal is to provide double-digit annual yields, primarily from lease income, and to run the fund for a period of 15 years.

The fund will be periodically reviewed by Sumitomo Mitsui Trust Bank to determine whether it has a positive effect on the climate.

Anchor's first fund, created by a team of ship financers at what is now Mizuho Bank, was launched in 2007. A total of four funds have been launched by the company since it was formed.

Maritime Business World