Shell is to supply Liquefied Natural Gas (LNG) fuel to SABIC-chartered vessels in Teesport, United Kingdom, utilising a temporary LNG bunkering facility. The new arrangement means SABIC’s vessels will no longer need to bunker the fuel in Zeebrugge, increasing efficiency and reducing costs.
The temporary facility will stay in operation until SABIC completes development of its own jetty at PD Ports, due for completion later this year. The company is one of the world’s largest petrochemicals manufacturers, headquartered in Riyadh, Saudi Arabia. The two LNG-fueled vessels have been chartered from specialist company Anthony Veder, and operate between Teesport (UK) and ports on the European continent.
In May 2015, Shell bunkered the SABIC-chartered vessels Coral Star & Coral Sticho in Teesport, the first bunkering operation for Shell in the UK. LNG fuel is a new alternative for vessel operators, responding to new sulphur and nitrogen oxide emissions regulations, as part of the Emission Control Areas (ECAs).
Compared to other marine fuels, LNG drastically cuts both sulphur oxide (SOx) and nitrogen oxide (NOx) emissions, considerably improving the environmental performance of vessels. With the establishment of a bunkering solution in Teesport, the vessels will sail completely on LNG.
“The establishment of the LNG bunkering solution enables us to run the LEG carriers fully on LNG and supports us in meeting our targets on emission reduction,” says Paul Ruigt, Category Manager for Shipping & Barging at SABIC Supply Chain Chemicals Europe. “The bunkering solution is part of a bigger project to realize a breakthrough in the application of LNG for short sea shipping by starting and developing a dedicated LNG demand and supply chain in the United Kingdom. This pioneering project is co-financed by the European Union.”
In December last year, the EU’s TEN-T Programme announced almost €4 million (USD 4.8 m) support for the pilot construction of the UK’s first liquefied natural gas (LNG) bunker at Teesport near Middlesbrough and the LNG propulsion system of two new ships.
(Source: SABIC and Shell)