Marine Link
Tuesday, April 24, 2018

Fuel Network News

LNG America, Buffalo Marine to Design LNG Bunker Fuel Network

Image: LNG America

LNG America announced it has entered an agreement with Buffalo Marine Service, Inc. (Buffalo Marine) to cooperate on the design of an LNG bunker fuel network for the U. S. Gulf Coast region. LNG America is developing a hub-and-spoke delivery system for LNG as fuel for the marine market and other high horsepower applications. Ultimately, LNG America will establish delivery infrastructure for the delivery of LNG as fuel in major U.S. ports. Bunkering company Buffalo Marine presently has more than 50 vessels dedicated to bunkering in the Gulf of Mexico region.

Shell Developing U.S. LNG Fueling Network

Shell and TravelCenters of America LLC (TA) to develop network of (LNG) fueling centers for road users; alongside that Shell is developing a marine bunkering infrastructure. Shell has been working to develop the LNG for Transport market globally. Last year, they announced their intention to collaborate with TA  and the finalization of that agreement is a major step toward making LNG fuels a reality for the U.S. heavy duty road customers. Shell has also announced that it will invest in two small-scale LNG production units that form the basis of two new LNG transport corridors in the Great Lakes and Gulf Coast regions that will provide LNG to marine and heavy duty road customers. This brings the total to three planned Shell LNG production units dedicated to transport in North America.

Libya Cracking Down on Fuel Smuggling

© Anatoly Menzhiliy / Adobe Stock

Libya's National Oil Corporation (NOC) is considering using a chemical marking system to help trace oil products smuggled out of the country, its chairman said on Wednesday. Mustafa Sanalla also called on a European Union naval mission to combat smugglers by seizing their ships in the Mediterranean, said the United Nations should consider sanctioning smugglers, and urged Libya to reform massive subsidies that allow fuel to be sold for as little as 2-3 U.S. cents per liter. "The fuel smugglers and thieves have permeated not only the militias which control much of Libya…

Fuel Logistics Enable U.S. Haiti Relief Effort

The United States Government Defense Energy Support Center (DESC) provides fueling services to Department of Defense, federal civilian and government agencies. In the wake of the Haiti disaster, both the access to and convenience of obtaining necessary fuels for aviation and maritime support efforts became a matter of clear necessity. Beginning on Tuesday evening, January 12 – the night of the initial earthquake – support representatives from Multi Service, the exclusive contractor for the DESC AIR Card and SEA Card Programs, mobilized in support of Defense Logistics and DESC Haiti disaster relief actions to ensure that U.S. support aircrafts and vessels would have access to the fuel required for completing their missions.

Harvey Impacts Domestic Fuel Network

File Image (CREDIT: AdobeStock / (c) leeylutung)

U.S. drivers are starting to feel the effects of Tropical Storm Harvey in their wallets as the country's fuel distribution network starting at the Gulf Coast and stretching across the country is squeezed by floods, refinery closures and dwindling supplies. At least 3.6 million barrels per day (bpd) of refining capacity is offline and more refineries are at risk of shut downs as the storm relentlessly dumps rain on Texas and heads toward Louisiana. The longer refineries remain shut, the more retail prices will increase, traders and analysts said.

Colonial Pipeline Demand at 2-Month Nadir

File Image (CREDIT: AdobeStock / (c) Maksym Yemelyanov)

Demand to ship gasoline on Colonial Pipeline has sunk to a two-month low as Gulf Coast supplies are increasingly being exported or sent to the Midwest rather than to the New York harbor, three sources familiar with the matter said on Wednesday. Colonial Pipeline Co, the largest U.S. fuel network, has consistently allocated space for at least the past two months, meaning demand has exceeded capacity on the pipeline. But it would not ration space on its main gasoline line for the next five-day shipping cycle, known as "Cycle 2," the sources said, which suggests lower demand.

OOCL Partners with Microsoft for AI Project

(File photo: OOCL)

Hong Kong-based shipping company Orient Overseas Container Line Limited (OOCL) has partnered with Microsoft’s research arm to improve network operations and achieve efficiencies within the shipping industry through applied Artificial Intelligence (AI) research.The partnership, between OOCL and Microsoft Research Asia (MSRA), will apply deep learning research to shipping network operations with a projected $10 million annual operational cost saving. The collaboration is also expected to nurture over 200 AI developers over the next 12 months.“With MSRA’s efforts and expertise…

Hapag-Lloyd's First-Ever Call at Prince Rupert

Map: Hapag-Lloyd

Hapag-Lloyd, the market leader in Canada, is expanding its local network. On April 21, the “YM Masculinity” called at a new destination, the Port of Prince Rupert, for the first time. The ship, which operates on the ‘PS8’ service of THE Alliance, was sailing from Asia to North America offering leading transit times and new options for customers. “With the decision to incorporate Prince Rupert into our network, we strengthen and further expand our position in Canada,” explained Uffe Ostergaard, President of Hapag-Lloyd America.

China's Proposal on ISO Sulphur Test

Image: International Bunker Industry Association

A proposal by China to mandate specific ISO test methods for sulphur, building on a proposal made by IBIA to the IMO earlier this year, has won support to be further considered as the IMO works on measures to ensure uniform implementation of the 0.50% sulphur limit. China submitted its proposal to the 72nd session of the IMO’s Marine Environment Protection Committee (MEPC 72) last week, proposing that the test method of sulphur content of fuel oil should be made mandatory to avoid disputes, and that the methods should be ISO 8754:2003 or ISO 14596:2007.

ExxonMobil Reveals First Locations for 2020 Compliant Fuels

Photo: ExxonMobil

ExxonMobil announced it will supply fuels that comply with the International Maritime Organization’s (IMO) 0.5 percent sulfur cap in ports in Northwest Europe, the Mediterranean and Singapore, with additional locations to be announced throughout 2018. “Our new suite of compliant fuels will include residual and distillate grades. We are at a very advanced stage in the development of these fuels, therefore making us well positioned to help customers meet the reduced sulfur limit ahead of the IMO’s 2020 implementation date,” said Luca Volta, Marine Fuels Venture Manager, ExxonMobil.

DNV GL White Paper Assesses Alternative Fuels

Classification society DNV GL has issued a new white paper which assesses a range of alternative fuels and technologies. The white paper “Alternative fuels and technologies for greener shipping” examines the price, availability, regulatory challenges and environmental benefits of alternative fuels and technologies, including LNG, LPG, hydrogen, fuel cells, and hybrid and battery technologies, and comparing them to the use of conventional fuel with scrubbers and new low sulphur alternatives.

2020 Low-sulfur Rule to Trigger Huge Disruptions -IEA

© natagolubnycha / Adobe Stock

The shipping industry and oil refineries are not doing enough to prepare for new rules cutting the amount of sulfur that vessels can emit from 2020, according to the head of the International Energy Agency's (IEA) oil industry and market division.The new rules drastically cut the amount of sulfur that the world's ships can emit, from 3.5 percent currently to just 0.5 percent. Ships that install "scrubbers" that remove sulfur as the fuel is burned can continue to use higher sulfur fuels…

Bunker Supplier Aegean Expands to Hong Kong

Greek-based Aegean Marine Petroleum Network Inchas to offer oil fuel bunker supply service in Hong Kong. New York-listed interntaional bunker supplier Aegean Marine Petroleum Network Inchas announce plans to expand its global network for the physical supply of marine fuel by establishing operations in Hong Kong. Aegean says that it expects to initially deploy one double-hull bunkering tanker to its new service centre in Hong Kong, from Singapore, by 30 September, noting that Hong Kong generates about 5-million tonnes in annual marine fuel sales. The company’s president, Nikolas Tavlarios, said, "We are pleased to once again expand our global network for the physical supply of marine fuel by strengthening our strategic presence in the Far East.

Langh Tech Warns of Sulphur Fuel Carriage Ban Impact

Laura Langh-Lagerlof  (Photo: Langh Tech)

Finland-based exhaust gas cleaning firmLangh Tech has explained how last week’s decision to prohibit the carriage of noncompliant fuel oil will have a material and technical impact on commercial ship operations.In a special panel session during the Sulphur Cap 2020 conference in Amsterdam, Langh Tech Managing Director Laura Langh-Lagerlof told delegates, “If such measures are adopted, any shipowner, operator, master mariner or chief engineer found guilty of transporting noncompliant…

Scrubbers 'No Silver Bullet' for Shipping -Wartsila

© Diego Cardini / Adobe Stock

Global shipping fleet must cut sulfur emissions by 2020. Wartsila received record orders for sulfur scrubbers last year. Shipping industry hopes that so-called sulfur scrubbers are a quick-fix solution to compliance with drastic emissions reduction demanded by 2020 are somewhat misguided, one of the world's biggest manufacturers of the equipment told Reuters. The International Maritime Organization's (IMO) cut to the amount of sulfur the world's fleet can emit will have massive implications for shippers, oil refiners and even crude oil producers.

Rotterdam Could See First STS LNG Refueling in June

A typical STS LNG Transfer (CREDIT: Excelerate)

The port of Rotterdam expects to see its first ship-to-ship (STS) liquefied natural gas (LNG) refuelling operation in June, marking an important milestone in the use of the cleaner burning fuel in shipping. The opening of STS marine refuelling, also known as bunkering, is significant because it makes the cleaner fuel more accessible to shippers, said Cees Boon, senior safety adviser at the Port of Rotterdam. "A lot milestones will follow," said Boon in an email on Tuesday. In June…

LNG as a Fuel Won't Meet Strict Carbon Regulations - analyst

File Image: A recent LNG bunkering operation in progress (CREDIT: Nauticor)

Switching to liquefied natural gas (LNG) to fuel ocean-going vessels may not be enough for shippers to comply with long-term emissions regulations and they will have to find additional ways of reducing emissions, JBC Energy said on Tuesday. The International Maritime Organization (IMO) on Friday reached an agreement to cut carbon dioxide (CO2) emissions by at least 50 percent by 2050 compared with 2008 levels. Shipping accounts for 2.2 percent of world CO2 emissions, according to the IMO, the United Nations agency responsible for regulating the shipping industry.

Clean Arctic Hails IMO Action on HFO

Photo: HFO-Free Arctic

The Clean Arctic Alliance has applauded progress by International Maritime Organization member states towards banning use of the world’s dirtiest fuel – heavy fuel oil – from Arctic shipping. It also called for Member States to make every effort to adopt and rapidly implement a ban by 2021, as proposed by eight IMO Member States and supported by other countries during the meeting. Plans to develop a ban on heavy fuel oil (HFO) from Arctic shipping, along with an assessment of the impact of such a ban…

Lloyd's Register Acquires Fuel Testing Arm

Photo: Lloyd's Register

Lloyd's Register announced it has acquired fuel testing service provider Guardian Marine Testing. The newly formed Lloyd's Register GMT Ltd combines Lloyd’s Register’s technical expertise with Guardian Marine Testing’s fuel testing operation to offer solutions to the challenges associated with the management of fuel quantity and quality. In addition to providing a range of marine testing services, Lloyd's Register GMT will provide access to a network of ship performance consultants striving to help users save fuel, reduce emissions and lower operational costs.

Zero-emission Vessel Future of The Fjords Delivered

Future of The Fjords (Photo: The Fjords)

Norwegian tourist vessel owner and operator The Fjords has taken delivery of an innovative newbuild that sets high marks for environmentally friendly passenger transport.The new 42-meter-long carbon fiber all-electric catamaran, Future of The Fjords, is the first vessel of its kind to offer completely emissions-free transport through the Western Norwegian landscape. Starting in mid-May, the 400-passenger vessel will sail sans emissions as it makes around 700 yearly round trips…

OW Bunker, Petrocosta Collaborate in Latin America

OW Bunker has entered into a partnership with Petrocosta CI SA, a Colombian fuel marketing and transportation company. The agreement will further develop OW Bunker’s physical distribution network of marine fuel in Colombia and support its growth across Latin America. Petrocosta’s responsibilities will include the sourcing, blending, storage and transportation of marine fuel products. OW Bunker will handle the sale and marketing of products through its existing network, as well as provide risk management and other related services. A full range of high quality marine fuels, including low sulfur fuel oil, marine gas oil, and various lubricants will be initially available in Cartagena through the partnership…

Samskip Nor Lines' Service to Call Rotterdam

Photo: ©rainville, Marinetraffic.com

Samskip subsidiary Nor Lines will include calls at Rotterdam for the first time in its weekly multipurpose liner service connecting to Western, Mid and Northern Norway, with effect from June 1st. The service is provided by Nor Lines' state of the art, LNG-fuelled vessels MV Kvitnos and MV Kvitbjorn. These flexible ships will sail in 14-day loops, connecting Rotterdam and Eemshaven with Norwegian ports from Hammerfest in the far north, and taking in calls including Sandnes/Tananger, Bergen, Trondheim, Ålesund, Bodo and Tromso.

ALGAE-X® Now Available in Italy

ALGAE-X® International announces its distribution agreement with Peroni Service Company. Based in Rome, Italy, Peroni Service Company will introduce ALGAE-X® Magnetic Fuel Conditioners and the AFC-705 Fuel Catalyst to its large network of distributors and dealers servicing the marine, power generation, trucking and automotive industries throughout Italy and the northern Mediterranean and Adriatic regions. ALGAE-X® Fuel Conditioners will be installed in the fuel systems for new engine packages and retrofitted into existing engine installations for Marine, Power Generation, Trucking and Transportation, Construction, Mining, Agriculture and other applications.

Maritime Reporter Magazine Cover Apr 2018 - Offshore Energy Annual

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