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FMC: LNG bunkering is a potential market for U.S.

  On June 4, 2015, Commissioner William P. Doyle of the Federal Maritime Commission held a roundtable discussion at the suggestion of the Natural Gas Supply Association (NGSA).  Focusing on the topic of liquified natural gas as a marine fuel, Commissioner Doyle brought together a range of key government officials and industry stakeholders across the maritime, energy, transportation sectors. Commissioner Doyle stated, "LNG bunkering is a potential market for America’s natural gas resources. The Federal Maritime Commission’s mission is to foster a fair, efficient and reliable international ocean transportation system. By bringing elements of the maritime industry together with the energy sector, we are beginning a long-term dialogue that should culminate in greater understanding and use of domestic natural gas that is cost-efficient and with significant environmental compliance benefits." The forum highlighted the substantial progress made by U.S.-based marine operators Harvey Gulf Marine, Totem Ocean Trailer Express, and Crowley Maritime who are transitioning to fueling their vessels with LNG. For U.S. operators, these retrofits and new builds take place exclusively in U.S. shipyards. International ocean carriers United Arab Shipping Company and Wallenius Wilhelmsen shared their deep-sea perspective on the choice of fuels. Wallenius Wilhelmsen heads up the Trident Alliance while ...

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LR Report on LNG bunkering in Gibraltar dismissed

  The Government of Gibraltar dismissed a report made by Lloyds Register regarding the use of LNG as a fuel in Gibraltar deeming it irrelevant to their plans.  According to the report, over 7,000 people could be affected by an incident at an LNG powered generating station. Leader of the Opposition, Danny Feetham, further warned that in case of a leak, the country’s firefighting teams are not skilled or adequately equipped to deal with such an incident ''The Government respects Lloyds Register’s expertise and notes that its report explicitly sets out how to mitigate the risks involved in the operation of LNG to tolerable levels. In this respect, the conclusions of Lloyds are in keeping with those of the Government’s own experts, namely that with proper planning and mitigation the use of LNG as a power generation and bunkering fuel in Gibraltar is entirely feasible and acceptable to UK standards of risk: to the level of a one in a million year event. But the information provided to Lloyds appears to be totally different to the plans which are being assessed by the Government. For that reason, the Lloyds report is into a fictional terminal, with assumptions made that are totally different to ...

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Skangas unveils new shore to ship bunkering station

  Skangas announced that the first ever bunkering station for liquefied natural gas (LNG) in the Nordics is open and operating successfully.  The new bunkering station fuels Fjord Line’s cruise ferries, which are the first - and largest - in the world to use "single fueled LNG engines," meaning that they are powered exclusively by LNG.  Loading arm is a well-known method of transferring cargo for large oil and LNG terminals. According to Skangas, this is the first loading arm ever developed purely for bunkering. LNG ships have normally been bunkered via hose connections from a truck or a tank. Widely recognized as a safer transfer method, a loading arm can provide a much higher rate of transfer. The coupling and de-coupling procedures are faster and more efficient, and monitoring of the operation is much easier. Overall, it provides a better solution for both the supplier and the off taker of LNG. “There is a world of difference when comparing truck-filling with this new bunkering station”, says Morten Larsen, Technical and Maritime Director of Fjord Line. “The new station greatly reduces the time it takes every week for Fjord Line to refuel. Less time spent refueling provides a quicker turnaround ...

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ABS Issues LNG Bunkering Advisory

  ABS has published a new Advisory about LNG Bunkering in response to the industry's growing interest in gas propulsion. Owners, operators, designers and shipyards around the world are considering the advantages that operating on natural gas may provide. However, when considering any new or evolving technology, it is important to have a clear understanding of not only the benefi ts, but the challenges that may be involved. This Advisory has been developed in order to respond to the need for better understanding by members of the maritime industry of the issues involved with bunkering vessels with natural gas. It is intended to provide guidance on the technical and operational challenges of LNG bunkering operations both from the bunker vessel’s perspective (or land-side source) and from the receiving vessel’s perspective. Some of the key areas that are addressed in this Advisory are critical design issues, methods of analysis, and current thinking on possible solutions to the requirements of regulations and safe practice, as well as important areas of operational process, training and safeguards.  The LNG Bunkering: Technical and Operational Advisory explores the benefits, challenges, and solutions associated with fuelling vessels equipped with LNG power systems. "Ship owners, operators, designers and ...

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ABS Group Provides Insight Into LNG Bunkering in North America

  ABS Group recently conducted industry research and analysis that resulted in an update to last year’s landmark study of LNG Bunkering in North America. American Bureau of Shipping, the publisher, released this second edition to meet the growing needs of industry and to provide guidance and clarification on areas of interest based on feedback received on the first edition. Significant enhancements to this update that ABS Group developed include: A section on Lessons Learned from early adopters of LNG-fueled vessels, including the first LNG bunkering and gas-fueled vessel operation in North America. A Project Guide which provides a “road map” of the regulatory, stakeholder, and technical issues associated with developing an LNG bunkering project. This includes a poster size infographic which is a comprehensive guide for working through the various issues for LNG bunkering facilities, gas-fueled vessels, and LNG bunkering vessel projects. An updated Port Directory and Survey for which ABS Group contacted and visited ports in North America to collect details from stakeholders, Port Authorities, Harbor Safety Committees, regulators (including the USCG) and other vested parties interested in LNG and LNG bunkering at their respective port. Questions from these visits and discussions centered on receptivity/plans for LNG development, ...

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Emission Limits: Time to Act

Image Credit: DNV GL - Maritime Update Issue 01-15, page 53 (Click to enlarge picture)  The challenges for the shipping industry are not getting any easier. New emission limits, while not coming unexpectedly, require substantial investments in technology; and time is running out. A look at the available options The shipping industry has been going through turbulent times. For a sector accustomed to planning decades ahead, the sequence of unexpected major events, from the financial crisis to depressed freight and charter rates, and from dropping fossil fuel prices to new international tensions, has certainly added plenty of headache to investment decisions. Many shipowners delayed investing in new anti-pollution technology hoping for a clearer field of vision, while others took action early to gain competitive advantage. With new sulphur limits now in force for European Emission Control Areas (ECAs), and the North American and US Caribbean Sea ECAs also regulating NOX and PM, those who chose to wait must act now. Further regulations will take effect soon, and additional regional and national regimes are emerging around the globe (refer to info box). Investing now will save shipowners money and protect their reputation. However, the substantial capital requirement, a lack of mature technology and uncertainty regarding compliance documentation add to the complexity of this decision. The IMO’s new ECA regulations, in effect for Northern Europe and ...

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LNG Bunkering in the Mediterranean

  FC Gas Intelligence has produced a report on the status and the prospects of LNG Bunkering in the Mediterranean area. So far Europe’s liquefied natural gas (LNG) bunkering activity has been focused around the north of the continent, Scandinavia and the Baltics. Pilot projects have developed in northern Europe, boosted by strong government support, infrastructure already in place and new environmental regulations, which came into force in January. There could also be huge potential to expand the sector in the Mediterranean for use in tourism and passenger ferries and to tap industrial and domestic gas demand in places which are not connected to gas grids. Whether the region reaches its LNG bunkering potential will depend on how expensive it is to build LNG-fuelled ships, whether the fuel is price competitive with traditional ones and whether the same environmental regulations in the north are applied to the Mediterranean as well. There are currently around 50 LNG-fuelled ships (excluding LNG carriers) in operation worldwide, while another 69 new building-orders are now confirmed, according to DNV GL – a maritime and energy sector advisory firm. They range from passenger ferries to tankers and platform supply vessels. DNV GL said the number of ...

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ABS Updates Guidance on LNG Bunkering in North America

  ABS has updated its guidance on LNG Bunkering in North America to support the transport sector’s increasingly rapid transition to the use of cleaner fuels. The second edition of ABS’ Bunkering of Liquefied Natural Gas-fueled Marine Vessels in North America was released today, offering new market-leading advice to shipowners and operators who may be looking to develop bunkering infrastructure in response to new emissions regulations and showcase their environmental stewardship. “As the demand for LNG-fueled vessels and the supporting infrastructure continues to grow, ABS continues to offer the industries we serve with up-to-date information derived from the latest projects and our intimate knowledge of the evolving regulatory landscape in North America,” said Patrick Janssens, ABS’ Vice President, Global Gas Solutions. “Both the marine and offshore industries are committed to using cleaner fuels, and we are committed to supporting our clients and members with that technical transition.” The first edition of the report was published in March 2014. Major updates in the second edition include important lessons learned from first adopters of LNG-fueled vessels and LNG bunkering projects, a ‘project roadmap’ guide of the associated regulatory, stakeholder and technical issues and an in depth port directory highlighting ongoing projects and ...

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USCG completes LNG bunkering regulations

Responding to the industry’s need for more guidance on procedures related to liquefied natural gas (LNG) bunkering, the US Coast Guard (USCG) has published two new Policy Letters on LNG Bunkering, Personnel Training and Waterfront Facilities. With regard to simultaneous operations (SIMOPS) USCG points to DNV GL’s Recommended Practice for “Development and Operation of LNG Bunkering Facilities” for guidance. Since US ports do not have LNG liquefaction and storage facilities yet, ships will have to rely on small-scale bunkering for the time being. This practice harbors certain risks that had not been addressed by US legislation until now, but are covered in DNV GL’s Recommended Practice RP-0006: 2014-01 on the Development and Operation of LNG bunkering. In 2013, DNV GL developed the Recommended Practice to help facilitate the development of an international LNG infrastructure while waiting for the final release of the ISO 18683 workgroup document on systems and installations for supply of LNG as fuel to ships. It was released on 15 January 2015 and builds on DNV GL’s RP. USCG’s LNG Expert Ken Smith, General Engineer at the Office of Vessels’ and Facilities’ Operating Standards, recently said: DNV GL is already doing everything the USCG could hope for ...

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Port of Zeebrugge ready to offer LNG bunkering in the future

ESPO has published an interview with the Port of Zeebruggee on its website referring to its investment on LNG bunkering. Also, the port authority outlines the workings of the port, and its importance as a cargo handling facility, particularly automobiles, as well as its growing value as a passenger port. Regarding the new sulphur regulation effective from January 2015, port authority states that  shipping lines are now using different techniques such as low sulphur bunkering fuel and scrubbers and that the Port is also ''ready to offer LNG as bunkering fuel in the future'' ''Last year the European Commission released its energy security strategy, in which it developed a set of short- and long-term measures to ensure a stable and abundant supply of energy for European citizens and the economy. The Port of Zeebrugge fulfils its role as an important gas hub in North Western Europe  at our LNG terminal situated in the outer port  LNG tankers can (un)load LNG at two jetties. Additionally LNG from Norway is arriving in Zeebrugge through a pipeline. Another pipeline is linking the continent with the UK.  The port has been a notable gas hub for over 25 years and is aiming to maintain ...

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