LNG

The Korean Register, the classification society of the Republic of Korea, has awarded an Approval in Principle (AIP) for an LNG dual-fuel Very Large Gas Carrier (VLGC) jointly developed by KR and South Korean shipbuilder HD Hyundai Heavy Industries.

The award was made at the five-day Gastech energy conference and exhibition in the Asian city state of Singapore.

“Currently, the global maritime industry is grappling with the development of various counter-measures to meet strengthening greenhouse-gas regulations and there is more market interest in eco-friendly ships fueled with LNG in particular,” said KR.

The newly approved LNG dual-fuel VLGC, which has been developed in response to market needs, utilizes both marine gas oil (MGO) and LNG as fuel and incorporates two LNG fuel tanks positioned on both sides of the open deck.

HHI executed the ship’s basic design, established the layout of fuel supply pipes and the gas detection system and designed the LNG fuel tank using their technical expertise.

Verified

KR verified the safety, suitability and the regulatory compliance of the design by reviewing national and international regulations, leading to the issuance of the AIP for the LNG dual-fuel VLGC.

“KR has been focusing on the development of eco-friendly technologies relevant to LNG for several years because LNG is considered a major alternative that can meet the international regulations,” said Kim Yeontae, Executive Vice President of KR’s Technical Division.

“We will further enhance our customer support to respond to decarbonization, based on our experience and technologies acquired from joint development projects with shipyards,” Kim added.

Jeon Seungho, HHI’s Senior Executive Vice President and Chief Technical Officer, said he was delighted with the award.

“HHI has been working to develop eco-friendly fuel propulsion ships such as LNG using our accumulated design technologies, and we are pleased to demonstrate our technical expertise with this AIP,” Jeon explained.

Order book

“We will continue to make technological innovations for the development of eco-friendly ships,” he stated.

HHI is one of the world’s leading builder of LNG carriers as well as LNG-powered vessels at its Ulsan shipyard.

The advanced facilities give the Korean company a 10 percent share of the global market. The main HHI yard stretches over 4 kilometres along the coast and has 10 large-scale drydocks with nine huge “Goliath Cranes”.

Winterthur Gas & Diesel (WinGD), the leading Swiss developer of low-speed gas and diesel engines for marine propulsion, has received orders from two LNG carrier operators for its WinGD Integrated Digital Expert (WiDE) engine monitoring, diagnostics and remote support service.

Qatar Petroleum has ordered four new liquefied natural gas carriers from the Chinese Hudong-Zhonghua Shipbuilding Group of Shanghai as it begins to put in place the shipping requirements for massive expansion plans.

Owners of large and small LNG carrier fleets are maintaining robust order books with the latest ship to be delivered being for shipowner Minerva Gas along with four other vessels for various owners that emerged from the shipyards in June.

Greek shipping line Minerva has just taken delivery of the 173,400 cubic metres capacity carrier, the “Minerva Limnos”, from South Korean shipbuilder Daewoo Shipbuilding and Marine Engineering.

The vessel left DSME's Geoje shipyard on June 30. The “Minerva Limnos” features M-type electronically controlled, Gas injection (ME-GI) propulsion, a No. 96 GW LNG containment system from GTT and a PRS-FRS re-liquefaction system.

The vessel is flying the Malta flag and is classed by European classification society DNV.

“We wish to convey to the Master, Chief Engineer and all Officers and ratings of ‘Minerva Limnos’ our warmest congratulations and wholehearted wishes for safe, smooth and prosperous voyages and calm seas,” said a statement from Athens-based Minerva.

Off Japan

The new Minerva carrier was shown in latest shipping data as being just off the coast of Japan and was expected to head for the Panama Canal before lifting its maiden cargo in the Atlantic Basin.

The vessel delivery brings Minerva's LNG fleet numbers to three carriers, following deliveries of two vessels in January and February 2021.

The shipowner has ordered two further carriers, both of 174,000 cubic metres capacity, the “Minerva Chios” to be delivered in the weeks ahead and its sister ship, the “Minerva Amorgos” to be handed over by August 2022.

The four other LNG carriers delivered from shipyards in June were for Danish owner Celsius Shipping and Greek owners Alpha Gas, Gaslog and Capital Gas.

The expectations of growing shipping demand in the LNG market is supported by the lengthening of shipping routes on the
ramp-up of export capacity from the United States and Russia.

The bulk of additional sanctioned liquefaction capacity entering the market will be in the 2021-2024 period.

At the end of 2020 as many as 150 LNG vessels were on order, which represents a quarter of the active carrier fleet, excluding floating storage and regasification units.

Of these, nearly 60 ships are scheduled for delivery in 2021, adding close to 10 million cubic metres of capacity, an 11 percent year-on-year increase.

The market entry of the remaining 15 million cubic metres of capacity on order is spread across the period between 2022 and 2025.

March 5 (LNGJ) - Shipping charter rates for LNG carriers in the spot market dropped again this week by as much as $8,000 per day. They settled at an average of between $32,000 per day and $28,000 per day for vessels of between 155,000-165,000 cubic capacity in the West of Suez market as well as the East of Suez charter market, according to various brokers. One-year time charters for the most modern vessels were available for around $48,000 per day.

Flex LNG, the growing Norwegian-listed fleet owner with 13 modern carriers, 10 now on the water and three other newbuilds, swung back to profits in the third quarter as four new vessels were delivered from South Korean shipyards.

Oct 22 (LNGJ) - Shipping charter rates for LNG carriers in the spot market increased over the past week by up to $20,000 per day. Rates were quoted at an average of between $85,000 per day and $95,000 per day West of Suez and at rates of between $80,000 per day and $90,000 per day East of Suez for vessels of between 155,000-165,000 cubic metres capacity, according to various brokers. 

Golar LNG Chairman Olav Troim apologized to shareholders about the recent earnings disappointments and expressed confidence about strategy and the key role of natural gas in the energy mix for many years to come, leading to a rise in the two Golar shares listed on the Nasdaq global exchange, one by more than 5 percent.

Mitsubishi Heavy Industries has held a naming ceremony for its latest liquefied natural gas carrier newbuild ordered by Japanese trading house Mitsui & Co. to deliver shipments to Japan from the Sempra Energy-operated Cameron LNG export plant in Louisiana.