Australia’s Oceania Marine Energy and Kanfer Shipping of Norway have teamed up on the design of an ammonia-ready LNG bunker vessel (LNGBV) for Australia.
The pair have signed a letter of intent on a first vessel.
Kanfer recently confirmed an order for two speculative, 6,000-cbm LNGBVs with China’s Taizhou Wuzhou Shipbuilding Industry for delivery in the second half of 2023.
The company said this vessel design uses LNG as a fuel combined with hybrid and peak energy-saving technologies from Kongsberg Maritime.
“With future modification, the Rolls-Royce Bergen gas engines can be converted to operate on ammonia,” the outfit said. “The vessel is designed for simplicity and can be adapted to load LNG, methanol or ammonia.”
Kanfer managing partner Stig Hagen told TradeWinds that the newbuildings' steel C-tanks can handle ammonia and the cargo-handling system would only need minor modifications. The ship's structure would need to be strengthened as ammonia has a higher density than LNG.
Hagen said the vessel could be in operation by early 2024.
Kanfer, which is partially owned by downstream LNG logistics company Atlantic Gulf & Pacific, previously said it plans to charter out its LNGBV newbuildings on long-term contracts.
Perth-based Oceania said it is progressing its LNG bunker licence applications with key port authorities and is engaging in preliminary talks with Australian natural gas and green ammonia.
The new partners said: “Oceania is collaborating with energy, shipping and industry partners to realise this opportunity.”
Oceania and Kanfer said they aim to build a long-term zero-emission sustainable shipping industry in Australia using LNG as the transition fuel and moving towards green ammonia and methanol as the targeted fuel for bunkering vessels operating in the Northwest and Eastern ports of Australia.
“The Northwest and Eastern regions of Australia have among the highest levels of heavy tonnage marine traffic in the world, making them ideally suited for adoption of zero-emission fuels,” Hagen said.
“We strongly believe in the green/blue ammonia as a future fuel and for Australia to become a leading producer.”
Company director Nick Bentley said Australia is uniquely positioned to be a leader in providing zero-carbon fuels to shipping.
He said the new vessel will “activate Australia's competitive advantage” by linking its sustainable energy production to its key position in the Asia-Pacific commodity trades.
Society for Gas as a Marine Fuel general manager Mark Bell said: “Australia has the raw materials, clean fuels, and a large bulk shipping volume, all that is required for a zero emission sustainable shipping."
