Unit of Wesfarmers LNG to Lead the Way South of Perth:
‘Fuel Provided by Evol LNG Will Be Bunkered at Fremantle…
For Use by Gas-Powered Vessels that May Choose to Fuel at the Port’
Evol LNG says it will be the first to supply liquefied natural gas as a marine fuel in Australia, having secured the blessing of Fremantle Port, south of Perth, to do so. updated September 9
The approval comes after Perth-based Woodside signed a five-year charter deal with Norway’s Siem Offshore to deliver Australia’s first LNG-powered marine support vessel next year, Evol says.
“Fuel provided by Evol LNG will be bunkered at Fremantle Port for use by gas powered vessels that may choose to fuel at the port,” Evol says.
The VS 4411 DF-design platform supply vessel for Siem Offshore Australia is to enter service in early 2017. The 264-foot (80.4-meter) PSV is under construction by Poland’s Rementowa as the Siem Harmony (HHP Insight, April 13).
LNG Ferries and Workboats Welcome
Fuel will be produced at Evol LNG’s plant at Kwinana, south of Fremantle. It “will pave the way for LNG-fueled ships to visit the port, and provide the option for local ferries and workboats to switch to the lower-cost, lower-emission fuel,” the supplier says.
“It will also see Fremantle Port become part of a growing global LNG bunkering network which includes major ports in Europe, North America, Qatar, Singapore, Japan and Korea as well as more than 40 other ports from around the world which bunker LNG, or have plans to do so.”
‘A Long-Term Strategy’
“Our decision to provide LNG bunkering to the shipping industry is based on a long-term strategy,” Evol LNG business manager Nick Rea says in the company’s Fremantle Port announcement.
Rea said he is confident that the global fleet of LNG-fueled ships will continue to grow, and justify Evol LNG’s investment.
“Over the past decade, we’ve seen the number of LNG-fueled ships in operation worldwide increase steadily from a handful to more than 70, with an additional 80 to be built in coming years,” he said.
“As emission reduction efforts continue to increase in importance, including in Australia, we expect the adoption of LNG as a low emission marine fuel to increase.”
‘More and More Compelling’
And, “Apart from the environmental benefits, we expect to see a widening gap in the fuel price spread, as well as the cost of LNG-fueled ships reducing as the technology matures,” he said. “The business case for ship owners to invest in LNG-fueled ships is becoming more and more compelling.”
Evol LNG says its will be able to supply its customers at a price that is competitive with low-sulfur marine diesel and will be able to refuel ships at up to 45 tonnes per hour of LNG, comparable to bunkering with traditional fuels.
“We’re looking forward to working with Fremantle Ports and believe it is well-placed to support future LNG-fueled workboats servicing Fremantle, the offshore oil and gas fields in the north west of Western Australia, as well as itinerant LNG-fuelled vessels travelling between Australia and south-east Asia,” Rea said.
‘An Offering We’d Like to Expand’
“If interest is there, Evol LNG will obtain licenses from other major Australian and regional Western Australia ports to conduct LNG bunkering operations.
“It’s certainly an offering we’d like to expand, particularly as truck-to-ship LNG bunkering can be achieved without the need for new fixed infrastructure to be built.
Evol LNG Is a Unit of Wesfarmers
“We have been operating in the LNG industry for more than a decade now, with an excellent safety record, and will apply this experience and knowledge to our bunkering operations,” he said.
Evol LNG is managed by Kleenheat, part of Wesfarmers Chemicals, Energy & Fertilisers.Contact information is only available to premium subscribers. Click here to purchase a premium subscription.
Source: Evol LNG with HHP Insight follow-up