KfW IPEX-Bank: Financing for fleet renewal of the Faroe Islands’ Smyril Line

• Two new ro-ro ships to operate in the North Atlantic
• Low-emission operation and modern environmental technologies

KfW IPEX-Bank is supporting renowned shipping company Smyril Line’s fleet-renewal programme with a financing of EUR 90 million.

Headquartered on the Faroe Islands, Smyril Line operates year-round transport between Denmark and the Faroe Islands, Iceland and the Netherlands.

The funds will be used to rejuvenate the fleet by building two identical 190-metre-long ro-ro ships, each with 3,300 lane metres and space for around 220 trailers and 300 cars. In addition, the ships each have 100 connections for refrigerated containers for fish transport. They will be built at the Chinese CIMC Raffles shipyard and are scheduled for delivery in 2026.

The ships are being designed in close cooperation with the renowned Danish engineering firm Knud E. Hansen. They include shore power connections and a battery system to ensure emission-free and low-noise operation in the port. With an “Alternative Fuel Ready” notation, the RoRo vessels are prepared for running on e-methanol. Compared to existing vessels, emissions are expected to be reduced by minimum 60%. A new chemical-free extinguishing system is also intended to increase safety when transporting electric cars.

“We are delighted to further develop our long-standing customer relationship with Smyril Line, and are pleased to support their commitment to environmentally friendly and sustainable ferry transport”, said Andreas Ufer, Member of the Management Board of KfW IPEX-Bank. “With this financing, we are once again underscoring our commitment to supporting our customers in their transformation to climate-friendly and CO2-efficient shipping.”