LNG For Fuel

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. 

Crowley Awarded New Contract to Supply LNG to Puerto Rico

Crowley Maritime Corp.’s LNG services group has been awarded a multi-year contract to supply containerized LNG from the U.S. mainland to Molinos de Puerto Rico a supplier of flour as well as wheat, corn and rice-based food ingredients. The contract, executed through Crowley’s subsidiary Carib Energy includes both the supply and transportation of LNG.

“Carib Energy is extremely pleased to be a vital supplier and logistics provider of LNG to Crowley’s longtime liner services customer, Molinos de Puerto Rico,” said Greg Buffington, Crowley vice president. “Our teams have been working side by side with Molinos, the Caribbean arm of Ardent Mills, assisting with the engineering to utilize the natural gas and also the logistics necessary to accommodate LNG delivery to the Molinos plant. We want to thank Ardent Mills and Molinos for having confidence in Crowley and Carib Energy to allow us to play a pivotal role in supplying a cost-efficient, safe, reliable and environmentally friendly natural gas fuel source for their operations.”

 

EVOL LNG to bunker LNG at Fremantle Port

EVOL LNG announced it has been approved by Fremantle Ports in Western Australia to bunker liquefied natural gas, providing access to the cleaner shipping fuel alternative for LNG-powered marine vessels visiting Fremantle Port.

It comes after Woodside announced in April that it had signed a five-year charter contract with Norwegian company Siem Offshore Australia Pty Ltd to deliver Australia’s first LNG-powered marine support vessel next year.

The availability of LNG as a bunker fuel will be delivered from EVOL LNG’s Kwinana LNG plant.  EVOL LNG’s Business Manager, Nick Rea, said he was confident that global fleet of LNG-fueled ships would continue to grow, and that EVOL LNG was well placed to support the growth.

“Our decision to provide LNG bunkering to the shipping industry is based on a long-term strategy,” Mr Rea said. “Over the past decade, we’ve seen the number of LNG-fueled ships in operation worldwide increase steadily from a handful to more than 70, with an additional 80 to be build in coming years.”

EVOL LNG is managed by Kleenheat, which is part of Wesfarmers Chemicals, Energy & Fertilizers, a part of Wesfarmers Limited.

Sabine Pass Withdraws Application to Build LNG Truck Loading Facilities

On November 18, 2015, Sabine Pass Liquefaction submitted an application with the U.S. Federal Energy Regulatory Commission for authorization to site, construct and operate an LNG truck loading facilities at the Sabine Pass LNG terminal in Cameron Parish, Louisiana. 

On June 17, 2016, Sabine Pass notified the U.S. Federal Energy Regulatory Commission they will withdraw the application.  Sabine Pass and its customers are now focused primarily on the completion of construction and placement in service of the liquefaction trains at the Sabine Pass Liquefaction Project in Louisiana according to the letter.  

LNG deliveries start at Stornoway Renard diamond mine in Northern Quebec

Gaz Métro yesterday announced the start of liquefied natural gas being supplied to Northern Québec, to the Stornoway Renard diamond mine. Located in the Otish Mountains, over 1,040 kilometres from Montréal, it is the first Québec mining company that Gaz Métro GNL, a subsidiary of Gaz Métro, will supply with LNG.

“For a number of years, Gaz Métro has wanted to supply natural gas to regions located far from its gas network, particularly Northern Québec, so as to offer them access to a driver of economic development that is cleaner than oil,” said Sophie Brochu, president and CEO of Gaz Métro. “Stornoway has made the Renard mine a concrete example of an innovative mining project that is giving Québec visibility in the mining world.”

In fall 2014, with the Government of Québec and Investissement Québec, Gaz Métro announced a project to expand its Montréal liquefaction, storage and regasification plant to meet needs for regions that are remote from the gas network, particularly Northern Québec and the Côte-Nord, but also for the road and maritime transport markets. Through Investissement Québec, the Government of Québec took a $50 million stake in the Gaz Métro subsidiary, Gaz Métro LNG, which is responsible for this expansion project and for marketing liquefied natural gas.

gas metro LNG

Image Source: Gaz Métro 

City of Santa Monica Awards Clean Energy Fuels LNG contract

Clean Energy Fuels announced today the City of Santa Monica has awarded Clean Energy a multiyear LNG contract to fuel its Big Blue Bus fleet of vehicles. The 5-year deal is worth an estimated $3 million per year according to a Clean Energy statement.

“The City of Santa Monica has a deep commitment to the people and environment in our community. By combining the environmental benefits of RNG with the technological advances of this engine, we are proud to say that we are in fact, one of the cleanest transit agencies in the nation,” said Ed King, BBB’s Director of Transit.

Big Blue Bus operates a fleet of nearly 200 vehicles transporting more than 61,000 passengers daily across a 51-square mile service area. The entire fleet operates on alternative fuels. 

Santa Monica bus LNG

Santa Monica bus LNG

 

Eagle LNG Begins Construction of Plant in West Jacksonville, Florida

Eagle LNG announced today it has started the construction process for a natural gas liquefaction plant in West Jacksonville, Florida. The facility is slated to be operational and producing LNG by early 2017. It will eventually have a capacity of 200,000 gallons per day with an 87,000 gallon per day initial capacity according to an Eagle LNG statement.

Beginning in early 2017, the plant will supply LNG to Crowley to be used in their new LNG powered commitment class ships for U.S. mainland to Puerto Rico trade. Eagle LNG noted the facility has production capacity beyond Crowley's needs. That excess capacity will be available for sale to both domestic clients in the Southeast, and island customers looking for containerized LNG supply.

The plant will feature a 1,000,000 gallon storage tank and an LNG truck loading system. The LNG plant is also designed to load LNG ISO containers for supply to nearby island markets.

"This project represents another example of how our customer-first approach, unmatched industry experience, and an innovative vision is helping our clients meet their fueling and environmental needs," said Dick Brown, CEO, Eagle LNG. "LNG produces fewer emissions and is an overall cleaner fuel than sources like diesel and heavy fuel oil, which helps companies improve sustainability efforts and meet regulatory mandates within a sound economic framework."

This is a distinct project from the previously announced Eagle LNG Federal Energy Regulatory Commission export terminal located along the St. Johns River, in Jacksonville, Florida. To support fueling ships, Eagle LNG is building a fuel depot dockside at the Talleyrand Marine Terminal on the St. Johns River.

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

General Dynamics NASSCO Launches and Christens ECO Tanker Built to Serve Jones Act Fleet

In San Diego, CA on Saturday, May 7, General Dynamics NASSCO shipbuilders launched and christened another ECO Class tanker, the Garden State, that will join the Jones Act fleet.

The Garden State is the third of a five-tanker contract between NASSCO and American Petroleum Tankers, which calls for the design and construction of five 50,000 deadweight ton, LNG-conversion-ready product carriers with a 330,000 barrel cargo capacity.

"The launch of the Garden State symbolizes and celebrates the culmination of thousands of hours of hard labor put forth by the men and women of General Dynamics NASSCO," said Fred Harris, president of General Dynamics NASSCO and Bath Iron Works. "NASSCO is proud to be building yet another quality product tanker for longtime partners American Petroleum Tankers and Kinder Morgan."

The ships were designed by DSEC, a subsidiary of Daewoo Shipbuilding & Marine Engineering (DSME) of Busan, South Korea. The tankers will have dual-fuel-capable auxiliary engines and the ability to accommodate future installation of an LNG fuel-gas system.

NASSCO LNG

Image Source: General Dynamics NASSCO

 

 

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