In this issue

 

Shipping line CMA CGM has announced that nine new ultra-large vessels - the largest containerships ever built – will be fuelled by LNG. 
Free ReadTransportation and logistics firm Tote has contracted engineering firm MAN Diesel & Turbo to retrofit two vessels for LNG operation.  After-sales division MAN PrimeServ will carry out the work to…
Thursday, 16 November 2017
Naval outfitter and gas carrier Gabadi has signed a partnership agreement with Korean firm Hankuk Carbon to develop solutions for the LNG bunkering sector. 
Thursday, 16 November 2017
Competition to build and operate the next generation of LNG bunker vessels is growing as energy majors announce plans to increase their exposure to the sector.
Fuel specialists Skangas and Titan LNG have signed a memorandum of understanding (MoU) to cooperate on the supply of LNG for shipping in the North Sea and Baltic region. 
Free ReadLogistics specialist Jost Group has ordered 500 IVECO LNG-fuelled trucks and announced plans to target 35% conversion of its fleet to LNG by 2020.  The supply agreement will see Jost…
Thursday, 16 November 2017
Energy major Shell has signed a long-term charter agreement with Q-LNG Transport for a new LNG bunker barge to expand it bunkering network in the U.S. 
Authorities at the port of Gothenburg have completed the first simultaneous LNG bunkering and ship loading operation at quayside. 
Free ReadJapanese commodities firm Sojitz has acquired LNG firm First State Regasificadora (FSR).  Sojitz’ management announced the acquisition along with a name change to Sojitz Regasificadora (SR). The assets of SR…
Thursday, 02 November 2017
Nordic LNG specialist Skangas has completed the first small scale LNG loading at a facility on Melkøya island outside Hammerfest in Norway. 
Thursday, 02 November 2017
The government of Malta is to explore the development of LNG bunkering infrastructure across the island, following a €600,000 research grant from the European Union. 
Free ReadThe market for LNG bunkering is set to grow solidly over the coming decade reaching record levels by 2025, according to the latest figures from consultancy Transparency Market Research.  The…
A manufacturing consortium led by engineering firm Kooiman Marine Group has been contracted to start manufacture of Titan LNG’s FlexFueler LNG bunkering pontoon. 
The government of Japan has announced plans to invest US$10 billion to support Asian LNG growth and improve uptake of LNG bunkering. 

News Nudges

Affinity facilitates first LNG freight swap

Trading specialist Affinity has facilitated the first LNG freight swap settled against the Baltic Exchange LNG spot assessments. "With liquidity increasing in the LNG market in recent years, freight has come under the spotlight as participants look to manage their exposure to vessel spot rates. Using the Baltic Exchange's rate assessments, we are able to help clients benchmark their freight exposure and develop a forward market for hedging price risk,” Benjamin Gibson, Head of LNG Derivatives at Affinity, said. The move is expected to bolster the case for LNG fuelling as it “represents an important milestone in the development of an LNG forward freight market”. "Initial trades are all about testing the settlement mechanism. Now is the time to try things and see how they work. We have lots of interest in the Baltic's forthcoming Atlantic routes and a weighted average of routes to give a global LNG freight benchmark," added Gibson.


Clarksons: LNG demand driving global fleet growth

Rapid growth in LNG infrastructure is fuelling an increase in the global fleet of LNG carriers, according to the latest data from consultancy Clarksons Research. The firm predicts that the global LNG carrier fleet will expand by 5.6% and 6.9% in 2019 and 2020 respectively, rising form a base of 570 vessels as at the end of June 2019. “Global trade in LNG continues its strong growth phase, with an expected 8.4% growth in 2019 and 7.4% in 2020… With 93 million tonnes per annum of export capacity under construction, and a further 313 mtpa of capacity at FEED, growth potential remains strong,” Steve Gordon, managing director at Clarksons Research, said. Longer term modelling by Clarksons also suggests that the LNG fleet will outnumber the VLCC fleet by 2026, with growing interest in small scale LNG, FSRU, FLNG and LNG as a marine fuel. “This trade expansion, combined with high day rates for vessels trading on the short term market over the past twelve months, has supported newbuilding orders totalling US$17 billion since start 2018 and helped build a total newbuilding orderbook of 25% of the fleet (US$24.5 billion),” he said. Clarksons forecasts that between three and four percent of world tonnage will be “LNG fuel capable through 2020”, with the majority still in LNG carrier sector. LNG infrastructure is also set to continue growing, with number of ports equipped with LNG bunkering having increased from approximately 20 to 100 in the past five years.


Virginia first U.S. port to join SEA/LNG

The U.S. Port of Virginia is the latest to join the SEA/LNG consortium as it plans to scale up LNG bunkering operations. The port is the first in the U.S. to join the multi-sector industry coalition and in in March established a working group to examine the benefit and scalability of LNG bunkers for maritime trade. “We’re very pleased to welcome the Port of Virginia as our first US port member. The US has vastly increased its LNG export capacity since the industry really took flight in early 2016, inspiring development in LNG bunkering capabilities on the East and West Coasts. The addition of the Port of Virginia to the coalition marks the climbing interest in LNG as a commercially viable, environmentally sustainable fuel for US domestic and international shipping,” Peter Keller, Chairman, SEA\LNG, said. SEA\LNG’s mission is to address the key barriers to the adoption of LNG; advocating for collaboration, demonstration, and communication amongst industry players. The coalition includes ABS, Carnival Corporation, DNV GL, Eagle LNG Partners, ENGIE, ENN Group, GE, GTT, JAX LNG, Keppel Gas Technology, Lloyd’s Register, Mitsubishi, NYK Line, Port of Rotterdam, Qatargas, Shell, Total, TOTE, Toyota Tsusho, YKIP, Marubeni, and Wärtsilä.