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LNG Bunkering

EXCLUSIVE: Designer of Singapore’s first LNG dual fuel bunkering tanker talks trend

More such LNG fuelled vessels to be ordered by other ship owners before the end of this year, spokesman of ship design firm SeaTech Solutions tells Manifold Times.
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Singapore-headquartered ship design firm SeaTech Solutions, the designer for Singapore's first liquefied natural gas (LNG) powered dual fuel bunkering vessel, believes the republic will be seeing more LNG fuelled ships ordered before the end of 2018. 
 
“We are working with different clients on several projects including smaller LNG carriers and should close these before end of the year,” Prabjot Singh Chopra, VP Technology at SeaTech tells Manifold Times.
 
Chopra, meanwhile, says many Singapore bunkering operators are still at a wait-and-see stage due to the extremely high incremental costs of ordering LNG dual fuel capable bunkering tankers.
 
“Everybody is waiting to confirm the availability and pricing of Low Sulphur fuels,” he notes.
 
“The biggest challenge is to reduce CAPEX and let owners see better returns on investment (ROI) as dual fuelled vessels present high incremental costs. The dual fuelled bunkering tanker may not fetch higher charter rates, and the only cost savings would be due to lower LNG prices.”
 
According to Chopra, building a LNG dual fuel vessel that can burn either LNG or marine gas oil (MGO) is between 20 to 25% more expensive compared to a similar vessel purely fuelled by LNG, due to the higher cost of the more expensive dual fuel engines.
 
However, a dual fuel engine offers flexibility and lower risk as availability and pricing of LNG are still not stable and expected to increase coming 2020. In such a case, the owner may choose to use MGO as a fuel if the price of LNG becomes too high.
 
The unpredictable LNG price, however, have not deterred some Singapore operators from exploring options for a LNG bunkering vessel capable of delivering LNG as a marine fuel to other dual fuel or pure gas fuel vessels.
 
“We are currently designing a range of smaller LNG bunkering vessels. The cost to build LNG tankers is high and we are working closely with the LNG system suppliers to integrate and optimise the design for a cost effective solution,” says Chopra.
 
“For example, building a 7,500 m3 pure LNG bunkering vessel in China will cost in region of USD$35 million,” shares Chopra.

The LNG cargo tanks of a pure LNG bunkering vessel may take up as much as 60% of the total cost of the vessel, he adds.
 
“We are looking at the same 7,500 m3 newbuild to our design below USD$30 million.
 
“The 7,500 m3 capacity LNG bunkering vessel will be adequate to deliver LNG to LNG fuelled bunker tankers, tugboats and other small and medium sized LNG fuelled vessels bunkering in Singapore.
 
“In comparison, the mega LNG-fuelled container vessels would require LNG bunker tankers with capacity of 15,000 to 20,000 m3. This requires a huge investment and a very high risk for any local bunker tanker owner to build a large LNG bunkering tanker without a guaranteed demand. In addition to the high investment and low ROI, the insufficient current demand for LNG bunkers is the second challenge.”
 
SeaTech Solutions is a vessel design specialist with more than 400 designs built and sailing worldwide. The company designed the world’s first deep sea mining vessel. In addition to Singapore, the firm has offices in China, India, Myanmar, Thailand, Japan, Vietnam, Malaysia and Korea.

Related: Sinanju, Mitsui AP orders LNG dual-fuel bunkering tanker from Keppel

Photo credit: SeaTech Solutions
Published: 2 May, 2018
 

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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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