45 annual csa meeting, cartagena lng ... - caribbean shipping · dnv gl © 2013 safer, smarter,...

DNV GL © 2013 SAFER, SMARTER, GREENERDNV GL © 2013

01 March 2014

1

45 ANNUAL CSA MEETING, CARTAGENA

Jan Hagen Andersen P.E., Senior Principal Engineer

2015-10-20

LNG Basics and status of LNG fuelled ships

DNV GL © 2013

DNV GLFOUNDED

• DNV in 1864 and GL in 1867 with purpose of Safeguarding Life, Property & the Environment

PEOPLE

• 16,000 employees with 400 offices in 100 countries (almost 600 years of experience)

• Highly qualified surveyors & engineers with extensive knowledge in all disciplines

TECHNOLOGY

• 5% Revenue (MUSD170) devoted to R&I => Leadership in Standards & Innovation

2

PEOPLEEurope,Africa &Middle East

Asia &Oceania

Americas

Maritime Services:o Ship & Offshore Classificationo Advisory Serviceso Verification

DNV GL © 2013

Agenda

3

A

B Safety challenges, risks and hazards with LNG

C Rules and regulations on vessels and bunkering

D Innovation in vessel design and concepts

2 November 2015ECO Insight

The background and drivers for the use of LNG as a marine fuel

E LNG Ready

DNV GL © 2013

The drivers for alternative fuels in shipping are interlinked

4

DRIVERS FOR ALTERNATIVE FUELS

Fuel prices and competiveness

More stringent environmental regulations

Availability of new energy sources

Stakeholder pressure to manage environmental and climate risks

DNV GL © 2013

Possible developments towards 2030 -

5

2016

NOx tier III for new builds in North

America

2015 2018 2030

EEDI phase 4

20252020

Additional ECAs established

Operational requirements on

CO2

HK Recycling convention ratified

Adopted

Possible

Global CO2monitoring, reporting

and verification

0.1% ECA sulphurlimit

EU CO2 monitoring, reporting and verification

BC, noise, bio-fouling and VOC

regulation

EEDI phase 1 EEDI phase 2

EEDI phase 3

0.5% global sulphurcap

EU Recycling Regulation

EU 0.5% sulphurcap

US BW requirements

0.5% global sulphurcap

DNV GL © 2013

More stringent regulations on emissions to air

6

Requirement

2012: SOx < 1,0%2015: SOx < 0,1%

Compliance option

• HFO + scrubber• Distillate fuels• LNG

Existing fleets

Requirement

2016: NOx Tier 3

Compliance option

• Scrubber + SCR• LNG, NOx abatement

Newbuilds

HOW TO COMPLY?

DNV GL © 2013

Current status of LNG fuelled ships

8

DNV GL © 2013

Gas for propulsion- before year 2000

9

CNG as fuel in ships in Russia, Netherlands, US, Canada, Australia

Gas engine installations offshore (FPSOs)

LNG carriers (dual fuel boiler / steam turbine propulsion)

Today about 420 LNG Carriers in operation

DNV GL © 2013

Market Change

10

Photo: Tarbit Shipping / Maritimt Magasin

Courtesy: NVG Global News

Courtesy: Seatrade Global

Courtesy: Fjordline Courtesy: Crowley

Courtesy: Rolls-Royce

DNV GL © 2013

150 confirmed LNG fuelled ship projects + Abt 40 Gas Ready

11

Updated Aug 2015Excluding LNG carriers and inland waterway vessels

0

50

100

150

200

250

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018

Nu

mb

er o

f sh

ips

Year of delivery

Development of LNG fuelled fleet

Ships in operation Ships on order LNG ready ships

DNV GL © 2013

LNG uptake by vessel segment

12

0

0

25

0

0

6

4

1

2

4

17

3

2

5

1

1

2

10

14

4

15

0

0

7

0

9

4

3

6

5

0 5 10 15 20 25 30 35 40

Bulk shipCar carrier

Car/passenger ferryContainer ship

Cruise shipGas carrier

General CargoHSLC

Oil/chemical tankerPatrol vessel

PSVRoPaxRo-Ro

TugSpecialized vessel

In operation On orderUpdated Aug.2015

Excluding LNG carriers and inland waterway vessels

DNV GL © 2013

DNV GL – trusted partner for LNG fuelled projects

13

Updated Aug.2015Excluding LNG carriers and inland waterway vessels

0 10 20 30 40 50 60 70 80

Not decided

KR

NK

CCS

LR

ABS

BV

DNV GL

Cla

ss s

oci

ety

LNG fuelled fleet by class society

In operation

On order

DNV GL © 2013

Agenda

14

A




E LNG Ready



DNV GL © 2013

Contents

Properties of Natural Gas

LNG Hazards and Safety issues

Risk mitigation

15

DNV GL © 201316

Why is natural gas better?

Sulphur free- SOx emissions 100 % reduction

Burned in lean mixture in combustion engine- Low temperature → NOx emissions substantially reduced (~ 90% reduction)- Lean burn engine- efficient engine without “engine knocking” (uncontrolled self-

ignition)- Gas diesel: Also some reduction in NOx

Clean combustion – particles almost eliminated

Methane, CH4 , has less carbon to hydrogen than oils- CO2 emissions reduced compared to oil combustion (~ 20% reduction)

VS

16

DNV GL © 201317

LNG Properties

17

96% methane (CH4) => Cleanest burning fuel Flammable 5 to 15% conc. in air => burns with lazy flame Liquefied at -259 deg F (-162 deg C) => Stored in Cryogenic materials Density 42% of water Expands 600 times Colorless Odorless Non Toxic Non Corrosive

In liquid, not flammable or explosive In gaseous state is not explosive if unconfined Is flammable, but with high auto ignition temp of 595 C (vs 210 C for

diesel) If released will initially settle to bottom and rise as it warms up. Is lighter than air, and vaporise and disperse with prevailing wind Ignited cloud will not burn back to source, unless its concentration is in

flammable range

Facts

DNV GL © 2013

LNG Basics and Risk

18

Main safety challenges using natural gas as fuel

18

Fire/ explosion risk

Low temperature (Cryogenic spill)

Tank high energy content

DNV GL © 2013

LNG Basics and Risk

19


Explosion/ fire risk

Natural gas

Ignition source

Oxygen

19

High auto ignition temperature: around 600ºC (~ 210ºC for diesel)

Ignitable by sparks in mixture with air: 5-15%

DNV GL © 2013

LNG Basics and Risk

Low temperature of liquid gas / cold jets from compressed natural gas– LNG at -163C– Normal steel will become brittle

Human exposure – Frost burns

20


DNV GL © 2013

LNG Basics and Risk

What are potential consequences of an LNG tank failure?

Gas tank large energy content- Protection from ship side and bottom (collision and grounding)- Protection from external fire- Protection from mechanical impact

21


DNV GL © 2013

Risk Mitigation and Safety measures

23

DNV GL © 2013

Risk Mitigation and Safety Measures

24

Principle: Equivalent safety as with diesel fuel

Measures

• Containment and protection

• Design, analysis and material selection

• Segregation of spaces - Area classification

• Removal of ignition sources

• Monitoring, safety systems, ESD

• Ventilation

• Active and passive fire protection

• Training and competence

DNV GL © 2013

Materials for LNG

25

Low temperature; steels may become brittle (break like glass)

Shrinkage when cooling down

1. What is special about materials related to LNG?

DNV GL © 2013

- Fine grained C-Mn Steels- Ni - alloy steels- Invar (36% Ni)- Austenitic (stainless) steels- Aluminium

with good toughness properties at low temperatures

Metallic materials for Low Temperature Service

DNV GL © 2013

Segregation

27

Bunkeringstation

Double pipe

LNG fuel tank

Tank connectionspace

Gasengine

Gasvalveunit

Fuel storagehold space

Air lock

Inherently gas safemachinery space

Air lock

Fuel prep.room

DNV GL © 2013

Arrangement of Engine Room

30

Gas safe machinery space Machinery space consideredgas safe under all conditions

Fully enclosed gas tight doublegas pipes in engine room, all theway to the combustion chamber

Double pipes with extractionventilated 30 air changes and gasdetection or inert gas filled withpressure monitoring (same as IGCcode)

The concept is mandatory forhigh pressure piping (>10 bar),but can also be used with lowpressure installations

DNV GL © 2013

Arrangement of Engine Room

31

ESD protected machineryspaces are considered non-hazardous under normalconditions, but under certainabnormal conditions may havethe potential to becomehazardous

Single wall gas piping

Pressure in gas supply linesshall be less than 10 bar

ESD Protected machinery space

DNV GL © 2013

Agenda

32

A




E LNG Ready



DNV GL © 2013 SAFER, SMARTER, GREENERDNV GL © 2013

Overview on applicable Regulations and Rules

33

DNV GL © 2013

LNG as a fuel for ships - the rules and regulations

2000 2001 first DNV Class rules for gas fuelled ships 2004 NMD proposal to develop the IMO IGF Code 2010 IMO MSC.285(86) issued DNV GL RP-0006: Recommended Practice for the

development and operation of LNG bunker facilities (published Nov 2013)

IMO IGF-Code: International Code of safety for ships using Gases or other low-flashpoint Fuels (adopted by MSC 95 on 12th of June 2015, in force January 2017)

ISO TS 18683, Jan 2015: ISO Guidelines for systems and installations for supply of LNG as fuel to ships

DNV GL rules for LNG bunker ships (June 2015) DNV GL class notation on GAS READY(June 2015)

August 2015:In operation: 65 ships (2000/2015)Under construction: 79 ships (2015/2018)

2015

DNV GL © 2013

More real life examples supporting innovation [2/2]

38

Crowley (Con-Ro vessels)

Crowley Maritime is building two con-ro vessel (2400 TEU + abt. 400 vehicles) at VT Halter with US flag and to DNV class. The ships will enter service in 2017 and engage in Jones Act trade between Jacksonville, FL and Puerto Rico. The vessels have a single low speed dual fuel engine.

DNV GL © 2013

The innovative Oshima solution – vessel design

Key challenges:

Keep the same cargo capacity

Limited space on deck

Accommodate up to 3,000m3 of LNG

Solution:

Unique U-shaped superstructure

LNG tank protected by a steel cover forming a box which is part of the hull structure and provides additional safety

40

DNV GL © 2013

The number of LNG bunker vessels is growing rapidly –bunkering by ship seems to be a preferred solution

LNG bunker vessel overview NumberLNG bunker vessels in operation 1Existing small scale LNG carriers capable of performing bunkering

2

LNG bunker vessels on order 4LNG bunker barges on order (US) 1

44

DNV GL © 2013

There are four steps to become LNG ready

48

LNG READY SERVICE

2. CONCEPT REVIEW Review of engine and tank type selection

Concept Design Review

Rules and regulations

Fit for purpose and best practice

Concept HAZID

1. FUEL DECISION SUPPORT Operational profile

Concept design (tank size & location)

Financial assessment (CAPEX, OPEX,

pay-back time and sensitivity analysis)

Fuel availability

3. APPROVAL IN PRINCIPLE For novel designs

For LNG Ready designs

4. RISK ASSESSMENT Assessment of safety level of LNG fuel

system (mandatory by IMO)

Basis for investment decision and outline

specification

Basis for yard/designer negotiations

Basis for contract

Basis for acceptance by administration

Decision Points. Proceed with the LNG option or not.

CLASS APPROVAL (after vessel is ‘LNG Ready’)

DNV GL © 2013

DNV GL believe that LNG will become a major fuel

49

Partnerships and close cooperation is vital for commercial projects to succeed in this early phase

The (commercial) risk of choosing LNG is still perceived high – but what is the risk of not considering LNG as a fuel?

LNG as a fuel must be seriously considered for all new builds

LNG as a fuel is now a proven and available solution and potential to be the most relevant fuel for environmental sustainable shipping

The barriers to using LNG as fuel are being dismantled.

45 annual csa meeting, cartagena lng ... - caribbean shipping · dnv gl © 2013 safer, smarter,...

Documents