Norwegian transport fuel specialist Cryo Shipping has announced plans to develop LNG bunkering infrastructure and services in Northern Norway.
The firm plans to introduce short-sea shipping services for the transport of LNG in the region focused on fuelling natural-gas powered ships in a “cost-effective, environmentally-friendly and socio-economic way”.
“We are very proud of the positive market acceptance we have received for our planned shipping services in Northern Norway... This is a valuable contribution to becoming the first company to establish a sea-based LNG supply chain in Northern Norway,” Nicholai H. Olsen, Managing Director of CRYO Shipping, said.
Kystverket makes €1m investment
The plans have already received approval from the Norwegian Coastal Administration, or Kystverket, which has established a grant scheme to support the project.
The Kystverket is seeking to grow the proportion of cargo carried by sea compared to road in the region to reduce impacts and has awarded €1 million in grants to CRYO Shipping to establish the LNG trade lane.
Foundation for regional growth
While some land-based LNG distribution infrastructure does currently exist in Nordland, Troms and Finnmark - the northernmost counties of Norway - the new infrastructure aims to reduce costs by better adapting to the regions difficult coastline.
“We … expect that this will be the foundation for even more Norwegian companies and ships to be able to use LNG as fuel,” Olsen said.
One approach the company is exploring is to use its LNG tanker fleet to supply remote land-based demand for gas, allowing access to fjords and difficult to reach coastline that would be inaccessible via pipeline supply.
“Currently, we (CRYO) are working to commercialize a unique concept that can supply LNG to land-based industry as well as bunkering ships in an efficient and cheaper way compared to today’s existing solutions,” Olsen added.
Based in Bergen, Cryo Shipping is an independent shipping company which operates specialised LNG tankers serving off-grid markets such as LNG-fuelled ships and natural gas-fuelled industries.
