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LNG Bunkering

Australia: McGowan Government advancing to establish LNG bunkering hub in Pilbara

“The Pilbara is already globally renowned as an LNG production powerhouse, and my Government is taking steps to turn it into an LNG fuelling hub,” said Premier McGowan.

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Pilbara Ports Authority Dampier Cargo Wharf

The Australian McGowan Government on Saturday (9 May) stated it is leading a push to establish a liquid natural gas (LNG) fuelling hub for bulk vessels in the Pilbara, potentially creating more than 100 local jobs and supporting global efforts to reduce carbon emissions. 

International Maritime Organisation regulations require trading vessels to reduce their greenhouse gas emissions, and the international shipping industry is turning to LNG as a transition fuel as it works towards clean hydrogen and other carbon-free fuels, it said in an official release. 

Building on the Pilbara’s strength as a global LNG production hub, the McGowan Government will offer a 50 % discount in port dues to bulk vessels bunkering with LNG at Pilbara ports – saving each vessel around AUD 20,000 (USD 13,108).

The discount comes into effect on 1 July, 2020 and will remain in place for five years. If taken up, the discounts could be worth up to AUD 5.3 million (USD 3.5 million) by 2025.

 The Pilbara LNG Bunkering Hub could create up to 125 jobs in the Pilbara, including skilled mariners and support administration, it added.

Transitioning iron ore exports shipped from the Pilbara from heavy fuel oil vessels to LNG fuelled vessels could reduce carbon emissions by up to six million tonnes per annum. 

To help kick-start the shift to LNG fuelling in the Pilbara, the Pilbara Ports Authority has executed Australia’s first ship-to-ship LNG bunkering services licenses to Woodside Energy at Port Hedland and Dampier. 

The McGowan Government said it is also driving opportunities in green hydrogen in the Pilbara through the WA Renewable Hydrogen Strategy, creating future opportunities for carbon-free fuel in the region. 

“The Pilbara is already globally renowned as an LNG production powerhouse, and my Government is taking steps to turn the Pilbara into an international LNG fuelling hub,” said Premier Mark McGowan

“A Pilbara LNG Bunkering Hub could create more than 100 long-term jobs in the Pilbara, while supporting global efforts to reduce carbon emissions from the shipping industry.”

“Major resources companies have already tendered for LNG-fuelled bulk vessels to carry iron ore from the Pilbara, and are beginning negotiations about where to bunker those ships,” added Ports Minister Alannah MacTiernan.

“We’ve moved quickly to capitalise on this opportunity before our competitors in South East Asia claim the mantle.

“Importantly, a Pilbara LNG Bunkering Hub provides the platform for Western Australia to become the region’s major renewable hydrogen producer and fuelling stop – driving down carbon emissions from shipping and creating a whole new industry for the Pilbara.”  

“The McGowan Government is taking innovative and bold steps to create new, long-term local jobs in the Pilbara,” commented Pilbara MLA Kevin Michel.

“An LNG bunkering hub in the Pilbara will help to bring down greenhouse gas emissions on the Burrup and make the Pilbara a world-leader in clean fuel for the shipping industry.”


Photo credit: Pilbara Ports Authority
Published: 11 May, 2020

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LNG Bunkering

PIL’s LNG dual-fuel boxship “Kota Elok” arrives in Singapore on maiden call

As the first of 13 new 13,000 TEU vessels joining its fleet, Kota Elok is equipped to operate on LNG and low-sulphur fuel oil that helps reduce our greenhouse gas emissions.

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PIL's LNG dual-fuel boxship “Kota Elok” arrives in Singapore on maiden call

Singapore-based Pacific International Lines Pte Ltd on Monday (20 July) said its first 13,000 TEU LNG dual-fuel container vessel, Kota Elok, recently made her maiden call to Singapore on 15 July.

As the first of 13 new 13,000 TEU vessels joining its fleet, Kota Elok is equipped to operate on liquefied natural gas (LNG) and low-sulphur fuel oil that helps reduce our greenhouse gas emissions. 

The vessel also incorporated energy-saving features and digital technologies to reduce fuel consumption and enhance operational performance, as well as a bow windshield to improve aerodynamics, contributing to improved fuel efficiency and lower emissions over the course of long-haul voyages.

“Following Singapore, Kota Elok will continue her voyage on our East Coast Service 1 (ES1) route to South America, calling at ports in Brazil, Uruguay, and Argentina before returning to Asia,” the company said in a social media post. 

Kota Elok also became PIL’s first vessel to receive Lloyd’s Register certification for compliance with the IACS UR E26 and UR E27 cyber security requirements.

Developed by the International Association of Classification Societies (IACS), UR E26 and UR E27 are mandatory cyber resilience requirements for newbuild vessels contracted from 1 July 2024. 

 

Photo credit: Pacific International Lines
Published: 21 July, 2026

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LNG Bunkering

CIMC SOE secures order for 12,000-cbm LNG bunkering vessel from Sinopec Clean Energy

Once operational, the vessel is expected to strengthen Sinopec’s domestic coastal LNG bunkering network and help address gaps in China’s alternative fuel bunkering infrastructure.

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CIMC SOE secures order for 12,000-cbm LNG bunkering vessel from Sinopec Clean Energy

China’s Nantong CIMC Sinopacific Offshore & Engineering Co., Ltd. (CIMC SOE) recently signed a contract with Sinopec (Beijing) Clean Energy Co., Ltd. to build a 12,000-cubic metre (m3) LNG bunkering vessel, according to Chinese maritime media.

The vessel is scheduled for delivery in 2028 and will support Sinopec’s efforts to expand its presence in the marine clean energy sector.

Once operational, the vessel is expected to strengthen Sinopec’s domestic coastal LNG bunkering network and help address gaps in China’s LNG bunkering infrastructure.

With this signing , CIMC Pacific Offshore Engineering’s LNG bunkering vessel orderbook is further strengthened, maintaining its leading position in the global market for small and medium-sized LNG bunkering vessels.

The contract also marked another milestone for CIMC SOE, which has seen a sharp increase in orders and business performance this year amid a surge in domestic LNG vessel demand.

 

Photo credit: Nantong CIMC Sinopacific Offshore & Engineering
Published: 21 July, 2026

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Alternative Fuels

ENGINE on Fuel Switch Snapshot: LSMGO surges to greater premium over biofuel

B100 discount to LSMGO widens to $541/mt in Rotterdam; Singapore’s B100 drops to $106/mt below LSMGO; Rotterdam LBM at $639-833/mt discounts to LSMGO.

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ENGINE on Fuel Switch Snapshot: LSMGO surges to greater premium over biofuel

Once a week, bunker intelligence platform ENGINE will publish a snapshot of alternative and conventional bunker fuel prices in the world’s two biggest bunkering hubs. The following is the latest snapshot:

20 July 2026

  • B100 discount to LSMGO widens to $541/mt in Rotterdam
  • Singapore’s B100 drops to $106/mt below LSMGO
  • Rotterdam LBM at $639-833/mt discounts to LSMGO

B100’s premium over HSFO in Rotterdam has narrowed by $50/mt over the past week to $64/mt, while its discount to VLSFO has widened by $83/mt to $105/mt.

B100 has become far more competitive against LSMGO in Rotterdam, with its discount widening by $180/mt over the past week to $541/mt, as a surge in conventional fuel prices left B100 broadly unchanged by comparison.

B100’s price has risen by $109/mt in Singapore, but its discount to LSMGO has still widened by $102/mt to $106/mt, as LSMGO surged by an even greater $211/mt.

Rotterdam’s LNG premium over VLSFO has widened by $35/mt to $201/mt for vessels with Otto medium speed (Otto MS) engines. For vessels with diesel slow speed (diesel SS) engines, LNG has flipped to a $15/mt premium over VLSFO, from a $22/mt discount the prior week.

Liquefied biomethane (LBM) discounts to VLSFO in Rotterdam have narrowed by $50-52/mt to $203-396/mt over the past week. Against LSMGO, LBM discounts have widened by $45-47/mt to $639-833/mt, depending on engine type.

In Singapore, LNG is now $42/mt cheaper than LSMGO for vessels with Otto MS engines, and $134/mt cheaper for vessels with diesel SS engines.

ENGINE on Fuel Switch Snapshot: LSMGO surges to greater premium over biofuel

Liquid fuels

HSFO and VLSFO prices in Rotterdam have jumped by $66/mt and $99/mt respectively over the past week, while LSMGO has surged by an even steeper $196/mt. A $9.69/bbl ($71/mt) rise in front-month ICE Brent futures, to $87.94/bbl ($645/mt), drove bunker prices sharply higher across the board.

Bunker fuel availability is tight for prompt delivery dates in the ARA ports, with buyers advised to enquire about stems between 5-7 days ahead to get good coverage, a trader said.

Rotterdam’s B100 price has risen by $16/mt over the past week. Dutch ZRE A ticket prices were unchanged at €107.50/mtCO2e.

Singapore’s HSFO and VLSFO prices have risen by $130/mt and $132/mt respectively, while its LSMGO price has gained an even steeper $211/mt over the past week.

VLSFO availability in Singapore has been tight, with several suppliers reporting low stock levels. Recommended lead times have widened from 13–17 days last week to 14–19 days now.

Liquid gases

Rotterdam’s LNG prices have surged by $134-136/mt over the past week, while its LBM prices have climbed by $149-151/mt.

LBM discounts to LNG in Rotterdam have narrowed by $15/mt to $404-411/mt.

Singapore’s LNG bunker benchmarks have surged by $196-197/mt over the past week.

By Erik Hoffmann

 

Photo credit and source: ENGINE
Published: 21 July, 2026

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