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JFE Steel Corporation

JFE Steel’s Raw Materials Carrier Launched as Japan’s First Capesize LNG-fueled Ship

JFE Steel Corporation announced today the launch of its new 210,000-ton-class LNG-fueled carrier for transporting steel raw materials. Built under a long-term charter with NYK Line, the vessel is the first full-size (“capesize”) LNG-fueled bulk carrier to be built at a shipyard in Japan and will be the first such vessel deployed by a Japanese steelmaker.

The ship, named SG (Sail Green) OCEAN in a ceremony held at Japan Marine United Corporation’s Tsu Shipyard on January 30, will transport iron ore and coal from overseas locations to JFE Steel’s steelworks in Japan.

The use of LNG instead of conventional heavy fuel oil will significantly reduce the ship’s emissions of greenhouse gases, including carbon dioxide (by about 25%), sulfur oxides (about 100%) and nitrous oxides (about 75%).

JFE Steel has also signed long-term contracts with Kawasaki Kisen Kaisha and Mitsui O.S.K. Lines for similar LNG-powered bulk carriers in the 210,000-ton-class. They will be designed by Nippon Shipyard Corporation and completed by Japan Marine United Corporation and Imabari Shipbuilding Corporation by 2025. In addition, JFE Steel plans to gradually switch to LNG-fueled ships for other steel raw material carriers in the future. In the long term, JFE Steel will take a multitrack approach in its study of various zero-emission ships powered by other eco-friendly fuels, such as ammonia and carbon-recycling methane.

Guided by the JFE Group Environmental Management Vision for 2050, the JFE group aims to become carbon neutral by 2050. As part of this effort, JFE Steel is actively collaborating with JFE group members and external partners to reduce CO2 emissions across its entire steel supply chain for a more sustainable world.


Vessel overview

Main dimensions Overall length 299.9m x beam 50.0m x freeboard up to 25.0m x draft up to 18.4m
Deadweight capacity 210,933 tons
Gross tonnage 110,334 tons

Photograph of the SG OCEAN

Photograph of the SG OCEAN


Related URL

・ July 20, 2021 press release
“JFE Steel Signs Long-term Charter for 3 LNG-fueled Ships to Transport Raw Materials—Switch to LNG will help reduce greenhouse gas emissions”


About JFE Steel Corporation

JFE Steel Corporation, one of the world’s leading integrated steel producers, was established through the consolidation of NKK Corporation and Kawasaki Steel Corporation in 2003. The company operates several steelworks in Japan and numerous branch offices and affiliates throughout the world. JFE Steel leverages world-class technologies and know-how to produce a wide range of products based on its “Only One, Number One” strategy of focusing on unique and best-in-class products. The company reported consolidated sales of 2,255 billion yen and consolidated crude steel output of 23.96 million tons in the fiscal year ended March 2021.

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