Nautischer Verein zu Bremerhaven

Bremerhaven, 17.September 2014

SHIPPING & ENVIRONMENT

PROSPECTS & OUTLOOK OF THE USE OF LNG AS FUEL

Dipl. Ing. Ramona Zettelmaier

Customer and Sales Manager, Hamburg

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Environmental issues have 3 main characteristics:

1. They are unavoidable

Our economies need energy to sustain their development and more than 80% of the world primary energy needs are satisfied with fossil fuels (oil, gas, coal, …)

2. They are generally painful

as they require all of us to re-assess and possibly modify our current processes and practices

3. They may be controversial

Local efforts are really meaningful when they contribute to the global reduction of the environmental footprint (e.g. GHG & global warming), but local benefits also need to be considered (human health, local environmental damage, biodiversity, …)

The application of techniques reducing emissions of certain harmful substances may lead to an increase in the emissions of other harmful substances

Impact of environmental issues on shipping

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► But there are solutions !

► Gas fuel propulsion is one of them which we would like to address more in details today.

Impact of environmental issues on shipping

History of LNG – new matter?

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Liquefied Gas Carriers classed with BV

243 gas carriers in service (56 LNG Carriers)

41 gas carriers under construction (17 LNG Carriers)

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Bureau Veritas & Gas Carrier Development

► 1953:

• Classification of the 1st modern pressurised LPG carrier built in Europe: M/S “Kosan Gas”.

► 1958:

• Classification of the 1st semi-pressurised LPG carrier, 1st comprehensive rules for the classification of LPG carriers published by Bureau Veritas

► 1960:

• Classification of the first fully refrigerated LPG carrier

► 1962:

• Supervision of the prototype tests of the experimental LNG carrier "Beauvais", and first Rules for LNG Carriers published by BV.

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Bureau Veritas & Gas Carrier Development

► 1965:

• Classification of "Jules Verne", 25,000m3 LNG ship.

► 1971:

• Classification of "Descartes", 50,000m3 LNG Carrier, Technigaz type

• Classification of "Hassi R'Mel", 40,000m3 LNG Carrier of Gaz Transport type.

► 1972:

• BV chairmanship of the IACS Group on Unified Regulations for Liquefied Gas Tankers, which has been the basis for the IMO Gas Codes.

• Classification of the first membrane LNG Carrier of the 125,000 m3 size, Technigaz type "Ben Franklin".

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►Built: 1965

►Scrapped: 2008

►In Service: 43 years

►Capacity: 25,000 m3 LNG

►GT: 22,273

►DW: 14,066

Jules Verne – IMO 6500167

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Bureau Veritas & Gas Carrier Development

► 1995:

Classification of the first membrane LNG carrier built in Korea “Hanjin Pyeong Taek”

► 2005:

Classification of the worlds first LNG RV vessels

► 2006:

Classification of the worlds first DFDE LNG carriers

► 2007 :

• Classification of the “Ship of the Year” Ethylene/LPG/VCM carrier “Isabella Kosan” first of a series of 10 vessels

Classification of the first membrane LNG carrier built by STX

Classification of the first LNG carrier with MAN DFDE propulsion

LNG STS transfer in the GoM

2007- 2010: BV involvement in the IGC code revision

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Bureau Veritas & Gas Carrier Development

► 2008-2009:

Approval NO96 “sealed concept” developed by DSME

Classification of the worlds first multipurpose gas carrier built to transport LNG/LPG & LEG “Coral Methane” (capacity 7,500m3)

► 2010 :

AiP of DSME NO96 containment system two row tank arrangement

► 2011 :

Order of an LNG-RV of 173,400 m3 for Excelerate Energy

► 2012 :

BV class 15,000m3 LNG carrier for Anthony Veder is delivered at Meyerwerft shipyard

► 2013 :

Classification of a 6,500 m3 LNG/LPG & LEG multipurpose gas carrier at AVIC Dingheng

Delivery of BV class Lena River (Mark. III, 155.000 m3

LNG carrier) to Dynacom

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Bureau Veritas & Gas Carrier Development

► 2014 + :

► Brittany Ferries announces order of giant gas-powered cruise-ferry

► State-of-the-art luxury cruise-ferry marks new era of ferry travel

► First ferry from the UK to use liquefied natural gas (LNG)

► Dual Fuel Engines with Membran Tank

►Becker Marine System/ Aida - LNG Hybrid Barge

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“LALLA FATMA N’SOUMER”

145,000m3 LNG C MOSS

BUILT BY KAWASAKI FOR MOL / HYPROC IN 2004

“ARCTIC LADY”

145,000m3 LNG C MOSS

BUILT BY MITSUBISHI

FOR LEIF HOEGH / MOL IN 2006

First ever DFDE LNG

“SERI BALHAF” & “SERI BALQIS”

157,000m3 LNG C BUILT BY MITSUBISHI

FOR MISC IN 2009

“ABDELKADER” & “BEN BADIS”

177,000m3 LNG C

BUILD BY SHI IN 2010 FOR MITSUI OSK

BV selected LNG

carriers references

“SERI ALAM” 1st ship of a series of 5 x 145,000m3 LNG C

built by SHI for MISC from 2005 to 2007

“MAGELLAN SPIRIT” 165,000m3 LNG C, from a series of 6 vessels built by SHI for Maersk LNG

from 2008 to 2010.

“STENA CRYSTALSKY”

171,800m3 LNG C

BUILT BY DSME IN 2011

Medmax 75,000m3 LNG carrier delivered by JMU to MOL / Hyproc

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Bureau Veritas offshore LNG references

BV classed the first ever series of LNG RV and classes in total 10 LNG RVs an FSRUs including the largest (just ordered):

• 3 vessels of 138,000m3 for Exmar and Excelerate Energy at DSME in 2005 and 2006

• 5 vessels of 151,000m3 for Exmar and Excelerate Energy at DSME from 2008 to 2010

• 1 FSRU of 173,500m3 for Excelerate Energy at DSME (delivery 2014)

• 1 FRSU of 263,000m3 for MOL at DSME (delivery 2016) – Gas Sayago project in Urugay

BV classes the first ever built LNG floating liquefaction and storage unit (Exmar FLRSU for Pacific Rubiales in Colombia)

BV has been involved in FEED studies and FEED approval of several projects of LNG FPSO and FSRU

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Selected BV classed FSRU

GNL ESCOBAR

commissioned in 2011

30 miles from Buenos Aires

150,900m3 LNG RV EXEMPLAR

BAIA BLANCA GAS PORT

commissioned in 2008

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FLNG ordered by Exmar at Wison

Order of the first FLNG (floating liquefaction and storage barge) by Exmar in Chinese yard Wison. To be operated in Colombia for Pacific Rubiales Energy.

Characteristics and hazards of LNG

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Characteristics and hazards of LNG

What is LNG ?

► Natural gas is an hydrocarbon mixture, mostly methane (CH4)

► Variable chemical composition

Methane (CH4)

Ethane – Propane – Butane - …

Nitrogen

source : jmcampbell.com

► Liquefied natural gas is natural gas that has been supercooled to -162 °C. At that temperature, natural gas condenses into a liquid.

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► For natural gas to be liquefied all impurities must be removed such as:

Sulfur, carbon dioxide and mercury which are corrosive to LNG equipment

Water, which could freeze and cause equipment damage or blockage

Heavier hydrocarbons which could also freeze like water

► LNG stored at boiling point : - 161.5 °C @ atmospheric pressure

►Vapour density : 0.554 at room temperature

heavier than air at temperatures below -110°C

►CNG : Compressed

Natural Gas :

about 300 bar

Natural gas

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► Some basic facts and information about LNG :

Colourless, odourless and non-toxic

Its weight is less than one-half that of water

1/600 the volume of vaporised natural gas

Vapours are lighter than air

above -100°C and readily

disperses into the atmosphere

Visible as a vapour cloud if released

Characteristics and hazards of LNG

Characteristics

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► Some basic facts and information about LNG :

Flammable only in concentrations

of 5 percent to 15 percent

Major hazard is as a vapour:

for an explosion to occur, LNG must

first return to its gaseous state and

then the natural gas vapours must

accumulate in a confined space in

the flammable range, and encounter

an ignition source

► LNG is not odorized because the odorant would freeze out as a solid when natural gas is cooled down.

► When LNG is vaporized and distributed, the natural gas may be odorized depending on local regulations

Characteristics and hazards of LNG

Characteristics

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Characteristics and hazards of LNG

main hazards 1/3

► The most important hazards in the transfer of LNG are:

⎯ the cryogenic temperatures, which can cause injury to people (frostbite) and also cause damage to non-cryogenic materials such as carbon steel, which loose their mechanical properties, become brittle and fracture

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Characteristics and hazards of LNG

main hazards 2/3

► The most important hazards in the transfer of LNG are:

⎯ fire, explosion from possible leaks or spillage of LNG

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Characteristics and hazards of LNG

main hazards 3/3

► Other important hazards are:

Asphyxiation

The overpressure resulting in shock waves, caused by rapid phase transition (RPT) of LNG due to the interaction between LNG and water Physical Explosion_ LNG Rapid Phase Transitions (RPT).wmv

Overpressure due to thermal expansion of trapped LNG

► Release to the atmosphere should be avoided as methane is considered a greenhouse gas.

source : www.zeeco.com

source : www.sfexaminer.com

source : 2003 Offshore

Technology Conference

(Gaz de France / Total /MHI)

LNG market overview and technical innovations

LNG containment systems

Arctic LNG

Small scale LNG

CS1

NO96

MARK III

LNG containment systems

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Stretching the limits of LNG carriers designs

BV approval in principle of latest containment systems designs • GTT Mark III Flex, Mark V, NO96-L03 systems

180,000m3 - GTT

182,000m3 - Moss

Largest bilobe tanks for type C LNG carriers classed by BV

9,700m3 type C tank

Largest LNG carriers classed by BV with 4 cargo tanks

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MEMBRANE N0 96 SYSTEM

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3 MOSS CONTAINMENT SYSTEM

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Mitsubishi Sayaendo Extrem stretched Moss tank system with continuous tank cover

MOSS CONTAINMENT SYSTEM

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SLOSHING ASSESSMENT CARGO CONTAINMENT SYSTEMS

CFD

SEA KEEPING

MOTIONS

MODEL TESTS

EK,VI,PQS PM

PI, PQS, t PI, t Calibration

Membrane

Qualification

Hull Scantlings

BV Rule Verification

Dynamic Structural Analysis

Scatter Diagram

t

PI

t

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SLOSHEL JIP CONDUCTED BY BV

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► Bureau Veritas Guidance Note NI 554,

“Design Sloshing Loads to be Applied on the Cargo Containment System and the Inner Hull Structure”

► Bureau Veritas Guidance Note NI 564,

“Strength Assessment of LNG Membrane Tanks under Sloshing Loads“

SLOSHING ASSESSMENT BUREAU VERITAS RULES

Arctic LNG

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Developing new routes : Arctic navigation

NSR cargo transit is growing

2012 : 46 transits (1.3 M tons)

2021 : 40 M tons (est.)

Bureau Veritas Artic initiatives

Ice Class Rules and Notations

IceSTAR Software Tool

Direct Calculation of ice loads for a Panamax bulk carrier

Design considerations/studies of a LNG carrier/FPU for operation in the Arctic

NSR

6,920 nm (*)

SCR

11,430 nm (*)

The Northern Sea Route (NSR)

(*) = Hamburg - Shanghai

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► Adapt existing technologies to a new environment: Trading routes involving navigation in ice

Optimisation of LNG carrier fleets with operations round the year (design versatility for ice passage, free

passage, seasonal changes, etc.)

Autonomy of the vessel

Selection of ship’s sizes (whether escorted navigation with ice breaker or not)

Hull material selection & winterization

Ice reinforcement / ice breaking capability

Propulsion type

Containment systems

Crew safety and life saving appliances

Protection of the environment

Arctic LNG carrier developments: e.g. Yamal LNG

Small scale LNG

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Small Scale LNG Principles

► Small scale LNG is an effective solution for making natural gas available to energy users not currently connected to

pipeline networks or not having access to LNG

► Small scale LNG provides :

• Regional supply

• Hundred thousands of tons

• Directly to end users

• Providing an energy solution which was previously not available

► Small scale LNG can be considered wherever there is existing LNG infrastructure :

• Europe / Middle East

• Asia / Americas

► Small scale LNG will require :

• Shuttle LNG carriers

• LNG bunker ships / storage barges

• Multipurpose gas carriers in the short term pending further development

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20,000 m3

LNG carrier

Shuttle LNG Carriers Key Features

► Small generally between 1,000m3 – 30,000m3 capacity

► High level of manoeuvrability (azimuth & bow thrusters)

► Adaptable for all forms of cargo operation :

• Small & large terminals

• Ship to Ship (STS)

• Ship to Truck (STT)

Ship to Ship Transfer

1,100 m3

LNG carrier

► Generally environmentally friendly

• Dual Fuel (BOG or HFO/GO)

• Limit emissions to air and sea (BV Cleanship)

• Low levels of noise and vibration (BV Comfort)

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“SERI BALHAF”

157,000m3 LNG C NO96

BUILT BY MITSUBISHI

FOR MISC

IN 2009

“CORAL METHANE”

7,500m3 LNG / LEG carrier TYPE C TANKS

GAS FUEL DIESEL ELECTRIC PROPULSION

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Coral Methane - LNG / Ethylene / LPG Carrier

► Key Details

• Type C containment system with a total capacity of 7,500 m3 contained in

2 x cargo tanks and 1 x deck tank

• Tank material: Austenitic St Steel 304L

• Increased thickness insulation to approx. 300mm (prefabricated

polystyrene panels)

• Boil-off rate approx.0.35-0.45% per day

• Gas/fuel diesel electric propulsion

• Twin Azipull thrusters

• Modified LPG/Ethylene deepwell cargo pumps

• Modified manifold arrangement

• Environmentally friendly design

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LNG Carrier – Manifold Arrangement

► Modified manifold arrangement

► To enable cargo transfers at

• Large and small LNG & LPG terminals

• STS transfer

► Manifolds consist of

• Upper & Lower Platforms

• Three Liquid Lines

• Three Vapour Lines

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Other Considerations

► Piping stress analysis (weight of pipes, acceleration loads, internal pressure,

thermal contraction, loads induced by hog & sag) required when temp < -110 oC

(IGC 5.2.5)

► Boil-off gas management

► Location and segregation of spaces (storage compartments, machinery

spaces, compressor room, etc.)

► Safety equipment (gas / fire detection)

► Passive and active fire protection

► Definition of hazardous area and selection of certified electrical equipment

► Emergency Shut Down (ESD) arrangements

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Risk Analysis - Methodology

►A risk analysis must involve a group of experts (ship designer, ship builder, ship

operator, equipment manufacturers as deemed necessary).

► The proceedings of the risk analysis are usually recorded in a table structured

according to the used methodology.

►For unacceptable hazards, the risk analysis identifies a list of action opportunities for

risk reduction with responsibilities, such as:

• safety or consequence assessment studies to be performed in future phases of

engineering (fire, explosion, gas dispersion, cryogenic spill …)

• corrective measures to be implemented in the installation design (detection or

mitigation means)

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► Gas supply to the engine room

• Double wall piping arrangement

• “ESD” arrangement

This alternative is specific to IGF:

“ESD” arrangement is not permitted

by IGC Code (for gas carriers)

►Arrangement of machinery space

• Efficient ventilation (no dead space,

effective in way of electrical

equipment, to avoid recycling, …)

• Ventilation exhaust location

• Gas detection

• Master gas fuel valve / Block and

bleed valves

Machinery Space Design & Arrangement

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Different technologies of gas engines

Technology Lean Burn Engine

Single fuel

Dual fuel low

pressure

5 bars

Dual fuel high

pressure

300 bars

Efficiency high energy efficiency at high load

high energy efficiency at high load

Diesel cycle and performances maintained

Methane slip Yes, efforts are on minimizing up to 50% of existing ratio

Yes, efforts are on minimizing up to 50% of existing ratio

No, as per available data

Meeting IMO tier III NOx Yes Yes No, need additional NOx reduction devices

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Gas Fuelled Engines – IMO & Class Rules

► The main objectives of the rules are to set

acceptable basic prescriptions and criteria so that the

gas fuelled propelled ships could have the same

degree of safety and of reliability as the ships using

liquid fuels.

► In other words:

• There should be a safe and reliable gas combustion

in the engines

• Gas plant storage (including refueling facilities) and

distribution systems should not create a substantial

risk of gas leakage or spillage leading to brittle

fracture, fire and / or explosion

• Machinery space should be designed and arranged

for gas burning engines

• Gas fuelled propulsion systems should have the

same level of reliability as conventional fuel

propulsion systems

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► Bureau Veritas rules for vessels with

the service notation Gas Carrier may

be found in Part D of the Rules for the

Classification of Steel Ships, Chapter 9

Liquefied Gas Carriers

► In addition there are sections covering

Gas Carriers in other parts of the rules

such as Part C, Electricity Automation

and Fire Protection

► The rules are backed up by Rule note

such as NR 529, “Safety Rules for Gas-

Fuelled Engine Installations in Ships” &

NR481: “Design and installation of dual

fuel engines using low pressure gas”

► IMO IGC Code.

Bureau Veritas & Gas Carrier Rules

Logistics of gas fuel bunkering

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Gas fuelled ships bunkering logistics and safety

► Gas fuel bunkering logistics still to be

shaped.

For small capacities, non-fixed tanks located

onboard the ship may be considered, such as

containerized tanks or vehicle-tanks.

For larger capacities, bunkering from a

dedicated bunker ship / barges is considered

Bunkering from LNG storage facility in selected

port area could also be envisaged

Bunkering from LNG terminals looks more

remote as it is quite complex to implement in

practice.

►Bunkering arrangement and facilities on

board:

Design to be convenient for repeated routine

filling operations without disruption of the

commercial operations of the vessel.

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Bunkering

► Bunkering installations

► Bunkering operations (STS, trucks, fixed shore installations, containers)

► BOG management during bunkering:

May be by supply ship or shore installation or by ship

Vapour return line ?

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Use of natural gas as fuel for ships

LNG supplied by means of transportable tanks

Containers Trucks

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Bunkering: an associated operation: inerting

► Inert gas necessary for :

bunkering lines

tanks before & after DD

► Inert gas installation

Supply of inert gas by shore or supply vessel ?

Fuel gas bunkering lines: boundaries of the line to be inerted / aerated

► Two possible types

Nitrogen membrane generators

Combustion inert gas generator (burner + scrubber)

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Use of natural gas as fuel for ships

Ship to ship transfer

► Ship to ship transfer: operational matter

► Requirements for equipment qualification (hoses, ERC and QCDC)

► Requirements for hull protection against liquid spillage (water curtain, drip trays)

► Emergency shut-down

► Procedures for emptying, heating, …

► Storage, handling

Source TGE Marine

Conclusions

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CONCLUSIONS

► Natural Gas appears as a quite interesting fuel,

Firstly for short sea shipping and navigation in

ECA, to meet the most stringent environmental

requirements of the international and local

regulations (IMO, EU, US, …)

Secondly for more high sea routes due to

efficiency and price competitiveness of gas

► Technical solutions

exist for years for gas and dual fuel engines

are feasible for installation on various types

of vessels

► Bureau Veritas is ready to assist designers, yards

and owners to develop new designs of ships with

gas fueled solutions.

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Companies Selecting BV to Class LNG Carriers

EMPRESSA NAVIERA ELCANO

HYPROC SHIPPING

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Shipyards Selecting BV to Class LNG Carriers

11 LNG C

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Let’s drive innovation

with confidence !

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Move Forward with Confidence