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BUNKER INDEX :: Price Index, News and Directory Information for the Marine Fuel Industry
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Woodside aims to convert all OSVs to LNG by 2022

Construction of LNG-fuelled Newcastlemax could start in 'later part of 2017, or early 2018'.

Updated on 17 Jul 2017 05:51 GMT

Woodside Energy, Australia's largest independent oil and gas company and a key LNG player, aims to convert all of its offshore supply vessels (OSVs), "where practical", to LNG dual fuel by 2022, according to Woodside chief operations officer Michael Utsler.

As previously reported, Woodside has outlined the creation of a Burrup Peninsula 'hub' in the Pilbara region of Western Australia as a key priority for 2017. The area includes the port of Dampier, which in January witnessed the country's first LNG bunker delivery to the Woodside-chartered platform supply vessel (PSV) Siem Thiima.

Commenting on the company's decision to use the Siem Thiima, Utsler told The West Australian: "We wanted to demonstrate that LNG as a marine fuel was both viable and competitive to the conventional marine fuels in operation in coastal and international waters."

"Its power capabilities are equal to or greater than the existing supply vessels we have and its performance has been exemplary."

Supplying the Siem Thiima with LNG has been EVOL LNG - part of Westfarmers Chemicals, Energy & Fertilisers. In order to fill the Siem Thiima's LNG storage system - which is able to hold up to 85 metric tonnes - to its maximum capacity, the company has been using two road tankers to perform deliveries.

Construction date for LNG-fuelled Newcastlemax

Meanwhile, construction of the first LNG-fuelled Newcastlemax could commence in "the later part of 2017, or early 2018", according to Utsler.

The Newcastlemax design, which is currently in the process of receiving approval in principle (AIP) from DNV GL, forms part of the 'Green Corridor' joint industry project (JIP) to use LNG-fuelled bulkers to transport iron ore and coal along a route between Australia and China.

Participating in the project are BHP, Fortescue, Mitsui O.S.K. Lines (MOL), Rio Tinto, SDARI, U-Ming, Woodside, and DNV GL.

China's Ship Design and Research Institute (SDARI) developed the design of the 210,000-dwt Newcastlemax bulk carrier based on its fuel-efficient Green Dolphin design.

Based on fuel consumption analyses, an LNG fuel tank size of approximately 6,000 cubic metres was found to be optimal, with bunkering in Australia for the round trip to China.

The vessel's two LNG fuel tanks are placed directly above the engine room and submerged a few metres below the main deck, thus offering protection for the fuel tanks, enhancing fire protection, and not reducing the cargo carrying capacity - even for volumetric cargoes such as coal.

Related Links:

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EVOL LNG plans to double delivery capacity

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