Wikborg Rein & Co: Oil Prices Won't Impact Dual-Fuel LNG Carriers
Joe McGladdery, a partner with the London law offices of Wikborg Rein & Co, says that, while falling oil prices have exerted pressure on the LNG charter markets, the new generation of low-speed, dual-fuel LNG carriers now in service and on order remain an attractive option for owners and operators. “As a result of the oil price collapse, energy companies are reducing capital budgets to protect against falling revenues. Given the investment levels needed to sustain an LNG production project…
Oil Prices Should Not Impact Dual-fuel LNG Carriers
Joe McGladdery, a partner with the London law offices of Wikborg Rein & Co, says that, while falling oil prices have exerted pressure on the LNG charter markets, the new generation of low-speed, dual-fuel LNG carriers now in service and on order remain an attractive option for owners and operators. McGladdery notes, “As a result of the oil price collapse, energy companies are reducing capital budgets to protect against falling revenues. Given the investment levels needed to sustain an LNG production project, the final decision to proceed with a number of projects has been put on hold.
McDermott Get Big Middle East Offshore Contract
McDermott International, Inc. informs that one of its subsidiaries has been awarded a large engineering, procurement, construction and installation (“EPCI”) project by an operator in the Arabian Gulf. The award is included in McDermott’s fourth quarter 2013 backlog. The contract includes the engineering, fabrication, transportation and installation of four new offshore topsides facilities, plus modification of two existing production facilities to extend the current deck space and maximize the size of modules. The combined total weight of the structures will exceed 3,500 metric tonnes.
MOL Conducts Gas Injection Demonstration
Tokyo - Mitsui O.S.K. Lines Ltd. (MOL) announced that it has been decided that Mitsui Engineering & Shipbuilding Co. Ltd. (MES) and MOL will conduct a gas injection demonstration run utilizing a temporarily-modified electrically-controlled type slow speed diesel engine. The engine is designed, manufactured and delivered to a shipyard with oil injection specifications for one of the MOL newbuild vessels. However, during manufacturing, it will be temporarily modified to an electrically-controlled gas injection duel fuel slow speed diesel engine. The engine will be run with vaporized LNG at MES Tamano Works in the first half of 2013. LNG has recently been highlighted as one of the potential propulsion fuels for future ship design.
