The Shipping Corporation of India Ltd (SCI) has invited Expressions of Interest (EOIs) from shipbuilders for the construction of eight very large gas carriers (VLGCs), each with a cargo capacity of 88,000 cubic metres. The overall project is estimated to involve an investment of around $950 million, marking one of the most significant shipbuilding initiatives undertaken by an Indian shipping company.
As per the EOI conditions, six of the eight VLGCs are to be built in India, while the remaining two may be constructed at overseas shipyards. However, foreign shipyards will be eligible only if they have successfully delivered at least three VLGCs over the past five years. Indian construction is expected to be executed through technical collaborations, joint ventures, or strategic alliances with experienced global shipbuilders.
The EOI has been issued on behalf of a proposed joint venture (JV) involving SCI and several state-owned oil and financial entities. SCI will hold a 50 percent stake in the JV, with the remaining share to be held by Indian Oil Corporation, Bharat Petroleum Corporation, Hindustan Petroleum Corporation, Oil and Natural Gas Corporation, and Sagarmala Finance Corporation.
The joint venture plans a major fleet expansion over the next five years, targeting the acquisition of approximately 59 vessels through a combination of second-hand purchases and new builds at Indian shipyards. The proposed fleet will include very large crude carriers, VLGCs, Suezmax and Aframax tankers, medium-range product tankers, and offshore vessels. The total investment for this expansion programme is estimated at around ₹15,000 crore.
Under the current VLGC proposal, Indian Oil Corporation has indicated a requirement for four vessels, while BPCL and HPCL plan to induct two VLGCs each. These ships will support the transportation needs of India’s oil and gas sector, covering both export-import and coastal shipping operations for crude oil, petroleum products, and liquefied gases.
The EOI also states that Chinese shipyards are not eligible to participate unless they are registered with the relevant authorities, in line with prevailing government norms. Depending on the responses received, SCI may proceed by inviting detailed bids from shortlisted participants or by issuing a global tender for the project.
