Alternative Fuels

MOU signed to develop ammonia bunkering in Singapore

MPA and “K” LINE join the consortium with A.P. Moller – Maersk A/S, Keppel Offshore & Marine, Maersk Mc-Kinney Moller Center for Zero Carbon Shipping and ABS.

Published

3 years ago

May 17, 2022

Admin

Note: The following article was edited on 27 May 2022 due to editorial corrections.

Kawasaki Kisen Kaisha, Ltd.(“K” LINE) on Friday (13 May) said it has signed a memorandum of understanding (MOU) on 6 April with a consortium and the Maritime and Port Authority of Singapore (MPA) to develop the ammonia bunkering ecosystem at the Port of Singapore.

The consortium consists of A.P. Moller - Maersk A/S, Fleet Management Limited, Keppel Offshore & Marine, Maersk Mc-Kinney Moller Center for Zero Carbon Shipping, Sumitomo Corporation and American Bureau of Shipping (ABS).

The consortium has also recently received an Approval in Principle ("AiP") from ABS for the design of an ammonia bunkering vessel.

This follows a feasibility study jointly launched by the consortium in March 2021 to develop an ammonia bunker supply chain in Singapore.

In the past year, the consortium identified potential ammonia supply sources and indicative costs, as well as undertook the preliminary design and cost estimation for critical infrastructure, such as ammonia storage tanks and bunkering vessels, leading to the AiP from ABS for the bunker vessel design.

MPA and “K” LINE join the consortium with A.P. Moller - Maersk A/S, Keppel Offshore & Marine, Maersk Mc-Kinney Moller Center for Zero Carbon Shipping and ABS.

With the addition of "K" LINE and MPA as new members, the parties will build on the current findings and begin development works to establish an integrated supply chain, with the goal to commence ammonia bunkering by 2030.

The parties will continue to seek cooperation with various stakeholders of the maritime industry and relevant Singaporean ministries and agencies to realise the world's first ammonia fuel supply chain.

These developments are in line with the International Maritime Organization’s (IMO) initial strategy to halve greenhouse gas (GHG) emissions within the shipping industry by 2050 compared to 2008 levels.

Kishore Rajvanshy, Managing Director of Fleet Management Limited said: “It has been great collaborating with our partners over the past year. We’re very excited for this next phase where the focus is on the development of ammonia bunkering, including the design of the vessel and the processes and procedures that will make the use of ammonia as a marine fuel a reality.”

Keppel Offshore & Marine Mr. Chris Ong, CEO of Keppel Offshore & Marine said: “We are pleased to partner the consortium and pioneer the development of green infrastructure such as ammonia bunkering vessels. Leveraging our in-depth engineering and shipbuilding experience as well as LNG bunkering expertise, we are able to contribute to a holistic range of low carbon solutions, such as ammonia as a marine fuel, that will reduce carbon emission and drive the industry’s energy transition.”

Bo Cerup-Simonsen, CEO of Mærsk Mc-Kinney Møller Center for Zero Carbon Shipping said: ”Close collaboration between public and private sector is crucial in order to decarbonise the maritime industry by 2050. Safe handling of ammonia in ports and onboard vessels is a perfect example of an area that requires effective collaboration between multiple parties as operational, safety, environmental and regulatory issues must be solved in parallel. With MPA onboard we have optimal conditions for a large scale demonstration to support the development guidelines, safety frameworks and standards for the ammonia fuel pathway.”

Georgios Plevrakis, ABS Vice President of Global Sustainability said: “Ammonia is a fuel with significant potential as a solution for shipping companies looking to decarbonise their operations. ABS is committed to supporting its safe adoption by the industry. We are proud to be able to use our industry-leading insight to support our partners with this landmark project.”

Mr. Yukikazu Myochin, President & CEO, Kawasaki Kisen Kaisha, Ltd. said: “We are proud to participate in this innovative project in Singapore as a world class bunkering hub and play a crucial role to cope with common challenges towards decarbonisation of global shipping. We believe the collaboration with leaders in maritime industry under this MOU will contribute to develop ammonia bunkering in Singapore and the attainment of Approval in Principle for ammonia bunkering vessel is a remarkable milestone in our journey to decarbonise global shipping.’’

Mr. Koji Endo, General Manager of Energy Division, Sumitomo Corporation said: “We see ammonia as an important future fuel to contribute to the realisation of a decarbonised society. Through the close collaboration among like-minded partners in the past year, we have gained not only AiP for the Ammonia Bunkering Vessel but immense insights, both technical and commercial, on the key drivers and challenges to establish an end-to-end supply chain for ammonia bunkering. Leveraging on these insights, and with the addition of strong partners like MPA and “K”LINE to the MOU, we are confident that we can meaningfully progress the development works and target to be among the first to commence ammonia bunkering business in Singapore.’’

Photo credit: Kawasaki Kisen Kaisha, Ltd.
Published: 17 May, 2022

LNG Bunkering

Singapore: MPA launches EOI to expand LNG bunkering services amid growing demand

MPA is seeking proposals to explore scalable solutions for sea-based LNG reloading to complement existing onshore LNG bunkering storage and jetty capacities and e/bio-methane supply as a marine fuel.

Published

1 day ago

December 13, 2024

Admin

The Maritime and Port Authority of Singapore (MPA) has launched an Expression of Interest (EOI) to explore scalable solutions for sea-based liquefied natural gas (LNG) reloading to complement the existing onshore LNG bunkering storage and jetty capacities and the supply of e/bio-methane as marine fuel in the Port of Singapore.

MPA said LNG bunkering in Singapore has grown from 16,000 tonnes delivered in 2022 to over 385,000 tonnes delivered from January to October 2024.

According to the EOI, demand for LNG bunkering is expected to grow further with a growing global fleet of LNG dual-fuelled vessels and competitive LNG bunker prices.

“The EOI seeks to gather proposals on three areas: to scale up sea-based reloading operations, including ship-to-bunker barge LNG operations; to facilitate the supply of LNG alternatives such as liquefied bio-methane; and to develop floating platform concepts to enhance bunkering safety and efficiency,” MPA added.

“The EOI proposals should also include mitigation measures to address the issue of methane slip on a well-to-wake basis.”

Participants in the EOI do not need to be an existing LNG bunkering licensee. Participants are required to propose models for operationalising sea-based LNG reloading starting from 2025. Participants selected will be required to conduct trials in Singapore to validate the proposed solution’s operational feasibility and safety.

“Insights gained from the EOI and trials will inform MPA’s review of the LNG licensing framework, including enhancements to supply to better serve the industry’s bunkering needs,” it said.

Note: Interested parties can visit the MPA website for details and submission guidelines. Proposals must be submitted by 28 February 2025, 1pm (Singapore time).

Photo credit: Manifold Times
Published: 13 December, 2024

LNG Bunkering

Wärtsilä wins LNG systems order for Vitol bunkering newbuild vessel

Firm will supply cargo Handling and Fuel Gas Supply systems for a new 12,500 m3 LNG bunkering vessel currently being built at Nantong CIMC Sinopacific Offshore & Engineering shipyard in China.

Published

1 day ago

December 13, 2024

Admin

Wärtsilä wins LNG systems order for Vitol bunkering newbuild vessel

Wärtsilä Gas Solutions, part of technology group Wärtsilä, on Friday (13 December) said it has won a contract to supply Cargo Handling and Fuel Gas Supply systems for a new 12,500 m3 LNG bunkering vessel.

The vessel is being built at the Nantong CIMC Sinopacific Offshore & Engineering shipyard in China, for global energy company Vitol.

“Wärtsilä’s ability to engineer, design and deliver a complete system, including the Boil-Off Gas (BOG) management, integrated fuel supply, custody transfer and bunkering transfer systems, was central to the contract award,” Wärtsilä said, adding the order was booked by the company in Q4, 2024.

Richie Zhu, Sales Manager, Wärtsilä Gas Solutions, China, said: “LNG is today an important marine fuel and is rapidly becoming the preferred choice for owners and operators seeking more sustainable fuel options. The market for LNG bunkering vessels is increasing in line with this trend, and we have established a leading position in supplying modern and reliable systems that optimise overall cargo handling efficiency for such vessels.”

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 20,000 m3 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: Wärtsilä
Published: 13 December, 2024

Newbuilding

UECC deploys LNG dual-fuel newbuild “Blue Aspire” on key European route

Vessel is set to boost vessel capacity on its key European North-South trading network from mid-December this year after recent delivery from CIMC Raffles Offshore Engineering.

Published

1 day ago

December 13, 2024

Admin

UECC deploys LNG dual-fuel newbuild “Blue Aspire” on key European route

United European Car Carriers (UECC) on Wednesday (11 December) said it has further expanded its fleet of eco-friendly car carriers with the addition of the dual-fuel LNG newbuild Blue Aspire.

The vessel is set to boost vessel capacity on its key European North-South trading network from mid-December this year after recent delivery from a Chinese shipyard.

The 200-metre long Pure Car and Truck Carrier (PCTC), delivered from CIMC Raffles Offshore Engineering, has capacity for nearly 7000 vehicles on 12 cargo decks.

UECC will operate the vessel together with another five vessels on a route between the Mediterranean and Northern Europe, traversing the Turkish ports of Yenikoy and Autoport, the German port of Cuxhaven, and Zeebrugge, Belgium every 4.5 days.

“Deployment of the Blue Aspire will boost tremendously capacity and sailing frequency on this busy trade route, currently serviced by five vessels, while further enhancing the sustainability of the UECC fleet,” said the company’s COO Per Christian Mørk.

The latest fleet addition will increase to six the number of UECC-operated vessels plying the North-South network, taking in a total of 10 ports on two routes, after the recent deployment of the renamed Auto Way that was acquired by UECC’s joint owner Wallenius Lines from Höegh Autoliners earlier this year.

It will also boost the size of UECC’s owned and chartered fleet to 15 PCTCs, including five dual and multi-fuel LNG vessels - three with battery hybrid capability - delivered in the past decade, with another two multi-fuel LNG newbuilds currently on order that are set for delivery in 2028 and options for two similar units.

“We are expanding our fleet with greater capacity and cargo-carrying flexibility to provide a more efficient service for clients in response to increasing demand as we see longer-term growth potential in this market,” Mørk explained.

Mørk said sustainability is now a key priority in procurement of maritime transport services to meet the environmental goals of vehicle manufacturers amid new green regulations - including FuelEU Maritime and the EU ETS - that provide a commercial incentive to reduce the cost of GHG emissions.

“UECC is catering to this market requirement with an eco-friendly fleet geared to minimizing the environmental footprint of vessel operations with progressive reductions in carbon intensity, in line with regulation, through adoption of energy-efficient technologies and alternative fuels,” he says.

Mørk noted that, while LNG can reduce emissions by around 25% compared with conventional fossil fuels, there is potential to greatly enhance environmental performance on LNG-fuelled vessels like Blue Aspire by switching to liquefied biomethane (LBM) that offers net-zero potential.

UECC is now increasing application of the latter fuel on its dual-fuel LNG PCTCs after recently securing an LBM supply agreement with Titan Clean Fuels that is forecast to cut its overall fleet emissions by 75,000 tons in 2025.

“The Blue Aspire therefore represents a valuable addition to the UECC fleet that underpins our market commitment to sustainability, while contributing to decarbonization of shipping,” Mørk concludes.

Photo credit: United European Car Carriers
Published: 13 December, 2024