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SEALNG: Building the momentum for LNG as a marine fuel

Chairman provides an update on the emissions, investment, and infrastructure front of LNG bunkers.
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The following article is written by Peter Keller,SEALNG Chairman:

2017 has been a momentous year for LNG as a marine fuel. Announcements of new investments came quickly and repeatedly. As the IMO’s 2020 global sulphur cap draws nearer and the regulation’s trajectory becomes clearer, ship owners and lines are increasingly seeing LNG as a long-term, compliant solution for their operations. As one of the industry leaders heading the charge, Rudolf Saade, Chairman and Chief Executive of CMA CGM, stated quite succinctly: “LNG is the fuel of the future for shipping.”

The supply-side is also responding aggressively. The bulk LNG infrastructure is largely built, what remains is the last mile, in which the industry is showing a growing appetite to invest. The number of LNG bunkering vessels has grown from one, at the beginning of 2017 to six in early 2018, with these numbers expected at least to double by 2020. You can see this growth through our LNG Bunker Navigator tool on the SEALNG website.

SEALNG is proud that our members have been at the forefront of industry developments over the past year, but we recognise that there is much to be done to ensure that this momentum continues to build.

To effectively incentivise the developments needed to realise a competitive global LNG value chain for cleaner maritime shipping by 2020, we need to make the credible, fact-based case for LNG as a marine fuel to the shipping industry – which includes investors, bankers, shipping lines, bunkering companies, ports, and other enabling stakeholders such as shippers, governments, regulators, and local communities.

Steered by our members, we have prioritised the following areas of work for 2018.  First, we need to better understand our stakeholders and decision makers in different geographies; who they are, what are their informational and data needs, and how can we communicate with them most effectively to make the case for LNG as a marine fuel?

Second, we need to develop content and data that decision makers can use as they evaluate future fuel alternatives and make decisions. The industry continues to require credible, fact-based material, backed-up by academic research as necessary, on the emissions, investment and infrastructure case for LNG.

Emissions case:  The environmental benefits of LNG as a marine fuel are clear with respect to air quality improvements in relation to ‘local emissions’ such as sulphur oxides (SOx), nitrogen oxides (NOx), and particulate matter (PM). Most agree that LNG essentially eliminates both SOx and PM emissions and reduces NOx by up to 90%. The contribution to air quality should not be underestimated.  We have worked for decades to improve the air we breathe and LNG will continue to be a major and positive factor in this important health-related endeavour.

Likewise various studies show that LNG offers serious GHG emissions reductions.  Certainly there are still many open and important questions relating to the global warming implications of methane emissions in natural gas production and transportation as well as methane slippage in marine engines. In collaboration with partners such as the Society for Gas as a Marine Fuel (SGMF),SEALNG is sponsoring a comprehensive, academically validated analysis which will compare full lifecycle, well-to-wake GHG emissions of LNG-fuelled propulsion systems with IMO 2020 compliant oil-based solutions such as low sulphur fuels and high sulphur fuels with exhaust abatement; for example, scrubbers. We will also examine other alternative fuels that may not be currently viable or even commercially available to get a complete picture of all alternatives. This will be important work to help create factual, data-based answers to the questions before the industry.

Too often, we see comments or reports that claim to be neutral but in reality, are not factually based. It is our clear intention to work with real data and facts.

Investment case: Investment in assets is always a huge issue.  At the end of the day viable maritime organisations must justify their decisions and ensure their business profitability over the long term if they are to survive and serve the world’s markets. Unfortunately, there remains a lack of clarity surrounding the potential for LNG among many shipping lines and investors. Many do not have adequate information and data to fully analyse the case for LNG.  New-build investment decisions may often be predicated upon incomplete data and analysis and inappropriate or incomplete metrics. The investment case work that SEALNG is undertaking will consist of two complementary phases.  In Phase I we will develop a comparative analysis of the qualitative factors that should help inform new build investment decisions. This includes operational considerations, such as waste disposal, technology maturity and supply chains, availability of fuel suppliers and bunkering infrastructure, bunkering logistics, and the likely impact of future regulation.

In Phase II we will use a sophisticated investment model capable of evaluating specific vessel types, servicing different global shipping routes, using different propulsion systems to explore new-build investment choices under a range of scenarios, such as varying fuel prices and capital expenditure assumptions. This will be based on operational data and assumptions agreed by SEALNG members using publicly available sources.

Infrastructure case: The question of infrastructure continues to be on the top of many LNG investment lists. Our work consists of two streams and is currently in the early phases of implementation. The first attempts to answer the question asked by shipping lines, if I invest in LNG-fuelled systems for my fleet, will the LNG be available where I need it?  This takes the form of an online, map-based tool called Bunker Navigator. Based on a variety of member, publicly available data, and marine information services, it provides an overview of key LNG bunkering developments and how this growing infrastructure relates to major global shipping routes, traditional oil bunkering ports, and the bulk LNG infrastructure which will provide the foundation for future bunkering services.

Many of our members have been at the forefront of LNG bunkering infrastructure developments. So our second stream of work is to share insights from actual infrastructure projects in the form of member case studies. These set out the key lessons learned and provide insights into some of the practical challenges members have faced, and how they have harnessed collaboration and partnerships to achieve their objectives.

SEALNG is confident that once the fact base is set out in a clear and credible manner for the global shipping industry, LNG will move from the ‘chicken and egg’ to the implementation phase as investment confidence grows throughout the marine value chain and knowledge spreads to key enablers such as bankers, ports, regulators, and local authorities. 2018 will be an important year in the history of shipping as the industry begins to more readily embrace the inevitable transition from heavy fuels to the new reality of cleaner, more socially and environmentally conscious maritime fuels such as LNG.

To read or download “SEALNG: One year on – thoughts and reflections”, which delves deeper into the latest developments in the field of LNG as a marine fuel between 2017 and 2018, please click here.

Photo credit: SEALNG
Published: 25 May, 2018

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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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September 4, 2026

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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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September 4, 2026

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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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September 4, 2026

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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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