Watson Farley & Williams ("WFW") has provided legal advice to shipping firm MPC Container Ships ASA ("MPCC") on their latest purchase of four new container ships, each designed for energy efficiency and sustainable operations.
The construction contracts, valued at US$58 million per ship, were signed with the Chinese builder Jiangsu Hantong Ship Heavy Industry Co. Ltd., and delivery is anticipated in the first half of 2028. Additionally, MPCC holds options for two more vessels at the same price.
Energy-efficient technology and cost reduction
The new ships will align with the charterer's specific needs and sustainability objectives
The new ships will align with the charterer's specific needs and sustainability objectives, being equipped with advanced energy-efficient technology.
This initiative is expected to significantly lower slot costs by around 50%, further aligning with MPCC's ongoing efforts to modernise its fleet.
Revenue from 10-year charter agreements
Each ship is set to operate under a 10-year time charter agreement, with extension possibilities, for a pioneering global liner shipping company. During this period, the vessels are projected to generate approximately US$375 million in revenue.
MPCC, based in Oslo, is renowned for owning a fleet of small to medium-sized container ships that primarily service regional trade routes under long-term agreements.
Legal support and advisory team
The WFW Maritime team, led by Hamburg Corporate Partner Dr Christian Finnern, supported by Associates Maximilian Hennig and Bjarne Ruthke, spearheaded the advisement for MPCC. Dr F. Maximilian Boemke, another Hamburg partner, focussed on regulatory matters, while English law expertise was provided by London Partners Joe McGladdery and Charles Buss.
Strengthening strategic partnerships
Dr. Christian Finnern commented on the venture: “This transaction is another milestone in our long-standing relationship with MPCC.”
He further added, “This order for four energy-efficient container ships with long-term charter agreements demonstrates how strategic investments secure competitiveness and sustainability in the maritime industry. We are delighted to have supported MPCC on the legal structuring and execution of this complex project.”
