Alternative Fuels

IBIA: Guidelines for alternative bunker fuels further considered by IMO

Draft guidelines for some alternative marine fuels require further work intersessionally for consideration and finalization at CCC 10 in September 2024 with a view to adoption at MSC 109 in December 2024.

Published

1 year ago

October 6, 2023

Admin

The International Bunker Industry Association (IBIA) on Friday (22 September) published an article elaborating on guidelines for the safe design and operation of ships using alternative bunker fuels that were considered further by IMO’s CCC Sub-Committee (CCC 9) held from 20 to 29 September 2023:

A suite of guidelines for the safe design and operation of ships using alternative fuels (ammonia, hydrogen, LPG and other low flashpoint fuels) were considered further by IMO’s CCC Sub-Committee (CCC 9) held from 20 to 29 September 2023. Whilst progress was made on some aspects, and the draft LPG Guidelines finalised with a view to adoption at MSC 108 in May 2024, the draft guidelines for other alternative fuels require further work intersessionally for consideration and finalization at CCC 10 in September 2024 with a view to adoption at MSC 109 in December 2024.

Specific provisions associated with the bunkering of the alternative fuels, in respect of mitigation of the risks to the ship associated with the fuels, were considered in detail for ammonia and hydrogen. From the discussions it is clear that both present unique risks that require detailed consideration and provisions to mitigate those risks.

For ammonia it is not just the risks associated with toxicity, for example, to the extent that it may prevent the concept of safe-haven/refuge on board being applicable for certain ship types, that requires mitigation but also the corrosivity of the product and its effect on materials and so design of equipment.

For storage, among the three different storage options for ammonia, i.e. refrigerated ammonia, semi-refrigerated ammonia and pressurized ammonia, only the former two should be considered for the purpose of the interim guidelines as a first stage, and that the use of pressurized ammonia systems would be possible through the alternative design process; portable tank provisions for ammonia should not be specifically developed.

For hydrogen the difficulty of containing leaks presents safety challenges and it was agreed that during bunkering operations leaks of hydrogen should be able to freely escape without accumulating to mitigate risk of fire or explosion. In this regard, as small leakages may form hydrogen pockets and coupled with hydrogen’s lower explosion limit and that it is impossible to de-energise electrical equipment in time, Emergency Shut-Down (ESD) principles have been removed from the current draft Guidelines.

Concerns were also expressed that ships using fuels such as LNG and methanol were being built with inadequate arrangements to debunker fuels (e.g. for pre dry dock preparations and emergencies (grounding, collisions)), due to a lack of related provisions in the IGF Code or Guidelines. It was decided not to include any such provisions at this time, but may be included when developing the draft interim guidelines for other alternate fuels such as hydrogen and ammonia.

A summary of progress is provided below.

Interim guidelines for the safety of ships using hydrogen as fuel

These draft guidelines have been developed further. They are goal-based and provide provisions for the arrangement, installation, control and monitoring of machinery, equipment and systems using hydrogen as fuel to minimise the risk to the ship, its crew and the environment. Additional intersessional work will be carried out with the aim to present the progress to CCC 10 (September 2024) with a view to finalization and adoption at MSC 109 in December 2024.

Interim guidelines for the safety of ships using ammonia as fuel

These draft guidelines have been developed further and provide an international standard for ships using ammonia as fuel. They are goal-based and will provide provisions for the arrangement, installation, control and monitoring of machinery, equipment and systems using ammonia as fuel to minimise the risk to the ship, its crew and the environment. Additional intersessional work will be carried out with the aim to present the progress to CCC 10 (September 2024) with a view to finalization and adoption at MSC 109 in December 2024.

Interim Guidelines for Use of LPG Cargo as Fuel

Due to the urgent industry need, CCC 9 developed these draft guidelines to provide unified specific guidance for ships using liquefied petroleum gas (LPG) cargo as fuel. Written in a goal-based manner they are expected to be agreed at MSC 108 in May 2024

Interim guidelines for the safety of ships using low flashpoint oil fuels

These guidelines are expected to provide an international standard for ships using oil-based fossil fuels, synthetic fuels and biofuels with a flashpoint between 52°C and 60°C. A Correspondence Group will continue to consider them and submit a report to CCC 10 (September 2024).

Photo credit: IBIA
Published: 6 October, 2023

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China: Zhoushan to host 7th IPEC commodities, bunker conferences on 16 to 17 October

Global marine bunker development will be among main topics of discussion at the 7th International Petroleum and Natural Gas Enterprises Conference (IPEC).

Published

1 day ago

October 11, 2024

Admin

China: Zhoushan to host 7th IPEC commodities, bunker conferences on 16 to 17 October

The 7th International Petroleum and Natural Gas Enterprises Conference (IPEC) is taking place at Zhoushan, Zhejiang province, China between 16 to 17 October.

The agenda, provided by the Zhoushan High-tech Zone Administrative Committee to foreign event media partner Singapore bunkering publication Manifold Times, is as follows:

16 October

Registration and sign-in for participating guests
Meetings between Zhejiang Provincial and Zhoushan Municipal leaders with VIPs

17 October

Morning

Plenary Session of the Conference (Oriental Hall, Zhoushan International Conference Center)

Leader’s speech, guest keynote speech, signing of major projects

Discussion Topics [*17 October, 2pm to 5pm]

Focus Topic Meeting: Global marine bunker development*
Location: Haitian Hall, Haizhongzhou International Hotel, Zhoushan

14:00-14:05 - Opening of the Meeting

14:05-14:15 - Speech by Leaders

14:15-14:30 - Announcement of "Top Ten Global Bunkering Ports" and "Top Ten Global Bunkering Companies"

14:30-14:40 - Announcement of Construction Work of Northeast Asia Bonded Marine Fuel Bunkering Hub

14:40-14:50 – Launch ceremony of Zhoushan "White-list" Bunker Barge Mass Flow Meter System Pilot Certification Programme

14:50-15:10 - Signing Ceremony

15:10-16:10 - Keynote speech

16:10-16:35 - Coffee break

16:35-17:05 - Roundtable forum (Topic: Facing green and low-carbon transformation in global shipping, how do marine fuels change in response to the trend?)

17:05-17:35 - Roundtable forum (Topic: The road to develop high-quality offshore fuel bunkering metering under the new developments)

17:35-17:40 - Moderator’s summary

Utilising financial innovation, futures and spot cooperation to promote the construction of a hub for the allocation of bulk commodity resources*
Location: Putuo Hall, Zhoushan International Conference Center

Open development of global shipping trade*
Location: Donghai Hall, Hilton Zhoushan

International iron ore trade development*
Location: Banquet Hall 1/3, The Westin Zhujiajian Resort, Zhoushan

Development of China's new chemical materials industry during the “15th Five-Year Plan”*
Location: Banquet Hall 1/3, The Westin Zhujiajian Resort, Zhoushan

Development of non-ferrous metal mining industry*
Location: Lianhua Ocean Hall, Hilton Zhoushan

16 and 17 October
International maritime law of the free trade port (zone)
Location: Fortune Hall, Zhoushan CaiFu Hotel

Photo credit: Zhoushan High-tech Zone Administrative Committee
Published: 11 October, 2024

Alternative Fuels

SIBCON 2024: Vitol anticipates securing LNG bunker licence in Singapore

‘It would be unthinkable not to deploy at least one of the three barges Vitol has on order in Singapore,’ says Vitol’s Head of Asia Mike Muller during a panel discussion.

Published

2 days ago

October 11, 2024

Admin

SIBCON 2024: Vitol anticipates securing LNG bunker licence in Singapore

Energy trader Vitol’s Head of Asia Mike Muller on Wednesday (9 October) said the company is anticipating being granted a LNG bunker licence in Singapore soon.

“It would be unthinkable not to deploy at least one of the three barges Vitol has on order in Singapore,” he said.

Mike Muller made the announcement during the Viewing the Energy Transition Through the Lens panel discussion at the 23rd Singapore International Bunkering Conference (SIBCON).

“We expect to see growth in LNG use as a bunker fuel for at least another decade, and probably longer,” he added.

On the increasing uptake of biofuels, he said Vitol is seeing demand for biofuel blended bunkers in Singapore roughly doubling every year at the moment, heading for around 1 million mt this year and maybe 2 million mt next year.

“Demand for 100% biofuel from shipping customers is also starting to pick up as of this year and we have led the way in commissioning new IMO type 2 barges to fulfil this demand - indeed an important Asian customer of ours has taken three deliveries of B100 UCOME biofuel just in recent weeks here in Singapore,” Muller explained.

Manifold Times previously reported Vitol securing three LNG Bunkering Vessels (LNGBV) through its shipping company, Vitol International Shipping Pte Ltd (VIS).

The vessels were secured via a seven to ten year time charter agreement with Avenir LNG Limited (Avenir) and an order for two vessels at the CIMC Sinopacific Offshore & Engineering Co. Ltd shipyard in Nantong, China.

The time charter agreement with Avenir is for one newbuild 20,000m3 LNGBV. The time charter will commence at delivery from the shipyard in China in Q4 2026 and will serve a period of seven years with options to extend up to ten years in total

Vitol also ordered one 12,500 m3 and one 20,000 m3 LNGBV at the CIMC SOE shipyard in China. The vessels will be delivered in Q4 2026 and Q3 2027 respectively.

Photo credit: Vitol
Published: 11 October, 2024

Methanol

Methanol Institute: Expanding global capacity and strategic developments (Week 40, 30 Sep to 6 Oct 2024)

This week was dominated by the outcome of the IMO MEPC which considered proposals for mid-term policy measures capable of driving an energy transition in international shipping down to just three options.

Published

2 days ago

October 11, 2024

Admin

The Methanol Institute, provides an exclusive weekly commentary on developments related to the adoption of methanol as a bunker fuel, including significant related events recorded during the week, for the readers of bunkering publication Manifold Times:

The news agenda this week was dominated by the outcome of the IMO Marine Environment Protection Committee (MEPC) which considered proposals for mid-term policy measures capable of driving an energy transition in international shipping down to just three options, with a likely greenhouse gas (GHG) reduction pathway selected next year.

A majority of IMO member states are now understood to be in favour of a levy on carbon emissions but the lack of urgency remains an issue. Observers recognised that support for such a mechanism should be optimistic based on the meeting’s outcome though no action should be expected before 2025.

Methanol marine fuel related developments for Week 39 of 2024:

CPG Bunkering Expands Mozambique Operations with New Tanker and Capacity Upgrade

Date: September 30, 2024

Key Points:

CPG Bunkering has expanded its capacity at the Port of Maputo in Mozambique by adding a new delivery vessel, the CPG Alma, under an extended agreement with the Maputo Port Development Company. The expansion allows for reliable at-berth supplies and more efficient service for increased bunker-only calls. Additionally, the company will evaluate the potential supply of alternative bunker fuels, such as biofuels, LNG, methanol, and ammonia, during the extension period to support future green fuel adoption.

ESL Shipping Emphasizes Urgency for New Fuels to Meet Decarbonization Goals

Date: October 1, 2024

Key Points:

ESL Shipping’s Managing Director, Matti-Mikael Koskinen, highlighted the urgent need for new fuel options to meet decarbonization targets, as discussed at the IMO MEPC82 meeting. ESL is committed to achieving net-zero emissions by 2040 and is exploring a range of alternative fuels including LNG, bio-gas, and methanol. The company’s approach varies based on vessel types and operational conditions, particularly in challenging ice-class routes off Finland. Koskinen stressed the importance of overcoming fuel availability and cost barriers to successfully transition to greener shipping solutions.

Vioneo to Use Green Methanol for Sustainable Plastics Production

Date: October 2, 2024

Key Points:

Vioneo, a new sister company to Maersk under AP Moller Holding, is set to produce sustainable chemicals and plastics using green methanol as a feedstock. The company will construct a 300,000 mt/year plant in Antwerp to manufacture polypropylene and polyethylene. This project marks a strategic expansion beyond methanol's use as a bunker fuel, leveraging green methanol for large-scale, fossil-free production of essential materials, reflecting Maersk's broader commitment to sustainability and innovation.

193 Alternative Fuel Ship Orders Placed in Q3, Led by LNG and Methanol

Date: October 3, 2024

Key Points:

According to the Ship & Bunker News Team, 193 new vessel orders including alternative propulsion were registered in the third quarter of 2024, with a majority focused on LNG and methanol. The container segment accounted for most of the orders, including 86 LNG-fueled and 39 methanol-fueled vessels. This growth, driven by the container and car carrier segments, highlights the industry's continued investment in alternative fuels to meet environmental regulations and future-proof fleet operations.

Peninsula to Boost Methanol Bunkering with Three New Tanker Charters from HTM

Date: October 4, 2024

Key Points:

Peninsula has entered into an agreement with Hercules Tanker Management (HTM) to charter three newly ordered 7,700 DWT methanol-capable chemical tankers, currently being built at the Jiangmen Hangtong Shipyard in China. The vessels, set for delivery in Q2 2025, will support the company's strategy to expand its alternative fuel bunkering services. This partnership enhances Peninsula’s capability to deliver biofuel blends and methanol, ensuring readiness for future green fuel demand.

IMO MEPC 82: DNV Highlights Progress on Net-Zero Framework Negotiations and Emission Control Areas

Date: October 7, 2024

Key Points:

The 82nd session of the IMO Marine Environment Protection Committee (MEPC 82) focused on advancing the development of a net-zero framework for the maritime industry. Delegates discussed strategies to achieve net-zero GHG emissions by 2050, including establishing a GHG fuel intensity standard, which would set clear emission reduction targets for vessels. The committee also considered a new GHG pricing mechanism to incentivize low-carbon fuel adoption.

Additionally, amendments to MARPOL Annex VI were adopted, designating new Emission Control Areas (ECAs) in the Norwegian Sea and Canadian Arctic, which will implement stricter emission regulations starting in 2026-2027. The session also addressed technical and operational measures to improve energy efficiency, reflecting the IMO's commitment to enhancing sustainability in shipping operations globally. DNV emphasized that while progress has been made, negotiations will continue to refine and finalize the proposed net-zero framework in upcoming sessions.

For more details, visit the full article here.

Photo credit: Methanol Institute
Published: 11 October, 2024