OREANDA-NEWS. Japanese-Norwegian shipping venture Knutsen NYK Offshore Tankers (Knot) has signed a time charter agreement to shuttle crude offshore Brazil.

The deal with UK energy firm BG's Brazilian subsidiary runs for a maximum of 20 years, starting in the second quarter of 2017. Knot agreed with BG in September last year to offer two tankers to shuttle crude offshore Brazil for up to 20 years starting in the fourth quarter of 2016.

The 50:50 joint venture between NYK and Knutsen plans to use three new 158,000t Suezmax tankers built by South Korean shipbuilder Hyundai Heavy Industries.

Knot is seeking to tap the growing offshore market, with Brazil's shuttle crude business a key focus area. The latest deal will boost the venture's shuttle tanker fleet to 32.