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LNG Bunkering

Australia: Woodside eyes piece of LNG bunkering pie

‘The LNG fuels opportunity is an adjacent opportunity. You might say it’s the cherry on top,’ says COO.

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Woodside Energy Ltd., the largest Australian natural gas producer which operates around 6% of global liquefied natural gas (LNG) supply, on Monday (29 July) said it will be making plans to start LNG bunkering operations.

Meg O’Neill, Chief Operations Officer at Woodside, was giving a speech at AmCham, an organisation that promotes international trade and commerce and a strong relationship between America and Australia, when the noted of the development.

Her speech, which describes opportunities for the company to invest in LNG as a marine fuel and its logic in doing so, is as follows: 

We know we need to be strategic and ambitious. And there is no better example of this than how we have in recent years worked to support the emergence of a market for LNG fuels.

We have not done this alone. And we have not yet reached our goal. But we are seeing some promising developments. This is a story that is much bigger than Woodside. It’s about Western Australia grasping an opportunity to take advantage of international developments to derive both economic and environmental benefits from its natural resources.

Almost three years ago, the International Maritime Organisation agreed that from January 2020 all ships would be required to use lower-sulphur fuel. That is, fuel with a maximum sulphur content of 0.5%.

The IMO’s objective was to reduce the health impacts of air pollution from shipping, which is blamed for hundreds of thousands of premature deaths each year from lung cancer and cardiovascular disease. The IMO has since indicated it will also impose future controls on greenhouse gas emissions from shipping.

The start of the lower-sulphur era in January 2020 will create upheaval for global shipping. But for Western Australia, it creates opportunity. This state has world-class LNG supplies close to the busiest bulk commodity trading route in the world, shipping iron ore exports to Asia.

Soon after the IMO’s ruling, an industry coalition was formed that would lay the vital groundwork to facilitate LNG fuelling of commodities exports from Australia by designing the vessels that could ply those routes.

The Green Corridor Joint Industry Project involved the major mining companies – BHP, Rio Tinto and Fortescue – along with Woodside and shipping industry partners. Together we developed a design of LNG-fuelled bulk carriers capable of supporting iron ore exports to Asia.

Now BHP is taking this opportunity to the next step, announcing just two weeks ago the world’s first tender for LNG-fuelled transport for up to 27 million tonnes of its iron ore.

It’s a significant move and this tender will no doubt be hotly contested. Woodside has already been working towards this for some time. We took delivery of our own LNG-fuelled marine support vessel, the Siem Thiima, in 2017 and have been preparing the infrastructure to enable LNG fuelling of bulk carriers at their home port.

These ships will deliver to many ports across north-east Asia, but they will always come home to the Pilbara, which is also home to significant LNG production. So they don’t need to waste time and fuel diverting to find LNG elsewhere in the region.

Last week, consultancy Energetics reported that “well-to-wake” lifecycle greenhouse gas emissions for iron ore carriers operating from the Pilbara would be reduced by up to a third by using LNG from Woodside, rather than heavy fuel oil.

This could yield greenhouse gas savings of up to 5.8 million tonnes of carbon dioxide equivalent per year if all iron ore exports from the Pilbara were shipped using Pluto LNG. That’s equal to taking 1.8 million cars in Australia off the road. Emissions of sulphur oxide and particulate matter would be reduced by more than 95% and nitrogen oxide by an estimated 85%.

The environmental prize is large – and so is the size of the economic prize. The potential market for LNG as a marine fuel is vast.

WA’s Minister for Regional Development Alannah MacTiernan put it well at a Marine Fuels Institute roundtable last week when she said this was an opportunity to “drive emissions down but still have a vibrant economy”.

If all shipping from the Pilbara transitioned to LNG, it would be around 4 million tonnes of LNG fueling. It’s potentially a very significant new market and would create a new industry in WA that could grow to a fleet of bunker vessels with hundreds of new high-skilled long-term jobs. This is an opportunity to demonstrate industry collaboration at its best, using Australian LNG to fuel Australian resources exports.

I’ve been asked recently if our Burrup Hub growth strategy is contingent on the market for LNG fuels taking off. It’s not. We know there will be enough global demand for LNG to soak up supply from both Scarborough and Browse.

The LNG Fuels opportunity is an adjacent opportunity. You might say it’s the cherry on top – and it’s a blindingly obvious market for WA to try to capture, with the potential for a whole new industry and the jobs and investment that brings. And now is the time to be going after that opportunity.

Related: Woodside tendering for LNG bunkering vessel for West Australia ops
Related: Gas Energy Australia highlights LNG bunkering uptake barriers
Related: Woodside: Dampier LNG bunkering a successful example for the Asia-Pacific
Related: Woodside: Focus on the ‘fundamentals’ for LNG-fuelled vessel success
Related: HHI’s LNG-fuelled VLOC receives approval in principle

Photo credit: Woodside
Published: 2 August, 2019

 

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Alternative Fuels

Yang Ming orders six LNG dual-fuel, ammonia-ready containerships from Hanwha Ocean

Each of the six new vessels will have a capacity of up to 13,650 TEU and feature LNG dual-fuel propulsion and Ammonia Fuel Ready specifications.

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Yang Ming orders six LNG dual-fuel, ammonia-ready containerships from Hanwha Ocean

Taiwanese shipping firm Yang Ming Marine Transport Corporation (Yang Ming) and South Korean shipbuilder Hanwha Ocean on Wednesday (2 September) signed a shipbuilding contract for six 13,000 TEU class LNG dual-fuel container vessels. 

The contract was signed by Dr. Chuck Tsai, Chairman of Yang Ming, and Mr. Charles Kim, CEO of Hanwha Ocean. The vessels are scheduled for delivery between 2028 and 2029. 

They will complement Yang Ming’s existing fleet of 10,000+ TEU vessels and serve as key vessels on East-West services, with deployment flexibility across trade lanes connecting Asia with the East and West Coasts of North America, South America, and the Mediterranean. 

Each of the six new vessels will have a capacity of up to 13,650 TEU and feature LNG dual-fuel propulsion and Ammonia Fuel Ready specifications.

“As Yang Ming transitions toward net-zero emissions, LNG provides a relatively mature and economically viable alternative fuel solution, capable of reducing greenhouse gas emissions by approximately 20%,” the company said. 

“At the same time, ammonia can serve as a carbon-free fuel by utilising converted LNG storage facilities, while offering relatively lower conversion costs and comparatively well-developed supply chains and infrastructure. The Ammonia Fuel Ready design will therefore provide Yang Ming with greater flexibility in responding to increasingly stringent international regulations on greenhouse gas emissions.”

In addition, the vessels will be equipped with Type B LNG fuel tanks with a design pressure of 1.0 bar to enhance the safety and efficiency of LNG operations, together with a range of energy-saving technologies, including Wind Shields, Rudder Bulbs, Pre-Swirl Stators, and Shore Power Systems. Smart ship technologies and cybersecurity protection features will also be incorporated to enhance operational efficiency, safety, and reliability while effectively reducing fuel consumption and greenhouse gas emissions.

Deliveries under Yang Ming’s next-generation fleet optimization plan commenced earlier this year. By 2030, a total of 24 new vessels are expected to enter service. 

This includes 18 LNG dual-fuel vessels—comprising five 15,500 TEU, seven 16,000 TEU, and the six 13,000 TEU vessels under this contract—alongside six 8,000 TEU methanol dual-fuel-ready ships. 

 

Photo credit: Yang Ming Marine Transport
Published: 4 September, 2026

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Alternative Fuels

LR, China’s MARIC unveil tanker concept ready for three future bunker fuels

Both secured AiP for a new 114,000 DWT product and crude oil tanker designed to accommodate future conversion to LNG, methanol or ammonia.

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LR, China’s MARIC unveil tanker concept ready for three future bunker fuels

Lloyd’s Register (LR) and the Marine Design and Research Institute of China (MARIC) on Thursday (3 September) have secured Approval in Principle (AiP) for a new 114,000 DWT product and crude oil tanker designed to accommodate future conversion to LNG, methanol or ammonia.

Announced at SMM 2026, the concept addresses one of the biggest investment challenges facing shipping today: the need to develop vessels and capabilities that can support a range of alternative fuel options and pathways as technologies, infrastructure and regulations evolve.

While LNG is already a mature fuel pathway, methanol and ammonia remain at an earlier stage of development, with questions around global fuel availability, infrastructure development, economics and long-term adoption.

The 114,000 DWT tanker concept has been designed as a product and crude oil carrier that can accommodate future conversion to LNG, methanol or ammonia as technologies, regulations and fuel supply chains mature. By incorporating conversion readiness at the design stage, the concept aims to reduce future retrofit complexity and provide owners with greater confidence when planning long-term fleet investments.

The design concept was reviewed against LR’s July 2026 class rules and regulations, including requirements relating to ships using gases and other low-flashpoint fuels, alongside relevant IACS Common Structural Rules for oil tankers. Final classification and statutory approval remain subject to full compliance with all applicable rules and regulations.

Theo Kourmpelis, Global Business Director for Tankers, Lloyd’s Register, said: “Shipowners are being asked to make major investment decisions today despite continued uncertainty around which fuels will dominate in the decades ahead. Alternative fuel solutions each offer potential pathways to compliance, but fuel infrastructure, regulation and economics continue to evolve at different speeds around the world.

“Designs that preserve flexibility will be critical in helping owners manage risk while preparing for multiple future scenarios.”

Si Nan, Marine & Offshore Marketing Department Vice Director, MARIC, said: “As the industry explores different decarbonisation pathways, shipowners need vessel designs that can adapt alongside technological and regulatory developments. This concept was developed specifically to provide greater fuel flexibility and long-term resilience, allowing owners to respond to changing market requirements without being locked into a single fuel strategy.

“Receiving Approval in Principle from Lloyd’s Register is an important milestone that validates the design concept and supports its future development.”

 

Photo credit: Lloyd’s Register
Published: 4 September, 2026

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Alternative Fuels

DNV: Alternative-fuelled vessel orders hit highest monthly level since October 2024

LNG-fuelled vessels accounted for the vast majority of August activity while the strong summer performance marked a significant acceleration in ordering activity after a relatively slow start to the year.

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DNV: Alternative-fuelled vessel orders hit highest monthly level since October 2024

Latest data from classification society DNV’s Alternative Fuels Insight (AFI) platform alternative-fuelled vessel ordering was strong in August, with 52 new vessels added to the platform.

This is the highest monthly total since October 2024 and follows another active month in July, when 47 vessels were added to the database.

LNG-fuelled vessels accounted for the vast majority of August activity, with 46 orders recorded. The container segment led the way with 30 orders, while the car carrier segment contributed a further 12 LNG-fuelled vessels. In addition, four ethanol-fuelled bulk carriers and two hydrogen-powered bulk carriers were added during the month, as well as one LNG bunker vessel.

The strong summer performance marked a significant acceleration in ordering activity after a relatively slow start to the year. In total, 242 alternative-fuelled vessel orders have been placed in the first eight months of 2026, representing a 27% increase compared with the same period in 2025.

LNG remains the dominant fuel choice, accounting for 63% of all alternative-fuelled vessel orders registered so far this year. Container vessels represent the largest share of these LNG orders (59%), followed by car carriers (30%).

Jason Stefanatos, Global Decarbonization Director at DNV Maritime, said: “The past two months have been particularly strong for alternative-fuelled vessel ordering, with August recording the highest monthly total we’ve seen since October 2024. This has helped lift year-to-date orders to a level well above the same period last year.

“LNG remains the leading fuel choice, driven largely by activity in the container and car carrier segments. These sectors have been among the earliest adopters of alternative fuels, supported by predictable liner operations and increasing demand from cargo owners to reduce emissions across supply chains. 

“For many owners, LNG offers a combination of emissions reductions, fuel availability and future flexibility while the longer-term fuel landscape continues to evolve. 

“At the same time, the latest figures include orders for ethanol- and hydrogen-fuelled vessels, highlighting that owners continue to explore a range of decarbonization pathways. Different segments are making different fuel choices, but the overall level of activity demonstrates continued investment in lower-emission shipping.”

Screenshot 2026 09 04 at 12.29.26 PM Screenshot 2026 09 04 at 12.29.36 PM

 

Photo credit: DNV
Published: 4 September, 2026

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