LNG For Fuel

Viking Line Letter of Intent for LNG Fueled Passenger Vessel

Viking Line has signed a letter of intent with the Chinese company Xiamen Shipbuilding Industry Co. Ltd for an LNG fueled passenger vessel to be delivered in the spring of 2020.

According to Viking Line the goal is to sign a final agreement during the spring of 2017. The total investment is about 190 million euros. The letter of intent also includes an option for an additional vessel.

“Our intention is for the vessel to run on liquefied natural gas. We have excellent experience with this from the M/S Viking Grace, the first large LNG-powered passenger vessel in the world. Great emphasis has been placed in the planning work on environmentally sound solutions, including new innovative energy-efficient applications” said Jan Hanses, Viking Line’s CEO.

The new vessel is planned to serve the Turku (Finland) Åland Islands (Finland)-Stockholm (Sweden) route. The vessel will be 218 meters in length and have a gross registered tonnage of 63,000 tonnes.

Passenger capacity will be 2,800 people, and the length of its cargo lanes will be 1,500 meters. Viking Line will hire Scandinavian architects for the interior design. 

Viking Line LNG

Image: Viking Line

Pasha Hawaii Announces Order for Two New LNG Fueled Containerships

Honolulu-based Pasha Hawaii announced yesterday that the company has narrowed its selection to two U.S. shipyards for the construction of two new LNG fueled containerships, with the option to order two additional vessels. Contract specifications are expected to be finalized by the end of the month, with the final selection decision anticipated in January 2017 per a company statement.

Details for the vessel order outline a shipping capacity of 3,400 twenty-foot equivalent units including 500 45-foot containers and 400 refrigerated containers, and a sailing speed of 23 knots. Delivery of the first vessel is expected mid-2019, with delivery of the second vessel to come in early 2020.

“Since entering the Hawaii shipping business in 2005, Pasha Hawaii has made and will continue to make significant capital investments to support our expanding customer base and the local business community as a whole,” said George Pasha, IV, President and CEO.

Skangas completes first full LNG bunkering of Fure West tanker

Skangas announced today the product tanker M/T Fure West was bunkered with LNG for the first time since its conversion to a triple fuel system. The bunker operation took place at the Skangas LNG terminal in the Port of Risavika near Stavanger. Skangas noted Fure West is the first vessel within the Gothia Tanker Alliance with a dual fuel engine.

“We are very proud to offer a flexible, easily accessible LNG bunkering service directly at our LNG Terminal in Risavika,” said Tor Morten Osmundsen, CEO of Skangas.  “We operate a LNG infrastructure ready to provide LNG bunkering services along the coast of the Nordic countries as well as Ship-to-Ship deliveries. Availability of LNG bunkering services is not an issue any longer ” 

Skangas pointed out it will by summer 2017 operate M /T Coralius  with a capacity of 5800 cbm  designed for ship-to-ship bunkering in icy conditions.

“We are very satisfied that we have now completed the conversion to LNG propulsion on the product tanker Fure West, and are able to offer first class shipping services to the market using the clean fuel LNG,” says Lars Höglund, CEO and owner of Furetank.

Skangas is a subsidiary of Gasum Corporation (51%), and is partly-owned by the Norwegian energy company Lyse (49%).  

Clean Energy Opens LNG station in Washington State

Clean Energy Fuels announced today the opening of a new public natural gas station along Interstate 5 in Fife a suburb of Tacoma, Washington.

The station, located at 3013 20th Street East, was designed, built, and will be operated and maintained by Clean Energy. The station consists of two liquefied natural gas (LNG) fast-fill pumps, and is open to the public 24/7.

Interstate Distributor Co., headquartered in nearby Tacoma, will use the station for its fleet of LNG tractors operating throughout the Pacific Northwest.

“As the first national freight carrier in the Pacific Northwest to use natural gas vehicles for our fleet, we’re very happy to see another station become available that can support our regional distribution network,” said Interstate Distributor Co. CEO Marc Rogers. “We made the transition to natural gas early so we would be ahead of the game, and now that the infrastructure is here, we’re more and more confident each day that we made the right decision.”

Clean Energy also announced last month that it had completed a public natural gas station in Central Point, Oregon, linking California to Washington.

“We continue to focus on key transportation corridors like the I-5 to expand our natural gas infrastructure,” said Chad Lindholm, vice president of Sales at Clean Energy. “As our partners like Interstate make the transition to natural gas, we can offer the fueling stations they need to expand along with them.”

Clean Energy Opens LNG station in Washington State

Image: Clean Energy 

Skangas awarded framework agreement with Statoil

Skangas announced today it has entered an agreement with Statoil for delivery of liquefied natural gas fuel for their platform supply vessels (PSV). The LNG will be delivered to several bases along the Norwegian west coast by ship.

Skangas will in addition deliver LNG to Statoil’s tugs at Kårstø. According to Skangast he agreement is valid from 1 April 2017 until the end of 2020 with an option for two plus two years. The supply bases are located at Mongstad, Florø (Saga Fjordbase) and Kristiansund (Vestbase).

The LNG will be delivered from the LNG plant in Risavika to the supply bases along the Norwegian coast by Skangas’ new LNG feeder and bunker ship Coralius. The 5800 m3 Coralius is expected to be available Spring 2017.

“We see this agreement as a recognition of our daily work and a confirmation of a good relationship with Statoil”, says Tor Morten Osmundsen, CEO of Skangas. “It is important to have customers that emphasize the necessity of more sustainable operations enabling the use of a more environmentally friendly energy. We are depending on front runners to develop the market for LNG and further for liquefied biogas (LBG)”.

Coralius LNG bunker and feeder vessel. Image Source: Skangas

Coralius LNG bunker and feeder vessel. Image Source: Skangas

 

 

Carnival Agreement with Shell to Fuel LNG Powered Cruise Ships

Carnival Corporation announced today it has signed a framework agreement with Shell to be its supplier of marine liquefied natural gas to power their LNG-powered cruise ships. Under the agreement Shell will initially supply Carnival Corporation's AIDA Cruises and Costa Cruises brands with fuel for two new LNG-powered ships expected to launch in 2019.

According to Carnival as part of the agreement these two ships will utilize Shell's infrastructure in cruise ports to refuel with LNG throughout their itineraries. The vessels, equipped with dual-fuel engines, are the first of a new generation of cruise ships fully powered by LNG both while in port and at sea.

"We are committed to reducing our air emissions and improving air quality by evaluating new and established solutions such as LNG -- an especially promising option because of its environmental and other benefits," said Tom Strang, senior vice president of maritime affairs for Carnival Corporation.

This agreement builds on the partnership established between Carnival Corporation's AIDA Cruises brand and Shell in April of this year to supply its AIDAprima ship with LNG to power the vessel while docked.

"We have been working closely with Carnival to get to this point in our commercial partnership," said Lauran Wetemans, Shell's General Manager Downstream LNG. "Working together from an early stage is critical in helping the transition to cleaner LNG cruising. This is a unique partnership that will contribute to a robust and reliable LNG fuel supply chain, along with opportunities for future growth."

carnival shell lng

Carnival Corporation signed a framework agreement with Shell Western LNG B.V. to be its supplier of marine liquefied natural gas (LNG) to power the world's first fully LNG-powered cruise ships. Several Carnival Corporation and Shell representatives gathered for the signing including Lauran Wetemans, Shell's General Manager Downstream LNG (front left), and Michael Thamm, CEO of Carnival's Costa Group (front right).

 

Clean Energy Opens Public Natural Gas Station in Oregon

Clean Energy Fuels announced today that it has opened a public natural gas station in Oregon on Interstate 5 in Central Point, outside of Medford.

The station, located in the Pilot Travel Center Plaza at 275 Peninger Road, dispenses both liquefied natural gas and compressed natural gas, and is open to the public 24/7.

Matheson Trucking, a United States Postal Service contracted carrier, is using the station for its California to Seattle runs.

“The addition of this station allows us the strategic advantage of being able to rely on natural gas throughout our entire distribution system,” said Joshua Matheson, vice president of operations for Matheson Trucking, Inc. “With an annual fleet distance of close to 36 million miles, we are always looking for ways to reduce GHG-emissions, and being able to use natural gas, specifically for our Los Angeles to Seattle runs, will help us do just that.”

Carnival Corporation to Build Three New LNG Powered Cruise Ships

Carnival Corporation announced today they have signed a memorandum of agreement with German and Finnish shipbuilders Meyer Werft and Meyer Turku to deliver three cruise ships that will be fully powered by Liquefied Natural Gas.

Carnival Corporation said two of the new LNG powered ships are designated for the Carnival Cruise Line, and will be built by Meyer Turku at its shipyard in Turku, Finland, with delivery dates expected in 2020 and 2022. The new ship for P&O Cruises UK will be built by Meyer Werft at its shipyard in Papenburg, Germany, with an expected delivery date in 2020.

Carnival Corporation now has agreements in place to build seven LNG-powered cruise ships across four of its 10 global cruise brands in coming years. Carnival Corporation previously announced the first of these ships is expected to be in service for AIDA Cruises and Costa Cruises in 2019.

"We are proud to be at the forefront of introducing LNG-powered ships to the cruise industry, working with our partners to achieve shipbuilding breakthroughs like this that will help us produce the most efficient and sustainable ships we have ever built," said Arnold Donald, CEO of Carnival Corporation & plc. "This is also an important step in our fleet enhancement plan that enables us to execute on our long-term strategy of measured capacity growth over time, while delivering innovative new ships that further elevate our already great guest experience. Every time we launch a new ship, we have a new opportunity to create excitement and show consumers why cruising is a great vacation at an exceptional value, especially for those who typically consider land-based vacations."

Clean Energy 82.9 Million Gallons Delivered for Second Quarter of 2016

Clean Energy Fuels Corp. delivered 82.9 million gallons in the second quarter of 2016, an 11% increase from 74.4 million gallons delivered in the second quarter of 2015.

Revenue for the second quarter of 2016 was $108.0 million, a 24% increase from $86.9 million for the second quarter of 2015. Revenue for the second quarter of 2016 included $6.5 million of excise tax credits for alternative fuels whereas the second quarter of 2015 did not include any VETC revenue according to Clean Energy Fuels Corp.

Clean Energy defines “gallons delivered” as its gallons of compressed natural gas, liquefied natural gas and renewable natural gas, along with its gallons associated with providing operations and maintenance services, delivered to its customers during the applicable period plus the Clean Energy's proportionate share of gallons delivered by joint ventures.

The table below shows gallons delivered for the three and six months ended June 30, 2015 and 2016:

clean energy LNG Gallons

 

(1) Represents RNG sold as non-vehicle fuel. RNG sold as vehicle fuel, also known as Redeem™, is included in CNG and LNG. 

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