LNG

European liquefied natural gas price benchmarks and Asian spot cargo margins dropped to under $1 per million British thermal units as over-supply compared with the past two-and-a-half years and mild weather offset global shipping security and navigation issues from Suez to Panama.

Gaztransport and Technigaz (GTT), the French LNG storage technology company, and South Korea’s Samsung Heavy Industries have received an approval from UK maritime classification society Lloyd’s Register for a new design of GTT’s three-tank concept.

The new design is for a new LNG carrier featuring GTT’s three-tank Mark III Flex membrane containment system, which will also allow for the reduction in the length of vessels.

This approval in principle is the result of a Joint Development Project initiated in 2022 and aimed at designing a new generation of LNG vessels.

Analysts note that about 30 years ago, GTT upgraded LNG carriers from five storage tanks to four tanks and the company now hopes to bring the market forward with a three-tank LNG carrier.

GTT explained that the three-tank LNG carrier concept permits an increase in LNG cargo capacity and improves maintenance efficiencies through the suppression of one cofferdam, one pump tower and all associated cryogenic equipment.

The Paris-based company added that the design also improved the ratio between the volume of LNG transported and the surface area of the cryogenic liner.

GTT explained that this would make it possible to achieve a boil-off rate as low as 0.080 percent of tank volume per day with the Mark III Flex technology compared with 0.085 percent of the volume per day with the LNG ships currently in operation (of 174,000 cubic metres capacity).

Loading

“In addition, this three-tank LNGC design provides an almost equivalent loading time as a standard four-tank LNGC configuration, thanks to an adapted pump tower,” said the company.

“In addition to these benefits, the removal of a cofferdam, pump tower and its associated equipment reduces the weight of the ship,” it added.

Philippe Berterottière, Chairman and Chief Executive of GTT, said he was proud to be granted this approval from Lloyd’s Register alongside its long-standing ship-building partner SHI.

“We are convinced that this development will benefit all players in the maritime sector by improving the performance of LNG carriers,” stated Berterottière.

Youngkyu Ahn, Vice President of the Shipbuilding Engineering Division of SHI, said the design was expected to increase cargo capacity, minimize operating costs, optimize maintenance efficiency and reduce greenhouse-gas emissions.

“This achievement is a remarkable step in the pursuit of even more innovative vessel designs, and it is with conviction that we pledge to continue to explore and develop innovative designs in the future,” he stated.

Lloyd’s Register said it was focused on innovating to improve efficiency and safety and had reached “another important stage” in its collaboration with SHI and GTT.

“We are pleased to award this AiP, which marks an important step forward for LNG owners, who will now have the opportunity to reduce the length of their vessels and maximise cargo-carrying potential with this optimised design,” declared Young-Doo Kim, a senior executive of Lloyd’s Register in North-East Asia.

March 10 (LNGJ) - Qatar Petroleum, along with several leading international LNG players, have signed a multi-party agreement with LNT Marine, the American Bureau of Shipping (ABS), and Shanghai Waigaoqiao Shipbuilding of China to collaborate on the development of new medium and large LNG carrier designs. The Qataris said the agreement paved the way for the establishment of a Joint Industry Project (JIP) targeting the development of new LNG carrier designs using the LNT A-BOX LNG cargo containment system.

   Other signatories to the agreement include Qatargas and affiliates of ConocoPhillips, ExxonMobil, Royal Dutch Shell and Total. The LNT A-BOX LNG cargo system is a new design recently deployed on the 45,000 cubic metres capacity ABS-classed vessel “Saga Dawn”, which entered commercial service in 2020. “We are pleased to collaborate with LNT Marine, ABS, and SWS to introduce new designs utilizing innovative technologies,” said Saad Sherida Al-Kaabi, President and Chief Executive of Qatar Petroleum.

July 30 (LNGJ) - LNG carrier charter rate discussions have increased in the West of Suez market as the fixing window progresses further into September. Brokers said that while traders argue that the economics of the arbitrage window are unsupportive of freight at such high levels, the available shipping still seems to be in short supply when considering the balance of the fleet across the East and West of Suez markets.

   Charter rates for LNG carriers in the spot market were steady over the past week. Rates were quoted at an average of between $35,000 per day and $37,000 per day West of Suez and at rates of between $32,000 per day and $34,000 per day East of Suez for vessels of between 155,000-165,000 cubic metres capacity, according to various brokers. One-year time charters for the most modern vessels were seen at rates of around $44,000 per day.

Gaztransport and Technigaz (GTT), the French liquefied natural gas storage technology company, has signed a contract with the Norwegian Vard shipyard for the supply of LNG tanks for the ice-breaking cruise ship “Ponant”.