MOL, Mitsui & CO. jointly acquire terminal/port businesses serving U.K. offshore energy industry

Mitsui O.S.K. Lines, Ltd. today announced that the company teamed up with Mitsui & Co., Ltd. to acquire the terminal/port business related to the U.K. port of Nigg, owned by GEG (Holdings) Limited. The deal also includes steel processing and machinery and equipment manufacturing businesses serving the energy industry, centering on offshore wind power, oil, and gas; and the companies have concluded a share purchase agreement. Following the acquisition, the business will be operated by Global Energy Service Holding Limited with Mitsui & Co. holding a 51% stake and MOL holding a 49% share.

GEG accepted a 25.5% investment from Mitsui & Co. in April 2012 and has been developing its business in parallel with the energy transition in the U.K. This business is in line with MOL’s business strategy to expand the use of clean energy, which led the company to collaborate with Mitsui & Co. In the U.K., stable supplies of oil and gas and accelerated introduction of renewable energy, mainly offshore wind power, are expected to improve the nation’s energy self-sufficiency and achieve net zero greenhouse gas (GHG) emissions by 2050. The world’s largest development area for offshore wind power is in the North Sea region of Scotland, which is close to Nigg Port. The port is expected to become increasingly important as a hub for not only bottom-fixed offshore wind power but also floating offshore wind power in the future. MOL considers Port of Nigg the most important base for offshore wind power generation and marine development in Europe, and the company believes it will continue to be a port with strong prospects and steady demand. Through this acquisition, MOL aims to strengthen the terminal port, steel processing and manufacturing businesses, and the supply chain centered on these businesses by combining MOL’s vessel and port assets as a shipping company with Mitsui & Co.'s extensive industrial network as a general trading company.

MOL views the offshore wind power business as a key domain in the group management plan, “BLUE ACTION 2035.” Through this acquisition, the MOL Group will pursue the advancement of port logistics and marine transport services for offshore wind power generation, contributing to the spread of renewable energy and the realization of a decarbonized society.