Monday, January 20, 2020

International Maritime Organization News

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Low-sulphur Fuel Sales Surge

The final quarter of 2019 marked a massive decline of high-sulphur fuel oil (HSFO) sales, as the industry transitioned into compliance of the International Maritime Organization's (IMO) 2020 Sulphur Cap (IMO 2020). In Singapore, the world’s largest bunkering hub, the bunker sale landscape saw significant change as the sale of high-sulphur fuel oil dropped tremendously in a matter of months. In contrast, the sale of low-sulphur fuels skyrocketed in the final quarter.The first wave…

(Photo: LR)

Partners Developing Ammonia-fueled Tanker

Maritime industry partners striving to advance shipping's decarbonization efforts are working to develop an ammonia-fueled tanker, classification society Lloyd's Register (LR) announced.The joint development project (JDP) involving LR and shipping line MISC Berhad, builder Samsung Heavy Industries (SHI) and engine maker MAN Energy Solutions aims to develop commercially viable deep-sea zero-emissions vessels (ZEVs) that would be operational by 2030, ahead of the International Maritime Organization’s 2050 greenhouse gas (GHG) emissions target.Nick Brown…

FGSS module (Photo: MHI)

Mitsubishi Delivered First LNG FGSS Fueled PCC

Mitsubishi Shipbuilding Co., Ltd. has delivered the first LNG (Liquefied Natural Gas) fuel supply system "FGSS (Fuel Gas Supply System)" for dual fuel marine engines. This system will be installed onboard the first LNG fueled pure car carrier (PCC) built in Japan, which is currently under construction at Shin Kurushima Toyohashi Shipbuilding Co., Ltd.The FGSS is an LNG fuel gas supply system developed by Mitsubishi Shipbuilding utilizing LNG and vaporized gas handling technology developed through its long experience on the construction of LNG carriers…

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$5B Fund Proposed for Emissions R&D

Shipping associations have proposed creating a research fund with $5 billion raised by the industry to develop technology to help the sector meet U.N. targets on cutting emissions.The global shipping fleet, which accounts for 2.2% of the world's CO2 emissions, is under pressure to reduce those emissions and other pollution. About 90% of world trade is transported by sea.International shipping associations called on Wednesday for a mandatory contribution of $2 per tonne on fuel used by ships to raise money for a research fund to help develop cleaner technology for the industry.U.N.

Ed Grimm, (second from left) CEO, Southern Towing Company during a crew visit.

Interview: Ed Grimm, CEO, Southern Towing Company

“In God we trust. All others must have data.”When Ed Grimm took the helm of Southern Towing Company (STC)as President and CEO, he inherited an enviable team of leaders, engineers, mentors, communicators and analysts. Today STC is a clear leader on the inland waterways, pioneering and proving the business and safety value of Z-Drives on the river towboats.How did you come to the top spot at Southern Towing Company?I started in the energy industry at 16 working at an oil storage depot in New York Harbor, working there through high school and putting myself through college.

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Asian Refiners Strive to Finish IMO Preparations

At SK Energy's largest refinery in South Korea, engineers are rushing to complete a new processing unit ahead of schedule as the firm looks to boost sales of low-emission fuels before new marine fuel standards take effect in just one month.In Japan, the country's second-biggest refiner Idemitsu Kosan Co is taking a more cautious stance, increasing capacity for low sulphur fuel oil (LSFO), but also relying on blending to produce IMO 2020 compliant bunker fuel.The different approaches…

Photo: MHI-MME

MHI-MME for World's Largest Dual Fuel Engine

Mitsubishi Heavy Industries Marine Machinery & Equipment Co., Ltd. (MHI-MME) delivered MET Turbochargers for the world's largest two-stroke dual-fuel X-DF engine 12X92DF.Developed by Winterthur Gas & Diesel Ltd. (WinGD) of Switzerland and to be built by CSSC-MES Diesel Co., Ltd. (CMD) of China, these engines are scheduled to be mounted on total nine 23,000 TEU container vessels. A ceremony to unveil the project's first completed unit will be held on December 2 at a CMD, where…

(Photo: MHI-MME)

MET Turbochargers for World's Largest Dual Fuel Engines

Nine 23,000 TEU container vessels to be built in China will be equipped with the world's largest two-stroke dual-fuel X-DF engine 12X92DF developed by Winterthur Gas & Diesel Ltd. (WinGD) of Switzerland and built by CSSC-MES Diesel Co., Ltd. (CMD) of China. Japan's Mitsubishi Heavy Industries Marine Machinery & Equipment Co., Ltd. (MHI-MME) said it is delivering the MET Turbochargers.A ceremony to unveil the project's first completed unit will be held on December 2 at a CMD, where the engine was built.Many MET Turbochargers have been mounted on WinGD's X-DF engines previously…

Source: DNV GL

Maritime 2050: Facing the Decarbonization Challenge

The International Maritime Organization (IMO) greenhouse gas (GHG) strategy signals a true game changing moment for the shipping industry. External pressure was building, but the IMO strategy sets a time line and goals for shipping to tackle one of the great challenges of our time. The GHG strategy gives our latest Maritime Forecast to 2050 its focus, and with this publication we attempt to set out the different strategies and pathways the industry can take to reach these goals.The first conclusion from the report is a sobering one.

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U.S. Scoops up Overseas Fuel Oil in pre-IMO Push

The United States is taking advantage of record-low prices of one of the world's dirtiest fuels by buying record volumes, which it intends to upgrade into cleaner products before new shipping rules take effect, trading and analyst sources say.U.S. trade sources said it recently had become economical to ship fuel oil from countries such as Russia, boosting imports of the product into the United States.This comes even as prices for high-sulphur fuel oil (HSFO) on the U.S. Gulf Coast…

Photo: Viva Energy

Viva Energy Fuels the Future of Shipping

Viva Energy Australia announced the launch of its new very low sulphur fuel oil (VLSFO), developed to meet the International Maritime Organization’s (IMO) new regulations on fuel sulphur content.The new regulations will limit the sulphur content in marine fuels to 0.5% from the current level of 3.5%, in a move to reduce sulphur oxide emissions globally. Vessels worldwide will be required to comply by January 1, 2020.The introduction of the IMO’s new sulphur cap on fuels is one…

File Image: A typical Maersk boxship works cargo alongside a pier. (CREDIT: Maersk)

The Quest to Develop IMO 2020 'bio' Fuels

Top shipping, retail and transport companies are looking to develop an alternative marine fuel which aims to reduce carbon emissions from ships, in another step to push the sector to go green.International shipping accounts for 2.2% of global carbon dioxide emissions, according to the International Maritime Organization (IMO), more than aviation's 2% share.The IMO, a United Nations agency, has said it aims to halve greenhouse gas emissions from 2008 levels by 2050.Investor and activist pressure is prompting companies to look to speed up reducing the industry's carbon footprint.Denmark's A.P.

ExxonMobil Talks With Teekay Ahead of IMO 2020

The International Maritime Organization (IMO) has mandated a global 0.50% cap on the maximum level of sulphur in marine fuel. This new cap represents a significant reduction – down from the current 3.50% limit – and presents the marine industry with compliance challenges.Starting from January 1, 2020, vessel operators will need to use a compliant fuel, or have a scrubber fitted if they wish to continue burning high-sulphur fuel oil. This ruling does not affect Emission Control Areas (ECAs)…

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Floating Storage for IMO 2020 Fuel builds in Asia

Stockpiles of low-sulphur marine fuels held in floating storage around the Singapore trading and pricing hub are steadily growing ahead of a 2020 global deadline for rules that have shaken the global oil refining and shipping industries.A total of 32 ships, mostly supertankers capable of carrying 300,000 tonnes or more of oil, are currently anchored in Malaysian waters near Singapore accumulating stores of IMO-compliant fuels on board, according to data released by intelligence…

EXXON's Rotterdam Refinery (CREDIT: EXXON)

Oil Stockpiling Builds Ahead of IMO 2020 Rules

S-Oil, South Korea's third-largest refiner, said on Wednesday that regional refining margins are expected to improve in the fourth quarter on the back of inventory build-up ahead of implementation of stricter rules on marine fuels in 2020.The refiner, whose top shareholder is Saudi Aramco, said in an earnings statement, strong demand for heating oil was also expected to support refining margins, along with the International Maritime Organization (IMO)'s stricter shipping fuel…

Photo: Total

Total’s First LNG Bunker Vessel Launched

Total said its first large liquefied natural gas (LNG) bunker vessel has been launched, following the signature of a long-term charter contract between Total and Mitsui O.S.K Lines (MOL) in February 2018.After delivery in 2020, the bunker vessel will operate in Northern Europe, where it will supply LNG to commercial vessels, including 300,000 tons per year for CMA CGM’s nine ultra-large newbuild containerships in Europe-Asia trade, for a period of at least 10 years.The LNG bunker…

Photo: IMO

EU/IMO Global Project Drives Energy Efficiency

The GMN global network of maritime technology cooperation centers has completed numerous pilot projects over the past three years, helping to drive forward the changes which are required to reduce GHG emissions from shipping. A global network of maritime technology cooperation centers has completed an impressive array of pilot projects over the past three years, helping to drive forward the changes which are required to reduce GHG emissions from shipping.Five regional Maritime…

AET's Eagle Blane and Eagle Balder were unveiled at a naming ceremony held at the Samsung Heavy Industries (SHI) Geoje Shipyard, South Korea, today
(Photo: AET)

Two LNG Dual-Fuel DP Shuttle Tankers Unveiled

AET, a petroleum tanker owner and operator, has named its newest vessels, two of the world's first LNG Dual-Fuel Dynamic Positioning Shuttle Tankers (DPSTs). The vessels, the cleanest DPSTs ever built, will emit 40-48% less carbon than equivalent vessels built in 2008, meeting the International Maritime Organization's (IMO) target of reducing carbon (CO2) emissions by 40% against 2008 baselines by 2030, and halving CO2 emissions by 2050.These LNG Dual-Fuel DPSTs also emit 85% less SOx…