Page 12 - GLNG Week 50

GLNG
NEWS IN BRIEF
GLNG
AMERICAS
McDermott, Chiyoda and Zachry Group announce first cargo from Freeport LNG Train 2
McDermott International along with its partners, Chiyoda International Corporation and Zachry Group, announced today that the first commissioning cargo of liquefied natural gas (LNG) has been shipped from Train 2
of the Freeport LNG project on Quintana Island in Freeport, Texas. Production of LNG from Train 2 was announced on December 6 and today’s announcement of first cargo is a precursor to substantial completion of Train 2.
“The ongoing momentum of this
project has accelerated us past multiple accomplishments, including Train 1’s introduction of feed gas, first liquid and
first cargo. And, we are well on our way toward commercial operation for Train 2,” said Mark Coscio, McDermott’s senior vice president for North, Central and South America. “I commend the project team for delivering these results and getting us closer to substantial completion.”
Zachry Group, as the joint venture lead, partnered with McDermott for the pre-FEED in 2011, followed by FEED works to support the early development stage of the project as a one-stop shop solution provider for Trains 1 and 2. Later Chiyoda joined the joint venture partnership for work related to Train 3. The project scope includes three pre-treatment trains, a liquefaction facility with three trains,
a second loading berth and a 165,000 cubic metre full containment LNG storage tank.
Freeport LNG Trains 2 and 3 remain on schedule with Train 3 initial production of LNG scheduled for Q1 of 2020. MCDERMOTT INTERNATIONAL, CHIYODA INTERNATIONAL CORPORATION AND ZACHRY GROUP, December 18, 2019
ASIA
LNG proves compelling for VLCCs
SEALNG has today released the results of its third investment study, which underlines liquefied natural gas (LNG) as a compelling investment solution for very large crude carriers (VLCCs) on the Arabian Gulf to China trade route.
Conducted by independent simulation and analytics expert Opsiana, the study demonstrates clear benefits of LNG as a marine fuel for a newbuild 300K DWT VLCC on the Arabian Gulf to China trade route, in comparison with other alternatives currently available and scalable to the shipping industry across three fuel pricing scenarios.
The business case compares the relative investment performance of four propulsion alternatives: a conventional VLCC sailing with very low sulphur fuel oil; a scrubber-equipped VLCC sailing mostly with heavy fuel oil;
and two LNG powered VLCCs, one with a high-pressure 2-stoke engine, the other a low- pressure 2-stroke engine.
The study clearly indicates that LNG as a marine fuel delivers a strong return on
investment on a net present value (NPV) basis over a conservative 10-year horizon. The analysis is bolstered by compelling paybacks from three to five years.
Peter Keller, chairman, SEALNG, commented: “This is the third in a series of investment studies commissioned to support ship owners and operators in decision-making at this crucial time. In addition to the positive results of studies undertaken by Opsiana
for the liner and PCTC segments, this study underlines the compelling investment case for VLCCs.”
The route was chosen because it is the major energy trade corridor from the Middle East to China. Providing greater clarity for those investing in LNG, the study highlights several key findings: compelling returns on an NPV basis, the diminishing CAPEX hurdle for LNG engines, LNG delivers competitive energy costs, has higher environmental performance, and is the most financially effective long-term method for complying with the IMO 2020 sulphur cap.
Importantly, the higher investment return was achieved without including the significant additional benefits and branding value gained by choosing LNG as a more environmentally friendly marine fuel. When corporate sustainability and environmental goals are included, choosing LNG as a marine fuel brings additional benefits.
SEA/LNG, December 12, 2019
Delivery of LNG transport vessel Marvel Pelican
Kawasaki Heavy Industries today delivered the Marvel Pelican (Kawasaki hull no. 1729), a 155,000 cubic metre capacity LNG transport vessel for use by Mitsui & Co.
The second of Kawasaki’s line of 155,000 cubic metre capacity LNG carriers to be commissioned, this ship is designed to enable passage through the newly expanded Panama Canal, which opened for full operations in 2016. The Marvel Pelican will be used by Mitsui & Co. primarily to transport LNG procured via the American Cameron LNG Project. While preserving hull dimensions
to enable docking at major LNG terminals around the world, Kawasaki has optimised this vessel’s hull structure to decrease overall ship weight. Furthermore, the company has adopted a two-propulsion motor, twin-
screw propulsion system to achieve the best propulsive performance possible, while also integrating a DFD electric propulsion system, which increases fuel efficiency at all speeds.
Moving forward, Kawasaki will continue to pursue shipbuilding operations in light of the
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Week 50 19•December•2019