LNG For Fuel

International Gas Union Report: Significant Role of LNG in Marine Transport

The International Gas Union (IGU) has released a new report on the role of liquefied natural gas in enabling cleaner marine transport.

The report highlights the detrimental impact of marine transport on air quality levels, emphasizing the positive role LNG can play in combatting these impacts as an alternative and cleaner fuel for shipping.

The IGU noted the use of LNG in marine transport can deliver significant environmental, economic and social benefits. These include reductions in emissions of harmful pollutants, including up to 90% reductions in sulfur oxide (SOx) emissions, 29% reductions in carbon dioxide (CO) emissions, and 85% reductions in PM levels.

“The case for using LNG fuel for shipping is clear. It will provide significant improvement to our quality of life by dramatically reducing air pollution. It will also support climate change goals by reducing greenhouse gases. We need effective policy change to encourage a switch to LNG,” said David Carroll, President of the IGU. 

To download the full report in PDF format, click here.

International Gas Union Report: Significant Role of LNG Marine TransportSource: IGU LNG Marine Report 

 

 

 

Crowley Launches LNG Powered ConRo Ship at VT Halter Marine

Crowley Maritime Corp. and VT Halter Marine have launched Crowley’s new Commitment Class ship El Coquí. The El Coquí is a combination container/Roll On-Roll Off (ConRo) ship powered by liquefied natural gas.  The launch took place in Pascagoula, Mississippi on March 20th, 2017.

Crowley noted this is the first in a series of milestones expected to be achieved this week as part of Crowley’s $550 million project to expand and modernize the company’s shipping and logistics services between Jacksonville, Florida., and San Juan, Puerto Rico.

El Coquí, named after a beloved frog native to the island, will now proceed through the final topside construction and testing phase before beginning service in the U.S. Jones Act trade during the second half of 2017.

“This was a special day for Crowley, VT Halter Marine and all of the men and women who designed, and who are constructing, this world-class ship,” said Tom Crowley, company chairman and CEO. “We are extremely appreciative of all the work that has been accomplished so far and look forward to the successful delivery of El Coquí later this year and her sister ship, Taíno, in the first half of next year.”  

 

Hyundai Heavy Industries Group Order for LNG fueled Aframax Tankers

Hyundai Samho Heavy Industries (HSHI), Hyundai Heavy Industries’ shipbuilding affiliate, announced today that it recently won an order to build four 114,000 DWT Ice-Class IA Aframax tankers from Sovcomflot, Russia’s state-owned shipping company.

The LNG-fueled Aframax tankers, measuring 250 meters in length, 44 meters in width and 21 meters in height, are scheduled to be delivered from the third quarter of 2018 and to be chartered to Shell.

By running on LNG, the Ice-Class IA tankers will emit 90% less SOx, 80% less NOx, 15% less CO2 along with 50% reduced engine noise according to HSHI.

An HSHI official said, “We believe the winning of the world’s first LNG-fueled Aframax tankers is the proof of our world’s leading eco-friendly shipbuilding technology. As the demand for eco-ships increases with tightening environmental regulations, we will further accelerate our efforts to win eco-ship orders.”

Hyundai LNG ship tanker

UPS New Investment in Natural Gas Vehicles and Infrastructure

UPS today announced plans to build an additional six compressed natural gas fueling stations and add 390 new CNG tractors and terminal trucks and 50 LNG vehicles to its alternative fuel and advanced technology fleet.  UPS stated this new investment will total more than $90 million in natural gas vehicles and infrastructure.

“With more than 4,400 natural gas vehicles and a network of fueling stations, UPS has had great results using natural gas as an alternative fuel in our fleet,” said Mark Wallace, UPS senior vice president global engineering and sustainability. “We know the importance of investing in natural gas globally for our fleet and the alternative fuel market. In 2016, we used more than 61 million gallons of natural gas in our ground fleet, which included 4.6 million gallons of renewable natural gas.”

UPS purchased 50 additional LNG vehicles that were deployed in Indianapolis, IN, Chicago, IL, Earth City, MO and Nashville, TN where UPS has existing LNG stations.

The six new CNG stations will be built in Ontario, Calif.; Orlando, Fla.; Salina, Kan.; Louisville, Ky.; Greensboro, N.C; and Vancouver, B.C. Renewable natural gas (RNG) will be used at the station in Ontario to fuel UPS vehicles in the area with renewable compressed natural gas (RCNG).

UPS LNG Truck

LNG tractor trailer in Ontario, California 

Above Image Source: UPS

ABS issues Approval in Principle for LNG-fueled design concept

Last week ABS granted approval in principle for the Seatransporter-DF, a dual-fuel design concept developed by Algoship Designers Ltd. of Nassau, Bahamas. The design has the capability to accommodate multiple engine types as well as Type-C or membrane containment systems for LNG fuel.

“Technically innovative designs that advance the use of LNG as fuel will play an increasingly important role in the marine sector, and ABS is working alongside industry to enable this critical technological advancement,” says ABS Executive Vice President for Global Marine Dr. Kirsi Tikka. “As industry considers future fuel strategies, design concepts that promote the use of LNG as fuel will play an increasingly important role in that mix.”

Algoship is applying the same design philosophy to Panamax, Ultramax and Kamsarmax sized carriers and has determined that the dual fuel technology is also applicable to other vessel types.

“ABS contributed to this effort as a trusted advisor, engaging early in the process to apply its rigorous engineering and safety standards and verify the feasibility of the design,” said Algoship Designers Ltd President Antony Prince. “By working with ABS through its AIP process, we’ve been able to demonstrate that the Seatransporter was developed with a focus on safety and reliability and will be able to satisfy flag and port state requirements.” 

abs Seatransporter

Image Source: ABS

Van Oord orders LNG-powered crane vessel

Van Oord announced today it has ordered the construction of a new crane vessel. This vessel, which will be named Werkendam and will be Van Oord’s first LNG-powered vessel. It will generally be deployed to Netherlands-based projects executed by subsidiary Paans Van Oord.

The Werkendam is being built by Neptune in Hardinxveld-Giessendam, the Netherlands. It will take about twelve months to build the crane vessel. With a 38 m3 tank on the aft deck, the Werkendam will be able to store enough LNG on board to sail and operate for fourteen days without bunkering LNG.

“Energy efficiency is one of the top items on our sustainability agenda. To reduce our carbon footprint, we are researching the use of alternative fuels, such as LNG and biofuel. With this investment, we will be gaining experience of LNG-powered vessels and the related benefits” said Jaap de Jong, Staff Director of the Ship Management Department at Van Oord.

The Werkendam will be equipped with various sensors and energy storage systems. The sensors will monitor the energy consumption of almost all of the equipment and systems on board, which will even make it possible to store and reuse overcapacity, for example when operating the crane. The data produced by these monitoring systems will provide crew members with an insight into energy consumption, enabling them to respond appropriately.

BP to Acquire Clean Energy’s renewable natural gas business

BP and Clean Energy Fuels Corp. announced today that BP will acquire the upstream portion of Clean Energy’s renewable natural gas business. BP will sign a long-term supply contract with Clean Energy to support the firm’s continuing downstream renewable natural gas business. Renewable natural gas fuel, or biomethane, is produced entirely from organic waste. 

Under terms of the agreement, BP will pay $155 million for Clean Energy’s existing biomethane production facilities, its share of two new facilities and its existing third party supply contracts for renewable natural gas. The assets which BP will acquire are Clean Energy’s existing biomethane production facilities in Canton, Michigan and North Shelby, Tennessee as well as Clean Energy’s share of two facilities under construction in Oklahoma City, Oklahoma and Atlanta, Georgia.

Closing the transaction is subject to regulatory approval. Clean Energy will continue to have access to a supply of its Redeem™ branded renewable natural gas fuel through a long-term supply contract with BP.

“Demand for renewable natural gas is growing quickly and BP is pleased to expand our supply capability in this area,” said Alan Haywood, chief executive officer of BP’s supply and trading business. “BP is committed to supporting developments towards a lower carbon future and, working with Clean Energy, we believe we will be well-positioned to participate in the growth of this lower carbon fuel in the U.S.”

Clean Energy will buy renewable natural gas fuel from BP and collect royalties on gas purchased from BP and sold as Redeem at it stations. This royalty payment is in addition to any payment under BP’s contractual obligation.

“We started our Redeem fueling business from scratch less than four years ago and have grown it into a significant enterprise,” said Andrew Littlefair, Clean Energy’s president and chief executive officer. “This transaction will help to take it to the next level. BP’s investment in and focus on renewable natural gas supply will ensure that Clean Energy can meet the growing demand of our customers for low carbon, renewable fuel.”

Clean Energy sold 60 million gasoline gallon equivalents of Redeem in 2016 to customers across multiple states including UPS, Republic Services, Ryder, Kroger and the City of Santa Monica’s transit agency. 

LNG Bunkering Vessel delivered to ENGIE, Fluxys, Mitsubishi Corporation and NYK

ENGIE, Fluxys, Mitsubishi Corporation, and NYK have taken delivery of the world’s first purpose built LNG bunkering vessel from Hanjin Heavy Industries & Construction Co. Ltd., at the Yeongdo shipyard in Busan, Korea. The vessel will run on LNG for her maiden voyage, after a few days of loading LNG delivered by trucks at the shipyard according to an ENGIE statement.

Zeebrugge in Belgium will be the home port of the vessel, which has been named ENGIE Zeebrugge. The 5,000 m3 LNG capacity vessel will supply LNG as a marine fuel to ships operating in Northern Europe. The two LNG-fueled pure car and truck carriers operated by United European Car Carriers will be its first customers. ENGIE Zeebrugge will load LNG at Fluxys’ LNG terminal in Zeebrugge, where small carriers with capacities from 2 000 m3 can dock at the recently commissioned second jetty.

zeebrudge lng bunker

Image: ENGIE

ENGIE ZEEBRUGGE/FACTS & FIGURES

Length overall: 107.60 meters

Breadth: 18.40 meters

Depth: 9.00 meters

LNG capacity: 5,000 m3

Gross tonnage: 7,403 tons

Main engine: Dual Fuel (marine gas oil, marine diesel oil, and LNG)

CountryFlag: Belgium

Class: Bureau Veritas

Shipyard: Hanjin Heavy Industries & Construction Co. Ltd., Yeongdo Shipyard (Pusan)

Ship management: NYK Energy Transport (Atlantic) Ltd. (NYK LNG Shipmanagement (UK) Ltd.)

Eagle LNG FERC Application for Jacksonville, Florida LNG Project

Eagle LNG Partners announced yesterday it has filed a formal application with the U.S. Federal Energy Regulatory Commission for authorization to build and operate natural gas liquefaction and export facilities in Jacksonville, Florida.  The proposed project consists of three liquefaction trains. At full build-out the facilities will be capable of producing up to 1.65 million gallons of LNG per day, or approximately 1 million tonnes per annum.  

The LNG will be transported to markets in the Caribbean and Latin America for power generation. The LNG will also be delivered to local and regional markets, including marine bunkering and high horsepower applications for domestic consumption. “The dramatic growth of natural gas supply in the United States has created abundant and affordable natural gas reserves that make LNG a competitively priced fuel alternative to diesel and heavy fuel oil. In addition, natural gas fuel has significant environmental benefits, reducing air pollution and carbon emissions,” said Dick Brown, CEO of Eagle LNG.

Eagle LNG is a wholly-owned subsidiary of Ferus Natural Gas Fuels LP and privately-held by The Energy & Minerals Group. 

Chart Acquires Hetsco

Chart Industries, Inc. today announced that its subsidiary, Chart Lifecycle, Inc. has acquired Hetsco, Inc., from Global Power Equipment Group, Inc. for approximately $22 million.  Chart noted the combined business will focus on extending equipment lifespan by offering services from installation/start-up, operations/maintenance, training/support, monitoring, process optimization, repair/maintenance and extended warranty. 

According to Chart the acquisition will bring a full suite of welding services for industrial gas and gas processing facilities including repair, specialty maintenance, construction/fabrication and safety services, with a particular focus on brazed aluminum heat exchangers. 

Formed in 1982, Hetsco provides emergency, specialty welding and construction services to the natural gas processing, petrochemical and air gas separation industries.   

Hitachi High-Tech AW Cryo, Inc. LNG Transport Tanks

hitachi2 450