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Wed 29 Nov 2017, 13:23 GMT

Teekay Offshore orders another two LNG-fuelled shuttle tankers


Purchase commitment follows the company's previous order for two LNG-powered Shuttle Spirit tankers in July.

Teekay Offshore Partners L.P. has announced that it has exercised options with Samsung Heavy Industries Co., Ltd. for the construction of two Suezmax-sized, DP2 shuttle tanker newbuildings for a total cost of approximately $265 million.

The newbuilds are to be constructed based on Teekay Offshore's new Shuttle Spirit design, which incorporates technologies designed to increase fuel efficiency and reduce emissions, including LNG propulsion technology.

The purchase commitment follows the company's previous order for two LNG-powered Shuttle Spirit tankers (with the option for another two) on July 27.

"This is another important milestone for Teekay Offshore's shuttle tanker franchise since it further strengthens our position as the leading provider of CoA shuttle tanker services in the North Sea," commented Ingvild Saether, President and CEO of Teekay Offshore Group Ltd. "What makes me particularly proud is that these newbuildings, as well as the two shuttle tankers ordered in July 2017 to service Statoil’s needs in the North Sea, will set new standards for both fuel consumption and CO2 emissions."

Upon delivery in 2020, the vessels are due to join Teekay Offshore's contract of affreightment (CoA) fleet in the North Sea.

Creole Spirit

Teekay's first M-type, electronically controlled, gas injection (MEGI)-powered liquefied natural gas (LNG) vessel, the Creole Spirit, is due to complete its second year in operation next February.

Commenting on the vessel's fuel efficiency in 2016, Teekay noted: "The two-stroke engine technology provided by MAN Diesel, the MEGI propulsion system, is driving a step change in global LNG vessel efficiency. Whilst the most efficient dual-fuel, diesel-electric (DFDE) propulsion systems have daily consumptions in the region of 125 to 130 tonnes including sea margin, the MEGI vessels have a consumption of 100 tonnes."

Deal   Dual-fuel   Everllence   LNG   Newbuild  
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