Japan’s largest private shipowner, Nissen Kaiun, has added two more newbuildings to its growing fleet.

Well-placed shipbuilding sources say the low-profile company has signed up for two MR product tankers at domestic shipyard Onomichi Dockyard for 2020 delivery. Nissen is believed to have contracted the newbuildings a few months ago but the deal was not reported.

Officials at Onomichi declined to comment on its newbuilding activities, citing contract confidentiality. A Nissen executive said his company does not make public comments.

No price has been disclosed for the ships, which will be compliant with the IMO's older Tier II emissions standards. But tanker market sources believe the company is paying close to ¥4bn ($35.6m) each.

Nissen is said to have ordered the duo on the back of long-term charters to US energy giant Chevron. Japanese trading house Mitsui & Co is said to have arranged the charter deal, although details have not been disclosed.

Besides the MR tankers at Onomichi, Nissen also has five similar-size vessels under construction at Japan Marine United for delivery between 2019 and 2020. Four of the tankers have secured long-term employment from BW Tankers of Singapore. Terms of the charter were not disclosed.

The MR charters by Chevron are its second long-term hires as of late. In June, the energy giant was reported to have fixed two newbuildings from Mitsui & Co. The ships, which will comply with the IMO’s new Tier III emissions standards, are under construction at Samsung Heavy Industries in South Korea. The 50,000-dwt vessels were reported to cost between $35m and $36m apiece and are slated for delivery in 2020.

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An active player on the newbuilding front, Nissen is listed with 37 vessels on order at shipyards in China, Japan, South Korea and the Philippines by Clarksons.

Imabari-headquartered Nissen is primarily a tonnage provider, with more than 100 vessels worth $2.8bn on the water. Most of its fleet are bulkers, followed by containerships and tankers. It also has reefers and gas carriers.

For Kobe-based Onomichi, Nissen's latest order adds to a backlog that stands at 43 bulkers and tankers, according to Clarksons.