News bulletin – tanker shipping

NEWS BULLETIN

TANKER SHIPPING

EPS GOES FOR AMMONIA

Eastern Pacific Shipping (EPS) has ordered a dual-fuel gas carrier at Hyundai HI that will be the first vessel to be fitted with the MAN Energy Solutions G60 two-stroke ammonia engine. The size of the newbuilding has not yet been confirmed but will be at least mid-sized and potentially a very large gas carrier (VLGC). Delivery could be as early as 2025.

The use of ammonia as an alternative marine fuel shows great promise as it eliminates carbon dioxide emissions, EPS says. However, there is no engine commercially available in the market today that can use ammonia as a marine fuel. Ammonia-ready vessels currently on order will be able to switch from other alternative marine fuels but will still require a major engine retrofit once ammonia engines become commercially accessible.

“We believe that our industry will need to rely on multiple solutions to steadily lower and eventually eliminate emissions. That’s why it is critical for us to constantly invest and develop various alternative marine fuels in order to offer the right solution to the right segment at the right time,” says Cyril Ducau, CEO of EPS. “The use of ammonia as a marine fuel is the next logical step for EPS and the industry. I am pleased that EPS, MPA, HHI, and ABS have come together on what will certainly be a pivotal moment in our energy transition.” www.epshipping.com.sg

AMMONIA IDEAS IN JAPAN

Mitsui OSK Lines (MOL) has launched a joint project with Tsuneishi Shipbuilding and Mitsui E&S Shipbuilding to develop and build a gas tanker to be fuelled by ammonia. The partners envisage a mid-size ammonia/LPG tanker equipped with an engine that can run mainly on ammonia, allowing it to achieve net-zero CO2 emissions while underway.

The concept under development is a 40,000-m3 carrier, the same size as the LPG carriers currently employed in ammonia service, which means it will be able to call at most ammonia loading and receiving ports. The partners expect delivery of the new vessel around 2026. www.mol.co.jp

FUEL CELL FUTURE BY TECO 2030

TECO 2030, a Norway-based marine engineering firm, has revealed its Hy-Ekotank hydrogen-powered tanker concept, developed in partnership with Ektank, Shell Shipping & Maritime and DNV. Such a tanker would produce zero emissions while at berth and achieve complete elimination of greenhouse gas emissions during voyage, making a significant contribution to meeting the EU’s ‘Fit for 55’ and Green Deal initiatives.

“We’re working with our customers and across sectors to accelerate the transition to net-zero emissions,” says Stephen Brown, technology manager at Shell Shipping & Maritime. “We will contribute to a net-zero world, where society stops adding to the total amount of greenhouse gas emissions in the atmosphere. We’re partnering with customers, businesses, and others to address emissions. This pioneering fuel cell concept will reduce carbon emissions in the maritime sector. We’ll continue to drive innovation to provide the cleaner energy that our customers need.”

“We are humbled to work on Hy-Ekotank with Ektank, Shell and DNV, as we believe these partners are a perfect match. With a cargo owner, shipowner, classification society, and a fuel cell provider, we will show the world what hydrogen is capable of doing for the maritime shipping industry. Remember it is all about eliminating emissions, and increasing value-adding activities,” says Tore Enger, Group CEO of TECO 2030. teco2030.no

PROMAN STENA TAKE METHANOL ARRIVALS

Proman Stena Bulk has taken delivery of Stena Pro Patria, the first of six methanol-powered MR tankers being built by Guangzhou

Shipyard, and a sistership, Stena Pro Marine; another IMOIIMeMAX tanker, Stena Promise, is due for delivery later this year. The first 49,990-dwt newbuilding bunkered methanol in Ulsan before sailing to Trinidad for a naming ceremony and to begin work transporting methanol for Proman.

“The delivery of Stena Pro Patria represents a major milestone for the success of our joint venture with Stena Bulk, as well as sending an important message to the market that methanol is a reliable and available marine fuel that can reduce global shipping emissions in the short, medium and long term,” says David Cassidy, CEO of Proman. “The vessel’s state-of-the-art fuel consumption and engine technology are important steps towards more sustainable shipping. It will be vital as new low-emission fuels emerge to also focus on energy efficiency.”

Erik Hånell, president/CEO of Stena Bulk, adds: “It is only through collaboration and partnership that we can meet our climate goals. Today’s announcement of a jointly built methanol-powered vessel coming into commercial use is a great example of our successful partnership with Proman, and we hope the first of many major milestones.”

“Vessels such as the Stena Pro Marine demonstrate to shipowners and policymakers that the industry can take proactive and immediate steps on the decarbonisation pathway,” says Anita Gajadhar, managing director of Proman Shipping, Marketing & Logistics. “Proman and other producers are ramping up investments in low-carbon methanol technologies and renewables projects to meet rapidly expanding customer demand. As regulators continue to propel much-needed maritime decarbonisation, including the EU’s ‘Fit for 55’ legislative package, these vessels underline the importance of a regulatory framework that relies on one certification methodology for alternative fuels and accurate emission measurements of all fuels.” www.stenabulk.com

NAVQUIM IS BACK

De Poli Tankers Holding has been renamed Navquim Holding, following Sogestran’s acquisition of De Poli in April. The new name harks back to Sogestran’s Spanish subsidiary. Navquim’s 15 stainless steel chemical tankers are being gradually renamed, with the first, Alessandro DP, now called NQ Magnolia.

Navquim’s chartering and operations activities remain based in Marbella, Spain, while ship management is in Barendrecht, the Netherlands. Sogestran reports that it has injected working capital into the new company to allow the company to be competitive on the purchasing and chartering sides and will invest further to renew and expand the fleet. www.navquim.com

STEALTHGAS SHOWS CAUTION

Stealthgas has recorded first quarter revenues of $35.9m, down 4 per cent on the same period last year, largely as a result of the spin-off of its product tanker operations. That also reduced voyage and operating expenses and this, along with reduced exposure to the spot market, helped Stealthgas post net income of $7.6m, compared to $0.8m a year ago.

“During the first quarter the improving LPG market continued its upward trend and we managed to capitalise, posting … one of the best quarterly results in many years,” says board chairman Michael Jolliffe. “We also managed to contain cost pressures particularly related to crew and bunker prices that continue to push our cost base.

“That being said, we continue to operate in a challenging geopolitical environment with the war in Ukraine and the Covid-19 pandemic, particularly with regards to the situation in China, still ongoing creating more uncertainty for the future,” Jolliffe adds. “Now we can also add economic uncertainty as a result of high inflationary pressures and rising interest rates. How all this will affect the LPG shipping market and whether we will be able to benefit from any change in trade patterns remains to be determined, as this is a market that is still seeking direction.” www.stealthgas.com