← Back to News
energy

Northern Lights Doubles Down on LCO2 Fleet Expansion with Second K Line and MISC Charter

By MGN EditorialJune 3, 2026 at 06:00 PM

Northern Lights has awarded a second long-term time charter to a K Line and MISC consortium for a newly built 12,000-cubic-metre liquefied CO2 carrier, signalling accelerating momentum in the emerging carbon shipping sector.

## Northern Lights Expands LCO2 Fleet with Back-to-Back Charters Northern Lights, the carbon capture and storage (CCS) joint venture, has awarded a second long-term time charter contract for a 12,000-cubic-metre liquefied CO2 (LCO2) carrier to a consortium comprising Japan's Kawasaki Kisen Kaisha ('K' Line) and Malaysia's MISC Berhad, according to reports from gCaptain and Splash247. The latest contract follows closely on the heels of a previous time charter agreement signed on 29 January 2026 for an identical 12,000 cu m LCO2 vessel — also awarded to the same K Line and MISC partnership. The rapid succession of these contracts underscores Northern Lights' intent to build out a dedicated fleet capable of supporting large-scale CO2 transport operations in Europe and beyond. ### A Growing Market for Carbon Shipping Northern Lights is a joint venture between Equinor, Shell, and TotalEnergies, and forms a central pillar of Norway's Longship CCS project — one of the world's first commercial-scale carbon capture and storage initiatives. The venture is responsible for the maritime transport and subsea storage of captured CO2, making purpose-built LCO2 carriers a critical infrastructure component. The 12,000 cu m vessel specification represents a mid-scale capacity suited to the current phase of CCS ramp-up, as industrial emitters across Europe begin contracting CO2 transport and storage services. Analysts have noted that demand for specialised LCO2 tonnage is expected to grow substantially through the late 2020s and into the 2030s as regulatory pressure and carbon pricing incentivise industrial decarbonisation. ### K Line and MISC Strengthen CCS Credentials For K Line and MISC, securing back-to-back charters from Northern Lights cements their position as leading operators in the nascent LCO2 shipping segment. Both companies have been actively investing in next-generation vessel types as part of broader energy transition strategies. MISC, a subsidiary of Malaysian national oil company Petronas, has been expanding its presence in specialised gas and clean energy shipping, while K Line has similarly prioritised low-carbon and alternative-fuel vessel development. The repeated selection of the same consortium suggests a high degree of confidence in the partners' technical and operational capabilities for this demanding cargo type, which requires precise temperature and pressure management during transport. ### Outlook As CCS infrastructure scales up across Europe and Asia, the LCO2 carrier market is transitioning from a niche concept to a recognised shipping segment. Northern Lights' fleet expansion signals that commercial carbon logistics are moving from pilot phase to operational reality — a development that will be closely watched by shipowners, charterers, and energy companies alike. *Sources: gCaptain, Splash247*
#LCO2 carriers#carbon capture and storage#Northern Lights#K Line#MISC Berhad#CCS shipping#time charter#decarbonisation#liquefied CO2

Related Articles

Maritime Industry Briefing: Limited Offshore Energy Infrastructure News This Cycle

This edition's feed returns a single non-maritime item concerning onshore electrical grid upgrades in Ohio, with no substantive maritime or shipping industry developments to report at this time.

Jun 26, 2026

Grid Acceleration Coalition Urges FERC to Prioritise Speed in Transmission Infrastructure Rules

The Grid Acceleration Coalition has reaffirmed its call for expedited transmission project approvals before FERC, arguing that faster grid buildout is essential for economic growth and reduced energy costs.

Jun 25, 2026

FMI Corporation Launches Inaugural 2026 Energy and Power Overview Amid Trillion-Dollar Infrastructure Cycle

FMI Corporation has released its first-edition 2026 Energy and Power Overview, offering a combined consulting and investment banking perspective on the sweeping capital investment cycle reshaping U.S. energy and power infrastructure.

Jun 25, 2026

J.F. Lehman-Backed Doncasters Lists on NYSE in Successful IPO

DPC Holdings Limited, the aerospace and industrial components manufacturer backed by maritime-focused private equity firm J.F. Lehman & Company, has completed its initial public offering on the New York Stock Exchange.

Jun 25, 2026

Gulf Energy Corridors Reopen as Geopolitical Shifts Reshape Global Shipping Lanes

Saudi Arabia's Ras Tanura terminal prepares to resume crude loading following the Iran conflict, while U.S. diplomacy seeks to reassure Gulf allies over a prospective Iran accord — developments with significant implications for global tanker markets and energy supply chains.

Jun 25, 2026