“K” Line, U-Ming, Kuang Ming and Taipower signed a memorandum of understanding Monday to establish a joint venture in October 2020.
Kawasaki Kisen Kaisha Ltd., U-Ming Marine Transport Co., Kuang Ming Shipping Corp. and state-owned Taiwan Power Co. (Taipower) signed a memorandum of understanding Monday to form a joint venture to own both coal and LNG carriers to transport raw materials for Taipower.
The yet-to-be named joint venture is planned to be established in October 2020 in Taipei, Taiwan. It will have a capital of NT$1 billion ($32.3 million) with Taipower holding a 40% stake, U-Ming 32.5%, Kuang Ming 20% and “K” Line 7.5%.
“K” Line said it would provide its “many years of accumulated know-how in ship management and safe ship operations to this new joint venture.”
In a press release, U-Ming said, “In response to the global wave of climate change, Taiwan has been actively carrying out the energy transformation initiatives. This joint venture company will also be taking appropriate measures to face the rapid changes in the operating environment to stabilize the country’s coal supply, and at an appropriate time to come, to further expand into the LNG shipping business.”