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US grants $324.6m for World’s First LNG Powered Containerships

The U.S. Maritime Administration (MARAD) announced a $324.6 million loan guarantee for TOTE Shipholdings and Saltchuk Resources for their Marlin Class vessels. The two new Marlin Class vessels, which will be the world's first liquefied natural gas (LNG) powered containerships, will serve the Puerto Rico trade and will be complete in 2015 and 2016. This financing is made available under the Title XI Loan Guarantee Program. TOTE and Saltchuk qualified for this loan as the new ship build is an advancement in shipbuilding technology and being constructed at a U.S. shipyard. The new containerships are being built at General Dynamics NASSCO in San Diego, California. The Marlin Class vessels set new standards for environmental responsibility, reducing a number of air emissions including particulate matter, sulfur oxides and nitrogen oxides. "This financing from the U.S. Department of Transportation and MARAD enables TOTE to invest in modern technology that will create jobs, reduce our impact on the environment, and ensure a safer and healthier workplace for our employees" stated Anthony Chiarello, President and CEO of TOTE. More than 600 skilled workers will be employed by General Dynamics NASSCO for the construction of the two Marlin Class vessels. Both vessels are currently being ...

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Ocean Going Vessels Fuel Rule Sunset Review Process

West of England P&I Club article The West of England P&I Club issued an article regarding Ocean Going Vessels Fuel Rule Sunset Review Process in United States.On 1 January 2015 a new MARPOL Annex VI requirement will enter into force reducing the maximum sulphur content for fuel oil from 1.0% to 0.1% within sulphur Emission Control Areas (ECAs). In the United States, this will mean fulfilling the provisions of the North American ECA.Within Californian waters, vessels also need to comply with the California Air Resources Boards (CARB) Ocean Going Vessels (OGV) fuel rule which requires vessels to use distillate fuel oil (MDO or MGO) with a sulphur content not exceeding 0.1%. There are two principal differences between the requirements of the North American ECA and the CARB OGV fuel rule:MARPOL does not specify the type of fuel to be used other than stipulating that the sulphur content must not exceed 0.1%. The CARB OGV fuel rule requires the use of distillate fuel oil, not residual fuel oil.MAPROL permits the use of alternative emission control technologies (eg exhaust gas scrubbers) to achieve the necessary reduction in sulphur emissions. The CARB OGV fuel rule legislation does not recognise the use of such ...

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