This so called ‘Green Funnel’ series of Ice Class, 114,000 dwt, LNG-powered Aframaxes will operate within Shell’s global freight trading network. The vessels will also use Shell’s specialist LNG bunker vessels, such as the ‘Cardissa’, for fuelling in Northwest Europe. Shell will provide further supply points across Northwest Europe and the Baltic, as it expands its LNG fuelling infrastructure. These contracts represent the next step in collaboration between SCF and Shell over the last three years regarding the reduction in the environmental footprint of the tanker industry, in particular, by fuelling tankers with LNG, SCF said. The new charters follow the LNG fuel supply agreement concluded between Shell and Sovcomflot last year, which pioneered the expansion of marine LNG fuelling into the tanker industry and, in general, for vessels not tied to fixed routes or set timetables. Each tanker will be built to Ice Class 1A hull notation, enabling year-round export operations from the Baltic. The technical specifications for these new vessels were developed by SCF’s engineering centre, with the close involvement of Hyundai Heavy Industries and Russian shipbuilders (Zvezda shipbuilding complex, Primorsk region). The vessels’ main engines, auxiliaries, and boilers will be dual fuel, capable of using LNG, and the vessels will also be fitted with selective catalytic reduction (SCR) technology to comply with Tier III regulations governing NOx emissions when in gasoil fuel mode. Commenting on the charters, Evgeny Ambrosov, senior executive vice president of SCF Group, said: “Together, SCF Group and Shell are leading the development and adoption of LNG as a fuel within the tanker industry, committed to significantly reducing the environmental footprint of energy shipping. “After proper experience of operating LNG-fuelled vessels, SCF Group will share its feedback on their performance with Zvezda shipbuilding complex, a Russian facility that is envisaged to commence the domestic construction of such large-capacity LNG-fuelled tankers by 2021.” Mark Quartermain, Shell Crude Trading’s vice president, added: “LNG fuel will play a fundamental role in the future energy mix. Chartering and fuelling these vessels highlights Shell’s commitment to LNG as emissions standards tighten. We look forward to continuing to build upon our strong relationship with SCF to support our trading operations in key areas.”
SCF Group has signed a time charter contract with Shell for two liquefied natural gas (LNG)-powered Aframax tankers. The 114, 000 dwt vessels will operate within the Anglo-Dutch multinational's worldwide freight network for up to 10 years. Each will be built to Ice Class 1A hull notation to enable all-season export operations from the Asia. Evgeny Ambrosov, senior executive VP of SCF, said the deal showed the two companies were "leading the development and adoption of LNG as a fuel within the tanker industry". Bloomberg Terminal copy: Fuelling Good: More ships are considering LNG as bunker alternative 2018-02-28 02:09:50.900 GMT Shell sealed long-term time-charter deals with Sovcomflot for two LNG-fuelled aframax tankers, currently under construction, last week. Shell will provide fuel for these ships using its own LNG bunkering infrastructure. ExxonMobil, Total, and Statoil have also embarked on LNG bunkering plans in Baltic and Europe. The number of LNG-powered ships that are not LNG carriers, both in service and on order, has reached the 200 mark as of Mar 2017, out of which 13 are chemical/product tankers. (LNG World Shipping) The International Maritime Organization (IMO) has set the sulphur limit in fuel oil used on board ships (for vessels operating outside the Emission Control Areas [ECAs]) at 0.5% m/m on and after 1 Jan 2020, down from the current limit of 3.5% m/m. The sulphur limit in the ECAs will remain at 0.1% m/m content. Ships can meet the requirement by using low-sulphur compliant fuel oil, alternative fuels like LNG, LPG, methanol, and ethanol, or by installing scrubbers or exhaust gas cleaning systems on board. (Waterfront Shipping will time-charter in four dual-fueled methanol carriers in 2019; refer to Asset Market section, pg 5.) -0- Feb/28/2018 02:09 GMT