Alternative Fuels

SEA-LNG calls UCL report on LNG capable ships ‘a flawed academic exercise, detached from reality’

Paper ignores fact that LNG dual fuel engines already provide ship owners with insurance against stranded assets, says the global multi-sector industry coalition.

Published

3 years ago

September 26, 2022

Admin

Global multi-sector industry coalition SEA-LNG on Friday (23 September) responded to UCL Energy Institute’s report on ‘Exploring methods for understanding stranded value: case study on LNG-capable ships’:

The recent study from UCL, Exploring methods for understanding stranded value: case study on LNG capable ships, is a flawed academic exercise, detached from reality.

In setting out a framework for their analysis the authors make innumerable contestable and unsupported statements.

Somewhat confusingly, given the focus of their paper on stranded value risk, they ignore the fact that LNG dual fuel engines already provide ship owners with an insurance against stranded assets, as they can burn traditional marine fuels and are currently doing so in Europe as a consequence of the unprecedented spike in LNG prices.

Further, their analysis is based on an assumption that the decarbonisation pathway offered by LNG via bioLNG in the medium term to synthetic, or e-LNG, in the long term, will be less “competitive” than ammonia or other electro- fuels. This is highly problematic for a number of reasons. Predicting the future production costs of electro-fuels such as e-ammonia, e-methanol and e-LNG is extremely difficult given that 80% of the cost of producing these fuels is associated with the cost of producing the common renewable hydrogen feedstock. This can only be produced from renewable energy sources which will take years to develop to the necessary scale. Suggesting a particular electro-fuel will ‘win’ based on price, is reckless and is, at best, a guess at this point in time.

Ammonia is a highly toxic fuel, with a volumetric energy density, approximately 50% that of LNG. This means more toxic fuel and less cargo. Regulatory agencies around the world will need to work to counter the dangers of ammonia to protect seafarers as well as port workers and port communities.

Ammonia-fuelled engines are in the very early stages of development with massive uncertainties on issues such as pilot fuel requirements, GHG and NOx emissions and potentially deadly ammonia slip. Addressing these issues will demand significant amounts of time and money. Finally, massive infrastructure investments will be required to produce and deliver e-ammonia (and indeed other fuels such as e-methanol and e-liquid hydrogen) to the ships that may use it. Contrast this to the LNG pathway where the transportation and storage infrastructure already exists and is growing globally.

The results reported in this study are meaningless as they are based on subjective, negative assumptions on LNG. Such flawed analysis can confuse the industry, potentially providing ship owners and investors with justification to sit back, wait and continue to emit GHGs rather than invest in a technology like LNG that offers immediate GHG reductions today together with a clear and competitive pathway to decarbonisation in the decades ahead. Waiting is not an option.

Photo credit: SEA-LNG
Published: 26 September, 2022

FuelEU

FincoEnergies launches pooling service for FuelEU Maritime compliance

FuelEU Pooling service enables undercompliant vessels to meet their compliance targets by pooling with vessels running on GoodFuels sustainable bio bunker fuels.

Published

8 hours ago

April 21, 2025

Admin

GoodFuels biofuel supplier FincoEnergies on Wednesday (16 April) announced the launch of its FuelEU Pooling service, created to enable shipowners to meet FuelEU Maritime compliance in a cost-effective way.

FuelEU Maritime, effective from 1 January 2025, mandates the reduction of greenhouse gas intensity of energy used on board ships trading in the EU. For many operators, particularly those with limited access to low-carbon fuels, compliance can be both complex and costly.

Designed for shipowners, operators, charterers, and technical managers, FincoEnergies’ FuelEU Pooling service enables undercompliant vessels to meet their compliance targets by pooling with vessels running on GoodFuels sustainable biofuels, when these vessels are overcompliant and have ‘Surplus’ emission reduction available for allocation.

FincoEnergies also partnered with Lloyd’s Register (LR), who supported the development of the service. Their technical expertise has enabled shaping a solution that aligns with both regulatory requirements and FincoEnergies' established position as a biofuel supplier in the fuel supply chain.

“FuelEU Maritime represents one of the most important regulatory shifts for the shipping industry in decades,” said Alberto Perez, Global Head, Maritime Commercial Markets at LR. “By integrating technical expertise with strategic guidance, we ensure shipowners, operators, and suppliers not only comply with evolving emissions standards, but also proactively transform their operations, embracing new technologies and alternative fuels to ensure a sustainable and profitable future.”

“With a decade of experience in biofuel bunkers and carbon certificate trading in the voluntary market, we are excited to expand our creative and solution-oriented product portfolio with FuelEU Pooling,” said Johannes Schurmann, Commercial Director International Marine at FincoEnergies.

“Thanks to our physical presence in the supply chain, shipping companies looking for FuelEU surplus can confidently rely on us as a trusted partner in their decarbonisation journey.”

Through its role as Pool Organiser, FincoEnergies streamlines the entire pooling process – from performing biofuel bunkers and prefinancing Surplus, to Surplus allocation and pool verification. With cost-effective pricing, FuelEU Pooling provides shipping companies with a competitive alternative for changing their fuel mix themselves.

Photo credit: FincoEnergies
Published: 21 April, 2025

LNG Bunkering

Ballast Nedam Infra and Hakkers Waterbouw to build sea jetty for new LNG terminal

Jetty, which will be built as part of a LNG terminal in Germany, will be equipped to receive ships up to 267,000 m³; a smaller berth will be built for LNG bunker vessels and barges.

Published

8 hours ago

April 21, 2025

Admin

Ballast Nedam Infra and Hakkers Waterbouw to build sea jetty for new LNG terminal

Netherlands-based Hakkers Waterbouw recently said it will be partnering with Ballast Nedam Infra for the construction of a large sea jetty as part of a new LNG terminal in Brunsbüttel, Germany.

The jetty will be equipped to receive ships up to 267,000 m³. In addition to the main berth, a smaller berth will also be built for LNG bunker vessels and barges. The jetty offers an unloading capacity of 14,000 m³ per hour and a loading capacity of 3,000 m³ per hour.

“The development of the LNG terminal and sea jetty fits in with the growing demand for sustainable energy solutions in Europe,” Hakkers said on its website.

“The project contributes to the European energy transition and to a safe, reliable energy supply for the future. With this collaboration, Ballast Nedam Infra and Hakkers Waterbouw are taking an important step in the realisation of sustainable infrastructure and further European collaboration.”

The order was placed on behalf of German LNG and will be executed as a subcontractor to main contractor CS Gas North. This is a collaboration between the Spanish companies Cobra and Sener.

Construction of the sea jetty will start in the summer of 2025 and is expected to be completed in early 2027.

Richard Majoor, director at Ballast Nedam Infra, said: “In combination with Hakkers and CS Gas North, we want to build a proactive and efficient collaboration.

“Ballast Nedam and Hakkers complement each other well: Ballast Nedam has extensive experience in project management for complex construction projects, while Hakkers, as a specialist in hydraulic engineering and steel construction, adds substantive value.”

Hein van Laar, commercial director at Hakkers Waterbouw, added: “As a specialist in heavy hydraulic engineering piling and steel construction, we are particularly proud to realise this project. We see that we can really add something in Germany with our expertise.”

Photo credit: Hakkers Waterbouw
Published: 21 April, 2025

Newbuilding

Chinese shipbuilder delivers CMA CGM’s Singapore-flagged LNG-powered boxship

CMA CGM welcomes “CMA CGM SEINE”, the first in a four-ship series of 24,000 TEU LNG dual-fuel container ships, by Hudong-Zhonghua Shipbuilding, according to BV Marine & Offshore.

Published

4 days ago

April 17, 2025

Admin

Chinese shipbuilder delivers CMA CGM’s Singapore-flagged LNG-powered boxship

Bureau Veritas Marine & Offshore (BV) on Wednesday (16 April) announced the successful delivery of CMA CGM SEINE, a new 24,000 TEU LNG dual-fuel container ship, by Hudong-Zhonghua Shipbuilding (HZSY).

This milestone marked the completion of the first vessel in a four-ship series, with BV providing classification and BV Solutions Marine & Offshore (BVS) providing advisory services.

It is CMA CGM’s first LNG-powered vessel flying the Singaporean flag with a capacity of 24,000 TEU.

It was reported that CMA CGM planned to expand its fleet and vessel tonnage, adding more vessels under the Singapore Registry of Ships. To support the transition to more sustainable fuels, CMA CGM said it would register and bunker alternative fuel vessels under the Singapore flag.

Xavier Leclercq, Vice President of CMA Ships, said: “Today’s delivery of the ‘CMA CGM SEINE’ featuring LNG as fuel at such a large scale, will remain a major landmark in the shipping world and embodies the engagement of the CMA CGM group toward an ambitious decarbonisation path, leading the way to our industry.”

Mr. Xiufeng ZHANG, Vice General Manger of Hudong-Zhonghua shipyard, said: “CMA CGM SEINE, as the lead ship of the four 24,000-TEU LNG dual-fuel powered container ships ordered by CMA Ships from our company, stands as a new-generation maritime ‘Green Giant’ and ‘super cargo hauler’.”

The vessel integrates a dual-fuel propulsion system supported by GTT Mark III membrane-type LNG bunker tanks, with a total capacity of 18,600 cubic meters, designed to enhance both environmental performance and operational efficiency.

Measuring 399.9 meters in length and 61.3 meters in beam, the vessel has a carrying capacity of 23,876 TEU and is equipped with a WinGD W12X92DF-2.0 dual-fuel main engine, incorporating the Intelligent Control by Exhaust Recycling (iCER) system.

This configuration significantly reduces methane emissions and enables compliance with IMO Tier III emission standards when operating in "Diesel + iCER mode".

BV worked closely with the engine manufacturer and the shipyard to test the parent engine and issued the Engine International Air Pollution Prevention (EIAPP) certificate, establishing a foundation for compliance across the series. The iCER system optimises energy efficiency, achieving an Energy Efficiency Design Index (EEDI) reduction well beyond the IMO’s Tier III standards.

To address the critical sloshing challenges in large-volume LNG bunker tanks, BVS performed direct computational fluid dynamics (CFD) simulations. The verified pressure data was provided to the design unit for structural strength checks, ensuring the safety of the cargo containment system and hull support structure.

The vessel features advanced technologies to boost operational performance and energy efficiency. Equipped with the SmartEye intelligent monitoring system and the TotalCommand full-control system, it achieves automated precision control during berthing, significantly reducing berthing time and enhancing port operations.

Energy efficiency is further improved by applying variable frequency drive (VFD) technology to the engine room fans and seawater cooling pumps. Meanwhile, the WinGD Data Collection Monitoring (DCM) system offers real-time tracking and analysis for the dual-fuel main engine, supporting operational optimisation.

BV also supported the upgrade of BV certified boil-off gas (BOG) compressors by conducting sea trial tests and re-issuing product certificates, facilitating seamless system commissioning and vessel delivery.

Photo credit: Bureau Veritas Marine & Offshore
Published: 17 April, 2025