Cash Lures LNG Carriers to Northern Sea Route

MarineLink.com
Wednesday, October 16, 2013
Northern Sea Route: File photo

One major new development on the Northern Sea Route is the interest in using it to move liquefied natural gas to energy-hungry Asian markets, writes Stan Jones of the Office of the Federal Coordinator, Alaska Natural Gas in a recent article.

Late last year, the LNG carrier Ob River hauled the first LNG cargo over the route, from Norway to Kyushu Electric Power in Tobata, in southern Japan. The icebreaker-escorted trip, from the Snohvit LNG terminal in Hammerfest, took 27 days, and that was in November and December, late in the season. The same trip via the Suez Canal takes about 10 days longer.

While LNG tanker rates vary from company to company and season to season, short-term charters earlier this year were averaging $90,000-plus a day, with long-term charters around $80,000 a day, according to an August 2013 presentation by global consultants PFC Energy in Anchorage. Short-term rates spiked last year at $150,000 a day, with long-term charters running $120,000.

At those prices, cutting 10 days off a trip to Tobata could save $1 million.

Tanker time wasn't the only savings, according to the agency that runs Russia's nuclear icebreakers on the Northern Sea Route. The Ob River also saved about $80,000 in tariffs. The agency, Rosatomflot, put the ship's icebreaker fees for the trip at $332,000, versus $412,000 that would have been charged for passing through the Suez Canal.

The article can be found at: http://www.arcticgas.gov/sites/default/files/documents/northern-sea-route-beckons-lng-shippers.pdf

Source: Alaska Natural Gas, Office of the Federal Coordinator

Maritime Today


The Maritime Industry's original and most viewed E-News Service

Maritime Reporter June 2016 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Tanker Trends

First US LNG Shipment Goes to China as Panama Canal Opens Markets

The first liquefied natural gas vessel from the lower 48 U.S. states is on its way to China, according to a Reuters interactive map on Friday, the latest sign that

Libyan Oil Exports to Resume from Closed Ports

Libyan oil exports from closed ports should resume in no more than one to two weeks after a deal was signed between the government and an armed brigade controlling the terminals,

Asia Tankers-VLCC Rates Falter on Oil, Tanker Supplies

MidEast, West Africa rates hit 11-month low. Freight rates for very large crude carriers (VLCCs), which hit an 11-month low this week, could slide further next

Navigation

CMA CGM Rolls out Bengal Bay Express

CMA CGM has introduced its new Bengal Bay Express service, operated with 11 vessels of 6,500 TEU on a weekly basis, in a continuous effort to provide its customers with the best quality service.

The ‘Paperless’ Ship

The cloud is for “device-agnostic young slashers,” said Trond Bjorseth, marketing manager, of Oslo-based cloud consultancy, Tieto. His company offers an information

CNCo Orders Remote Monitoring for 35 Vessels

Radio Holland, a global NavCom and service company in the maritime industry, said it has concluded  a maintenance and remote monitoring agreement with The China

Finance

Swiber Applies for Judicial Management Instead of Liquidation

Singapore oilfield services company Swiber Holdings Ltd said on Friday it has applied to place itself under judicial management instead of liquidation.   Swiber

US Oil Drillers Add Rigs for 5th Week in a Row

U.S. drillers this week added oil rigs for a fifth consecutive week, Baker Hughes Inc said on Friday, but the oilfield services provider and some analysts cast

Daewoo Shipbuilding: $1.4 bln order Cancelled

Cancelled order part of Statoil's Bressay project. South Korea's Daewoo Shipbuilding & Marine Engineering Co Ltd on Friday said a 1.58 trillion won ($1.41 billion)

LNG

First US LNG Shipment Goes to China as Panama Canal Opens Markets

The first liquefied natural gas vessel from the lower 48 U.S. states is on its way to China, according to a Reuters interactive map on Friday, the latest sign that

LNG Market Needs More Vessels than Currently on Order

Despite the current weakness in LNG shipping rates, Drewry maintains its bullish long-term outlook for LNG shipping and believes that the market will require more

Insights: Kunkel Weighs in on Propulsion Technology

LNG? Methanol as fuel? Hybrid systems? Tier 4? Reducing noise? Cutting emissions without crushing fuel economy? Marine News readers have questions and Bob Kunkel has answers.

Arctic Operations

Keel Laying for Russia's Second Nuclear Icebreaker

Today the Baltic Shipyard in St Petersburg (part of United Shipbuilding Corporation) laid the keel of Ural, Project 22220’s second series-produced nuclear icebreaker.

Canada Embarks on Arctic Survey Mission

Canada has launched its 2016 Arctic expedition to collect important scientific information to support the nation’s submission on the extended continental shelf in the Arctic Ocean.

Eni Cancels Vessel Deal with Viking Supply Ships

Viking Supply Ships A/S (VSS) has received an early termination notice of the contract for the Ice-class 1A AHTS “Njord Viking”. The vessel has been working for

 
 
Maritime Security Naval Architecture Navigation Offshore Oil Pipelines Port Authority Ship Electronics Ship Repair Shipbuilding / Vessel Construction Winch
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.0969 sec (10 req/sec)