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May 2021
Double your impact
Reduce your footprint
with Durasorb™ Cryo-HRU
CLEANER SEAS CO O L E R BY DESIGN® Chart’s clean energy solutions reduce emissions on the water and in ports, providing a low carbon, sustainable marine environment for us all. • Hydrogen & LNG fuel gas supply systems (FGSS) • Liquid hydrogen fuel production & logistics systems • Small-scale LNG bunker facilities • Cryogenic Carbon Capture™ • Clean port power www.ChartIndustries.com/Marine Marine@ChartIndustries.com
ISSN 1747-1826
CONTENTS
03 Comment 30 Coming out of the Ice Age
MAY 2021
Margaret Greene (USA), William Dolan (USA), Justin Pan (USA), Al Maglio
04 LNG news (USA), Tobias Eckardt (Germany), BASF, and Harold Boerrigter (Netherlands),
Marco Smaling (Netherlands), and Imelda Rusli (UK), Shell, detail a dual-
purpose adsorbent technology for combined heavy hydrocarbon and water
removal from lean feed gas in LNG to prevent cold box freezing.
08 A safari tour of LNG
Siva Prasad and Pranav Joshi, Rystad Energy, India, explore the
current LNG production in Africa and how countries may consider
36 Making moves in the Med
Henri Beaussant and Arnaud Lamartine, SURFEO, France, discuss the small
new developments in the future to balance exports with domestic scale LNG markets in the Mediterranean area, looking at recent activity and
demand. future developments.
42 A Sub-Saharan first
Dieter Hilmes, TGE Marine, Germany, describes how the company
supported the delivery of Gasfin’s FRU for the first LNG import terminal in
Sub-Saharan Africa.
47 Venturing north
Saša Cook, Cryopeak LNG Solutions Corporation, Canada, discusses how to
provide LNG to remote communities in Northern Canada.
51 Fortified for growth
Andreas Glud, Hempel A/S, Denmark, outlines how the LNG carrier fleet can
be optimised to trade flexibly, with a focus on hull biofouling.
08 53 Setting high standards
Chongmin Kim, Senior Surveyor and Researcher, Korean Register, South
Korea, discusses the research, standards, and achievements that are at the
forefront of the LNG industry.
14 Clean travels 56 15 facts on... Africa
Denise Kurtulus, Head of Marine Business, Rolls-Royce Power
Systems, Germany, discusses how the introduction of a new gas
engine technology can help combat emissions across a variety
of vessels.
20 LNG: the jack off all trades
Ann Nallo, BHE GT&S, USA, looks at how ow providing diverse fuel
cross the US can help
solutions for a variety of customers across
expand business in a rapidly changing LNG sector.
ON THIS MONTH’S CO
COVER
25 Green is the new
w black
Frans Launonen, Vahterus, Finland, highlights
hlights the role
of LNG in decarbonisation and how to maximise BASF has developed Durasorb Cryo-HRU,
BASF
B Cry a
ptimal heat
savings on skid building by selecting optimal new,
n w, step-change technology that performs
ew
exchangers. the dual purpose of removing heavy
the
th hea
hydrocarbons,
hyd
h ydrocarbons, including BTX, and water to
cryogenic specifications in a single unit,
cr
tthuss reducing the footprint of the LNG
thu
pretreatment train. Utilising this technology
te
feed gas
provides flexibility for changing fe
operations by
composition and reliable operation
reducing the concentration of com
components
going into the cold box that cause freezing
and unplanned downtime.
catalysts.basf.com/durasorb
Copyright
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LYDIA WOELLWARTH
EDITOR
COMMENT
S
ince the recent publication of the World Bank’s in the decarbonisation of the maritime transport sector.”
report ‘The Role of LNG in the Transition Toward Alternative fuels such as hydrogen or ammonia are
Low- and Zero-Carbon Shipping’, there has been considered the ultimate goal in the future, as they are
much dispute in the industry regarding the report’s zero-carbon bunker fuels, and the concern is that all the
findings. LNG is constantly pitched as the greenest fossil fuel infrastructure and technology developed for LNG as a
and has been acknowledged as an ideal transitional fuel for transitional fuel cannot actually be utilised by the likes of
the industry’s journey to decarbonisation. However, read the hydrogen and ammonia – they are technically incompatible.
94-page report and it appears that LNG’s use as a bunker To approach it from this angle you can understand
fuel should be avoided and it will be costlier to use LNG as that it is risky to spend millions of dollars on infrastructure
a transition fuel in comparison with immediately introducing that, at some unknown point in the near or far future, will
zero-carbon fuels. be redundant when zero-carbon bunker fuels are the sole
I cannot say I am alone in my confusion regarding the fuel of the industry. However, the saying “you must learn to
report’s findings. Take Total, for example, which only this week walk before you can run” seems valid here. Whilst the goal
realised France’s first ship-to-containership LNG bunkering of a carbon neutral industry is the ultimate objective, it
and reiterated the positive momentum LNG as a marine fuel cannot just be a case of jumping from conventional heavy
has gained in the global shipping industry, and how it lays fuel oil straight to the likes of hydrogen – this simply is not
the foundation for introducing bio-LNG at a stage in the feasible. SEA-LNG reinforces this logic, stating how to wait
future. Similarly, in a recent speech at the Singapore Maritime for unproven alternatives will only worsen the current GHG
Technology Conference, Grahaeme Henderson – Shell’s Head problems.
of Shipping and Maritime – stated how the industry cannot sit Just looking at news from the industry in the last week,
idle until alternative fuels are available, because LNG is the there have been countless successful bunkering updates.
choice today for minimising cumulative emissions from the Titan LNG has developed a new LNG bunkering barge to
shipping sector. supply English Channel regions with LNG; Puget LNG is to
Not trying to sound like a broken record, but the benefits supply LNG marine fuel to GAC’s customers in the Pacific
of LNG as a marine fuel are well recognised. LNG emits low Northwest; Bureau Veritas has awarded classification to
quantities of sulfur oxides, nitrogen oxides, and particulate Norway’s first LNG bunkering vessel; to name a few samples
matter, and in fact using it can cut greenhouse gas emissions from recent days.
(GHG) by up to 23%. In comparison with the traditional To conclude with the remarks of Shell’s Grahaeme
oil-derived bunker fuels used in the shipping industry, LNG’s Henderson, in the shipping sector today, LNG is the lowest
air quality improvements are “undeniable” reports the World emission fuel available at scale – there is no fuel that can
Bank, yet still it considers the fuel to only play “a limited role rival this ability.
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LNGNEWS Norway
Malaysia Equinor announces revised
PETRONAS strengthens Hammerfest LNG start-up
Malaysia’s position as LNG date
ISO tank hub
B ased on extensive analyses and mapping of damages, Equinor
has updated the schedule for repair and start-up of the LNG
P ETRONAS LNG Ltd has commenced the export of LNG to
China in ISO tanks from its filling facility in Pengerang,
Johor, Malaysia. The maiden shipment of LNG ISO tanks was
plant on Melkøya after the fire on 28 September 2020. Due to
the comprehensive scope of work and COVID-19 restrictions, the
revised estimated start-up date is set to 31 March 2022.
safely delivered to Shanghai from Pasir Gudang Port of Johor Even though the fire was limited to the air intake of one of
on 23 April 2021, following a spot contract signed between the plant’s five big gas turbines, the fire and firefighting caused
PETRONAS and Tiger Gas (Hong Kong) Ltd, an affiliate of substantial damage to the plant. “We have worked systematically
Tiger Clean Energy Limited (TCEL). on getting an overview of the damages and scope of work to bring
“This inaugural LNG ISO tank export from Peninsular the plant’s technical condition back to the required standard. There
Malaysia is an innovative solution that enables LNG to is still some uncertainty related to the scope of work, however
reach off-grid customers, not only domestically, but also our best start-up estimate is 31 March 2022, based on current
internationally, extending the reach of our Virtual Pipeline knowledge. Safety is our top priority, and we will not start the
System offering that we have started since late last year,” plant before it can be done safely,” said Grete B. Haaland, Equinor’s
said PETRONAS Vice President of LNG Marketing and Trading, Senior Vice President for Onshore Plants.
Shamsairi M Ibrahim. Operational measures to handle the COVID-19 situation
In 2020, PETRONAS and TCEL signed a long-term Sales have affected the follow-up progress after the fire. The project
and Purchase Agreement for the supply of LNG to TCEL’s LNG has already introduced measures that allow fewer workers on
ISO tank filling facility in Bintulu, Sarawak. As part of this site at the same time than previously expected, but there is still
agreement, PETRONAS’ LNG will be distributed to China using uncertainty surrounding how the COVID-19 development will
TCEL’s ISO tanks, with the first shipment sailed from Bintulu impact the project progress.
Port to the Port of Long Kou on 25 March 2021. More than 70 000 unique equipment components were
Commenting on the deal, Shamsairi said, “This is also a potentially exposed to seawater during the firefighting. The
clear testament of PETRONAS’ commitment as a progressive components have been checked and a repair plan for securing
energy solutions partner in reducing the carbon footprint of the plant’s integrity has been prepared. The most time-consuming
our customers’ existing and future operations.” activity appears to be the replacement of electric cables connected
With the operation of PETRONAS’ ISO tank filling facility to the power station where the fire occurred. Inspections show
at Pengerang, Malaysia is now poised to strengthen its that more than 180bkm of cable must be replaced. New cables
position as an LNG ISO tank export hub, with filling facilities have been ordered and will arrive at Melkøya during the spring/
in West and East Malaysia that provide customers with an summer. Other equipment components are being procured for
alternative and reliable LNG solution. delivery in the summer/autumn of 2021.
Mozambique
Total declares force majeure on Mozambique LNG project
C onsidering the evolution of the security situation in the north
of the Cabo Delgado province in Mozambique, Total confirms
the withdrawal of all Mozambique LNG project personnel from
partners will enable the restoration of security and stability in
Cabo Delgado province in a sustained manner.
Total E&P Mozambique Area 1 Limitada, a subsidiary of Total
the Afungi site. This situation leads Total, as operator of the SE, operates Mozambique LNG with a 26.5% interest alongside
Mozambique LNG project, to declare force majeure. ENH Rovuma Área Um, S.A. (15%), Mitsui E&P Mozambique Area1
Total expresses its solidarity with the government and people Ltd (20%), ONGC Videsh Rovuma Ltd (10%), Beas Rovuma Energy
of Mozambique and wishes that the actions carried out by the Mozambique Ltd (10%), BPRL Ventures Mozambique B.V. (10%), and
government of Mozambique and its regional and international PTTEP Mozambique Area 1 Ltd (8.5%).
4 May 2021
LNGNEWS
USA
Croatia
NextDecade and Project
Høglund supplies system Canary announce
to LNG bunkering vessel greenhouse gas
S ystems integration specialist Høglund Marine
Solutions has supplied systems and support during
measurement project
N
the commissioning of what is now Norway’s first LNG extDecade Corp. and Project Canary have announced
bunkering unit, following successful gas and sea trials. the formation of a joint pilot project for monitoring,
Once a conventional bunkering tanker known as Oslo reporting, and independent third-party measurement and
Tank, the Bergen Tankers-owned vessel has been renamed certification of the greenhouse gas (GHG) intensity of
Bergen LNG and will play a major role in setting the LNG to be sold from NextDecade’s Rio Grande LNG export
standard and establishing the infrastructure for Norway’s facility in the Port of Brownsville, Texas, US.
LNG shipping sector. Project Canary is focused on delivering independent,
Høglund was responsible for the supply of the LNG gas trusted, continuous emissions monitoring data and related
handling system and the vessel’s Integrated Automation technologies to assess environmental performance across
System (IAS), which includes an essential gas control the energy value chain. In its pilot project with NextDecade,
and safety system. Høglund’s participation in the project the first in the global LNG industry, Project Canary will
involved the supply of an LNG cargo system incorporating deploy its TrustWell™ certification process to confirm each
a single Shell Type C tank with a capacity of 850 m3 element of the natural gas value chain – from the wellhead
and a bunkering rate of 500 m3/h. Other hardware and to the ship at Rio Grande LNG – has achieved low emissions
automation solutions that were provided by Høglund to targets and utilised the highest standards of environmental
ensure safe and efficient vessel operations include cargo performance and social responsibility. This partnership will
pumps, bunker manifolds, custody transfer system, a ship- enable the development of a responsibly sourced natural
to-ship transfer system, a cargo control and emergency gas supply chain from leading producers in the Permian
shutdown (ESD) system, and ship-to-shore/ship-to-ship link Basin and Eagle Ford Shale, and independent, third-party
systems to create the automation system. certification of the GHG intensity of LNG.
As part of this ambitious project, Høglund worked
closely with its partners HB Hunte Engineering – which
provided a 3D detail design of the gas piping system – and
LNG cargo tank manufacturer Gas & Heat Spa. Westcon
Shipyards, which was contracted by Bergen Tankers, carried
THE LNG
out the conversion of the vessel, including the installation
of the LNG cargo system supplied by Høglund.
ROUNDUP
Closer to the completion of the project, Høglund’s team
of highly skilled field service engineering professionals X Avenir LNG completes bunkering
carried out a series of rigorous sea and gas trials of the between sister ships
installed equipment, collaborating with project partners
Gasnor and classification society Bureau Veritas. The trials
X Contract signed for GASPOOL and
lasted for four consecutive days with minimal downtime. NetConnect merger
After having been given the green light on both its
mechanical and control equipment system, as well as its
X SeaspanLNG secures AiP for LNG
flowmeters, the vessel is now in operation. bunker vessel
Ingemar Presthus, Technical Manager at Bergen
Tankers, added: “It is fantastic to count on a partner like Follow us on LinkedIn to read more about the articles
Høglund Marine Solutions for a project as complex as the www.linkedin.com/showcase/lngindustry
Bergen LNG conversion, which will pave the way for LNG
shipping’s infrastructure in Norway.”
6 May 2021
LNGNEWS
Croatia North America
Krk terminal receives first AMM licenses LNG
MET Croatia LNG delivery transportation technology
C roatia has received another cargo of LNG at the Krk
terminal in the northern Adriatic Sea, the first LNG
delivery of MET Croatia. The 145 000 m3 LNG vessel
A rgent Marine Management has licensed its patented
technology for the transport by marine vessel of LNG in
ISO containers.
Methane Nile Eagle, which loaded at the Zeebrugge port The license is granted to an affiliate of New Fortress
in Belgium, arrived on 26 April. Energy for loading, transporting, and delivering LNG filled
This latest delivery is Croatia’s fifth cargo imported ISO containers in locations within the Caribbean and the
to date, and is the first one originating from an EU port. territorial waters of the US, Mexico, and Canada.
“Since the terminal started in January 2021, it has Argent Marine’s patented technology involves the use of
been a rather turbulent beginning of operations, with a proprietary manifold and control system on board a marine
pricing anomalies and arbitrary situations on the global vessel that interconnects multiple ISO containers allowing
scale and changes to the delivery schedule locally at the the filling of all containers on-board in one operation, from
terminal. However, since March the arrival of vessels to a land-based or floating LNG source such as a liquefaction
the terminal has stabilised,” said Mario Matkovic, CEO of facility or LNG storage tank.
MET Croatia Energy Trade. The manifold also provides control of boil-off in
Croatian gas supplier MET Croatia Energy Trade, part individual ISO containers while on-board the vessel,
of Swiss-based energy company MET Group, booked facilitating long distance delivery. Once loaded, individual
an overall capacity of 2.67 billion m3 at the Krk LNG ISO containers can be transported by vessel to multiple
terminal for a period of seven years. ports and then offloaded onto trucks for further land-based
This is MET’s first delivery to Krk, itself. MET also distribution of small scale LNG fuel.
supplied the commissioning cargo to the FSRU LNG The handling and transport system facilitates the
Croatia in Sagunto, Spain, in November 2020. distribution by vessel of small quantities of LNG to multiple
According to Matkovic, an additional two LNG consumption locations, minimising otherwise extensive
cargoes are due to be delivered by MET Croatia to the handling costs and thereby improving overall transportation
Krk terminal before the end of October 2021. economics for small scale LNG distribution. For instance, the
Croatia’s first LNG terminal has the capacity to send system will facilitate distribution of LNG from water-based
up to 2.6 billion m3/yr of natural gas into the national US or other LNG facilities to the many small island-based
grid. The LNG terminal project cost €233 million, with power production facilities throughout the Caribbean,
the EU providing €101 million. Mediterranean, or other archipelagos.
07 - 08 June 2021 23 - 25 August 2021 13 - 16 September 2021
The 7th International LNG Canada Gas & LNG Exhibition Gastech Exhibition &
Congress & Conference 2021 Conference 2021
Madrid, Spain Vancouver, Canada Singapore
www.lngcongress.com www.canadagaslng.com www.gastechevent.com
21 - 23 September 2021 15 - 18 November 2021 05 - 09 December 2021
Global Energy Show ADIPEC 23rd World Petroleum Congress
Alberta, Canada Abu Dhabi, UAE Houston, USA
www.globalenergyshow.com www.adipec.com www.23wpchouston.com
May 2021 7
8
Siva Prasad and Pranav Joshi, Rystad Energy, India, explore
the current LNG production in Africa and how countries may
consider new developments in the future to balance exports
with domestic demand.
he year 2021 is still reeling and recovering from the impact that COVID-19 created in the past 12 months. OPEC - OPEC+ production
quotas are still in place and global oil demand has not yet returned to pre-COVID levels as many countries globally are still under
lockdown. In early March 2021, Brent surged past US$70/bbl as a result of continued efforts from the cartel and partners, and
also the recent attacks on Saudi Arabian facilities, and continued to hover around that mark during ensuing weeks. A predominantly oil
producing continent with several economies relying heavily on their hydrocarbon revenues, the African oil and gas industry has been
one of the worst hit during this market
downturn. The impact has resulted in
many projects going back to the drawing
board and some even taken off the
drawing board. However, African gas
supplies, largely driven by currently
producing fields, are expected to hover
around the 250b-b275bbillion m3 mark for
2020 - 2025.
Having first discovered oil in the
early 20th century, Africa has mainly been
a crude oil producing continent. However,
the tables have been turning recently,
with natural gas accounting for
more than 75% of the
9hydrocarbons discovered in Africa in the last 10 years. The gas continent’s overall natural gas output. Algeria, the biggest gas
production share also has improved from approximately 22% in producer in Africa, saw a marginal decline in gas production in
the early 2000s to over 35% in 2020. Pre-COVID, Africa was 2020. While gas production dropped, domestic demand managed
poised to reach production levels of 300bbillion m3 by 2025 and to continue growing as the country had lower pipeline and LNG
325 billion m3 by 2030. However, future developments took a hit, exports. Italy and Spain, the major importers of Algerian pipeline
and the latest forecast puts 2025 levels at approximately gas, had reduced their Algerian pipeline imports as COVID-19
250bbillion m3 and 295 billion m3 by 2030. hit their domestic demand. Although Italy recovered by 2H20
and eventually imported 15% more volume compared to 2019,
Africa’s main natural gas producers Spain saw a 20% y/y import drop. Algeria is still heavily reliant
Egypt, Algeria, and Nigeria were the top three natural gas on mature legacy fields for gas production and has seen little
producers in the continent for the year 2020, and their sanctioning activity due to lack of any major recent discoveries.
cumulative production represented more than 80% of the The growing domestic consumption is expected to make it
difficult for the country to sustain pipeline and LNG exports,
which are quite important for foreign currency revenue. Rystad
Energy estimates Algeria’s gas exports will be at 28bbillion m3 by
2025, 30% lower than 2020 levels of 40bbillion m3. The country
is also finalising a new hydrocarbon law, through which it hopes
to attract more IOCs. Sonatrach has already signed several
Memorandum of Understandings (MoUs) with IOCs such as Eni,
OMV, ExxonMobil, and more, to assess exploration opportunities.
Egypt, the second largest gas producer in Africa, is on its way
to ramp up its gas production as major projects such as BP’s West
Nile Delta and Eni’s Zohr project have started to add volumes.
Egypt’s gas production suffered last year as LNG exports dropped
due to low global LNG prices and the domestic gas consumption
was also reduced. The country faced a supply surplus due to this
dual effect and had to cap its production. Zohr, which has the
Figure 1. Global natural gas production split by continent.
capacity to produce 91bmillionbm3/d , only produced an average
of 59 million m3/d in 2020. While the domestic and LNG demand
is expected to recover in 2021, Zohr is still expected to produce
approximately 79 million m3/d. Rystad Energy estimates Egypt’s
gas production to peak in 2023 and the country’s export
potential is expected to be short lived. As a result, it is expected
that the country will face a supply deficit in the second half of
this decade. The country has been conducting several licensing
rounds, both onshore and offshore, in the hope of discovering
more volumes. Any commercial discoveries in offshore frontier
regions would help reduce the gas deficit and possible future
dependence on gas imports. A discovery similar to Zohr could
help the country retain its net gas exporter status.
The two North African nations are followed by Nigeria, which
is the third largest gas producer in Africa. The country currently
has 22 million tpy (approximately 30 billion m3) LNG export
Figure 2. Africa gas production split by countries. capacity and 2020 exports were approximately 27.3bbillion m3.
The historical domestic demand also puts the 2020 domestic
demand at approximately 27 billion m3. Rystad Energy estimates
put 2020 Nigeria gas production including LPG volumes at
60bbillion m3. With the addition of 2019 approved NLNG Train 7
which is expected to start-up by the end of 2024, Nigeria’s export
capacity is set to increase to approximately 40 billion m3. Nigeria
is heavily relying on reducing flaring and monetising these
volumes to support the increasing LNG export capacity. The
country is also investing in improving its pipeline infrastructure
to export gas from the hydrocarbon rich Niger Delta to domestic
markets in Edo and other northern states. The recently
commissioned Obiafu - Obrikom - Oben (OB3) pipeline along with
the Escravos - Lagos Pipeline System (ELPS) represents phase
one of the Trans-Nigerian Gas Pipeline (TNGP) project, which is
being developed as part of Nigeria’s Gas Master Plan to utilise
the country’s gas resources for power generation and domestic
Figure 3. Top natural gas projects in the top three producing
countries in Africa – Algeria, Egypt, and Nigeria. consumption. Many upcoming developments including Assa
North - Ohaji South (ANOS), Ima, HA, HI-1, and more, along with
10 May 2021Dedicated to the extreme ‘Where safety meets efficiency’ Practice pays off. All the time spent in simulators, all the safety drills, the expert training on board; it’s well worth the effort. Because the more we put in, the more we get out. Working with a highly skilled and seasoned crew, and relying on first-class, purpose-built support fleets, we provide safe and reliable marine services to LNG terminal operations anywhere in the world. When push comes to shove, we are ready to do the job. No matter how challenging the conditions or how remote the location, we rise to the occasion. Discover the possibilities at smitlamnalco.com
many other currently undeveloped projects have the potential to construction activities due to COVID-19. Meanwhile ExxonMobil’s
add close to 140 billion m3 of gas production in the period Rovuma LNG project in Area 4 has also faced many delays in
2021b- 2030. Accelerated development of these undeveloped getting sanctioned due to the partners’ goal to optimise project
projects will help Nigeria achieve the demand/supply balance costs, and further delays now due to COVID-19. The project
that it requires to support both its domestic demand and LNG sanctioning was delayed to 2020 from the original expectations
export capacity. of 2019, and Rystad Energy’s latest estimate is for the project
Libya and West African nations, Angola and Equatorial Guinea, to be sanctioned in 2022. With all the three projects combined,
come next in terms of the largest 2020 natural gas producers in Mozambique will be adding 31.5 million tpy of LNG. However,
Africa. Together, these countries add up to 26bbillionbm3 of gas further expansion projects could also be planned in both Area 1
supply with approximately 40% exported as LNG from the Soyo and Area 4 to tap additional gas resources.
LNG Plant in Angola and Punta Europa LNG Plant in Equatorial Tanzania, on the other hand, has struggled to even finalise
Guinea. Further small volumes from Tunisia, Ghana, Cameroon, the fiscal terms after several negotiation talks with the IOCs
Congo, and Cote d’Ivoire put the overall cumulative continent-level failed to yield any agreement. Moreover, after Equinor recently
2020 gas supply at approximately 247bbillion m3. wrote off US$982 million related to the Tanzania LNG project
from its books, it indicates the project will not be sanctioned
Africa’s gas future anytime soon. Equinor reported that the breakeven of this project
In the future, Africa has the potential to further increase its gas was higher than that of other unsanctioned projects in its
production, mainly from projects located along the continent’s portfolio, which are planned for sanctioning in this decade. These
east coast. Some of the largest East African projects are in issues suggest the Tanzania LNG project might only be
Mozambique and Tanzania, which have ample volume of sanctioned in the next decade. Rystad Energy estimates a
discovered resources mostly being tapped for LNG exports. 20bmillion tpy development to be one of the possible
Mozambique is set to ship its first LNG exports from its Coral development scenarios to tap gas resources in Block 1, 2, and 4,
floating LNG (FLNG) project in 2022. The 3.4 million tpy project however proactive discussions between the government and
was the first LNG project sanctioned in Mozambique in 2017. IOCs will be quite important to kick things off.
In 2019, the 12.8 million tpy Mozambique LNG project in The maritime border between Senegal and Mauritania was
Area 1 was also sanctioned, where Total acquired Anadarko’s on track to transition from an African exploration hotspot to an
interest from Occidental Petroleum, after the latter acquired LNG export hub with annual capacity of up to 30bmillionbtpy in
Anadarko. Rystad Energy estimates the project’s start-up to the pre-COVID era, and hence seemed like an impact area for
slip to 2025 from the originally planned 2024 in light of the future African gas supplies. However, a growing Islamic
growing insurgency in the country and also the slow progress in insurgency in neighbouring Mali started raising concerns about
the security of the project and the project became a casualty of
the pandemic in the following months. With an estimated
recoverable gas reserve base of 1130 billion m3 at a conservative
estimate, the Greater Tortue Ahmeyim (GTA), Bir Allah, and
Yakaarb- Teranga projects were planned to be developed as
10bmillionbtpy LNG hubs each. However, the GTA FLNG is looking
at possible delays and the 7.5 million tpy GTA LNG hub has been
scaled down to 2.5bmillionbtpy according to the latest revised
plan from the partners. These revisions also mean further delays
to the other developments. Rystad Energy previously estimated
2025 and 2030 output levels from the region at 4.85 million tpy
and 16.75 million tpy respectively before the pandemic hit. The
upstream capital expenditure and production cuts along with
strategy revisions from BP and Kosmos Energy are expected to
Figure 4. 2020 - 2021 LNG exports from Africa. result in 2025 and 2030 production to drop down to
2.85bmillionbtpy and 6 million tpy respectively.
Domestic demand putting pressure
on LNG exports
The two largest gas demand centres in North Africa are Algeria
and Egypt, and both countries are expected to see an increase in
demand in the coming years. Algeria’s domestic gas demand is
estimated to have reached 44 billion m3 last year and is expected
to reach close to 50 billion m3 by 2025, but more volumes need
to be discovered to meet growing domestic consumption and
sustain exports. Algeria’s increasing demand is putting pressure
on the country’s capability to sustain LNG and pipeline exports
in the medium-term. The country has signed several MoUs with
various IOCs such as ExxonMobil, OMV, etc., to explore under the
new Hydrocarbon Law, which is expected to be finalised by 1Q21.
Figure 5. Domestic demand in the top three producing
countries. Egyptian gas demand witnessed strong growth between 2015
and 2019 fuelled by the increase in domestic production, mainly
12 May 2021from the Zhor field. However, demand took a hit in 2020 due to consumption from this sector could be curtailed by available
the economic effects of COVID-19; consumption is estimated to supplies. The average total domestic consumption over the years
have dropped 2% last year to 60 billion m3. Rystad Energy is 2014 - 2019 was approximately 24 billion m3. Based on the trend,
expecting the country’s demand to recover and reach close to 2020 domestic demand is estimated to have reached
70bbillion m3 in 2025, and most of this growth is expected to be approximately 25bbillionbm3 and the tally expected to surpass
driven by the power sector. But after 2025, demand growth could 40bbillion m3 by the end of the decade. The country is banking on
slow down as production is expected to start declining. As a result infrastructure development, reduction of flaring and increased
of the decline in production, Egypt’s LNG export from domestic gas monetisation, and development of currently pre-Final
resources could stop again in 2024 as the country could Investment Decision gas projects in Nigeria to meet this demand
experience a supply deficit. Egypt has actively been conducting along with fulfilling its LNG export aspirations.
offshore licensing rounds in hope to discover more gas volumes.
Alternatively, supplies from Israel which are forecasted to continue Conclusion
growing, could help meet growing demand and could even help Rystad Energy analysis suggests that Africa has a great natural
free some volumes to feed into the liquefaction plants. gas reserve potential, but project delays are going to be the
The Nigerian domestic gas sector is classified mainly into the main hindrance to raising gas production levels in the future to
following three sectors as contained in the Nigerian Gas Master beyond current estimates. The post-pandemic upstream revisions
Plan (NGMP): Power (independent power plants); commercial from operators have resulted in many projects going back to the
(industries such as cement plants utilising gas as fuel); and drawing board and some of them undergoing major revisions.
gas-based industry (industries like fertilizer plants utilising gas as While gas supply has been hit hard by these delays, any growth
feedstock). is expected from cutting down these delays, reducing flaring,
Approximately 83% of energy used to generate power in and carrying out further exploration. The demand is mainly
Nigeria is currently derived from gas. Presently, 25 gas-fired plants expected to be met by improving the existing infrastructure and
with a combined installed capacity of approximately 11b500 MW investing in developing new infrastructure. While the current
exist in the country. The total gas requirement to run all the plants supply/demand forecast suggests tight balance, the upside in
at full capacity is approximately 85bmillionbm3/d. Between 2018 major producing countries like Nigeria and exploration success
and 2037, it is expected that 55badditional thermal plants will in North Africa can easily outrun the demand and also cater to
come on stream as per the Nigeria Transmission Masterplan. These intra-African exports.
plants will generate an additional combined power of 19 000 MW
and will require gas volumes of approximately 141 million m3/d Note
(or 51bbillionbm3/yr) to generate the power equivalent. Clearly, Data for all figures has been sourced from Rystad Energy
Nigeria’s gas power generation has large potential but actual gas GasMarketCube.
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Figure 1. The Dutch Reederei Doeksen has selected
the new mtu gas engines to operate their vessels in an
environmentally friendly way on the Wadden Sea, which has
been designated as a special area of conservation.
Denise Kurtulus, Head of Marine Business,
Rolls-Royce Power Systems, Germany, discusses
how the introduction of a new gas engine
technology can help combat emissions across a
variety of vessels.
R
olls-Royce first unveiled its mtu gas engines for without exhaust gas aftertreatment. It emits no sulfur
marine propulsion in September 2016 at the SMM oxides and particulate mass is below the detection level.
shipping exhibition in Hamburg, Germany. The new The first pre-series engines of the 16-cylinder version
propulsion system for tugs, ferries, pushboats, and special were already delivered to the Strategic Marine shipyard in
ships is the first high-speed pure gas engine that can Vietnam at the end of 2017 for two catamarans owened by
directly drive a fixed pitch propeller, giving it dynamic Dutch shipping company Doeksen. In the summer of 2020,
acceleration capability. It undercuts the nitrogen oxide the first of Doeksen’s two LNG-powered passenger ferries,
limits of the current IMO III emissions directive even the Willem Barentsz, entered service, followed by sister
15ship Willem de Vlamingh in early 2021. The shipping dynamic acceleration and reduced emissions. The
company of the Konstanz municipal utility in southern combustion concept enables compliance with IMO III
Germany received the first gas engines of the eight-cylinder emission standards without additional exhaust gas
version at the end of 2019 for a new Lake Constance ferry, aftertreatment. The controlled combustion also ensures
which will enter service at the end of 2021. Rolls-Royce has efficient fuel use. A single-stage turbocharging system with
also delivered the first gas engines for a harbour tug with two exhaust gas turbochargers operating in parallel is
hybrid propulsion, while Flensburg University of Applied used. The high-efficiency turbochargers are the third
Sciences is using the benefits of this engine for an energy generation of the ZR series, and the turbocharging system
transition research project looking at the capabilities of also incorporates a controllable compressor bypass and
wind turbines for grid support. intake throttling concept. The engine thus has sufficient
power reserves throughout the entire speed range for
No exhaust gas aftertreatment difficult driving manoeuvres. As a result of the double-
needed walled design of the gas system, the engine room can be
The new mtu gas engine is based on the proven mtu diesel designed to be diesel-like. The mtu gas engine is compliant
engine of the 4000 M63 series for workboats. The engines with the official international IGF code (gas-safe engine
are offered in an eight-cylinder version with an output room) of the IMO.
of 746bkW and as a 16-cylinder version with an output of
1492 kW. A sustainable propulsion system
Fuel consumption, emissions, safety, and acceleration “Even though the COVID-19 pandemic is currently in focus
were the focus of development from the outset. The new worldwide, we must not forget the environment. In the
mtu gas engines were equipped with multipoint gas maritime industry, we need sustainable solutions that
injection, dynamic engine control, and advanced reduce pollutant emissions. I am pleased that we can now
turbocharging. The multipoint gas injection system ensures already add the second LNG ferry to our fleet,” said Dirk
Spoor, CEO of Reederei Doeksen, on the occasion of the
commissioning of the Willem de Vlamingh in January 2021
in Harlingen, the Netherlands. During the first voyages
in 2020, there were several other advantages of the gas
engines that stood out, including how the engines are
particularly quiet and do not produce vibrations, unpleasant
odour, or black smoke.
Similar to its sister ship, the new 70 m long, LNG-
powered ferry is made entirely of aluminium. This material
makes the vessel lighter and consume less fuel than
conventional ferries. The 16-cylinder mtu 4000 series gas
engines produce 1492bkW each, giving the ferry a top speed
of 14 knots. The existing fleet can make good use of the
reinforcement – every year, approximately 800 000 people
need transportation back and forth from Harlingen on the
Dutch mainland to the islands of Vlieland and Terschelling
Figure 2. The new mtu gas engines are offered in an
eight-cylinder version with an output of 746 kW, and as a on the North Sea in the Wadden Sea nature reserve,
16-cylinder version with an output of 1492 kW. approximately 30 km away.
Changing over to biogas
The Doeksen shipping company is aiming to switch to biogas
in the near-future. Initially, its vessels will be operated with
LNG, which the shipping company sees as a transitional
fuel. In the future – as soon as the necessary infrastructure
is in place – the company would like to switch to more
sustainable bio-LNG or liquefied biogas (LBG).
A residual heat recovery system already ensures that
thermal energy from both the engine cooling system and the
exhaust gases is used. Two Orcan units also supply all the
electrical power needs of the bow thruster system and meet
some of the normal electrical needs on-board.
“We are proud that Reederei Doeksen has selected our
new gas engines to operate their vessels in an
environmentally friendly way on the Wadden Sea, which has
Figure 3. In the summer of 2020, the first of Reedereij been designated as a special area of conservation,” said
Doeksen’s two passenger ferries, the Willem Barentsz,
Denise Kurtulus, Head of Marine Business at Rolls-Royce
entered service with the new 16-cylinder mtu gas engines on
board, followed by sister ship Willem de Vlamingh (pictured)
Power Systems. “Together with our partner, we are thus doing
in early 2021. everything we can to advance the maritime energy
revolution.”
16 May 2021LNG Sampling at low
pressures (> 0.7 barg)
LNG sampling can be considered as a To cope with all of the aforementioned issues and with other (on
land) low pressure LNG transfer applications, a new concept of an
mature technology as its basic principles integrated probe-vaporiser combination has been recently introduced
by 360°KAS: The CryoSamp. The CryoSamp is in compliance with
have initially been described in the WKHΖ62 DQGWKH*ΖΖ*1/VWDQGDUGVDQGLVDQDOOLQRQHPRGXOH
LQFOXGLQJ ȴOWHUHG WDNHRSUREHYDSRULVHULVRODWLRQYDOYHVDQG
ISO8943 back in 1991. temperature monitoring.
Yet, it is currently still a very active phenomenon with many A unique characteristic of this concept, is that the probe
GHYHORSPHQWVLQLWVȴHOGRISUDFWLFH7KHPDLQFKDOOHQJHLV UHDOLVHVDFRQWLQXRXVȵRZRI/1*WR%RLORI*DV %2*
obtaining a representative sample for custody transfer based in which the LNG sample is maintained at an adequate
on the critical characteristics of LNG. temperature without any fractionation and pre-vaporisation.
Furthermore, another advantage of this design is that
One of the most important and subsequently the most potential gas bubbles will be extracted from the LNG supply
challenging characteristic of LNG, is that at atmospheric which in turn will not be a part of the LNG sample.
pressure, a typical LNG mixture has a boiling point of -162°C.
This makes representative sampling at lower pressures (0-1 Also, accurate and complete vaporisation of the sample is
barg) challenging due to less available subcooling and thus HQVXUHGE\DWZRVWHSSURFHVV$VWKHKRWVHFWLRQLVKDOIȴOOHG
the high chance of pre-vaporisation and fractionation of ZLWKZDWHUWKHȴUVWVWHSLQYROYHVYDSRULVDWLRQRSWLPLVDWLRQ
LNG during sampling. through water vapor that condensates on the coil for a
maximum heat exchange. The second step is vaporisation of
Low pressures are usually present during ship-to-ship or LNG in the liquid section in which LNG is vaporised by heated
ship-to-land custody transfers. Generally, this is due to water (under vacuum) at a temperature of 50°C.
the low pressure transfer manifolds and the on-ship high
capacity, low pressure pumps. The LNG booster pumps on r.$6VHUYHVWKH/1*9DOXH&KDLQVLQFH ZLWK
LNG carriers are cryogenic centrifugal pumps fully submerged in LNG VROXWLRQVWRWDNHYHULȴDEO\DFFXUDWHDQGUHSUHVHQWDWLYH/1*VDPSOHV
DQGRSHUDWHGDWȴ[HGVSHHGΖQWKLVFDVHȵRZ DQGSUHVVXUH FDQRQO\ IURPDFU\RJHQLFȵRZSURYLGLQJWKHIROORZLQJ
be increased by means of manual throttling on the pump discharge side. 6DPSOH7DNH2$VVHPEO\
7KLVVRFDOOHGWKURWWOLQJLQYROYHV PDQXDO UHJXODWLRQRIȵRZDQGWKXV 3UREH 9DSRULVHU6\VWHPV
pressure, at the side of the receiving party. ΖQWHUPLWWHQW &3)3 DQG&RQWLQXRXV:DWHUOHVV 0HPEUDQH RU
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Besides the required extra manual labour for throttling and longer ΖQWHOOLJHQW4XDOLW\5HSRUWLQJ0RGXOH L450
transfer (batch) time, increasing pump capacity (above nominal) to
increase pressure can subsequently raise the LNG temperature due :LWKWKHDGGLWLRQRIWKH&U\R6DPSWRLWVSRUWIROLRr.$6LVDEOHWR
WRKHDWWUDQVIHURIWKHSXPSV$OVRWKURWWOLQJZLOOOHDGWRDȵXFWXDWLQJ further contribute to the challenge of obtaining the best possible LNG
ȵRZDQGSUHVVXUHZKLFKLQWXUQKDVFRQVHTXHQFHVIRU/1*VDPSOLQJ sample for custody transfer and add a high performance innovative
0RUHRYHUȵXFWXDWLRQLQ /1* WHPSHUDWXUHVSUHVVXUHVDQGȵRZVFDQ probe-vaporiser design to the (low-pressure) LNG sampling market.
lead to a reduction in the amount of available subcooling (enthalpy), a
chance of pre-vaporisation, fractionation, a non-representative sample
and thus a high potential risk of LNG heating values deviation.
Graanweg 6 a, 4782 PP Moerdijk, The Netherlands - T +31 (0) 85 303 23 00 - info@360KAS.com - www.360KAS.comThe new Lake Constance ferry shuttle back and forth between the two shores every
Another ferry with the new mtu gas engines powered by day around the clock. The company received the first gas
LNG will enter service in Constance, southern Germany, engines of the eight-cylinder version with an output of
at the end of 2021. Stadtwerke Konstanz operates a Lake 746bkW for the first gas-powered fleet member at the end
Constance ferry fleet there with a total of six ships that of 2019. The 82.5 m vessel, with a capacity of 62 vehicles
and 700 passengers, is currently under construction.
The world’s first hybrid LNG
tugboat
Rolls-Royce supplied two 16V 4000 M55RN mtu gas
engines to Sembcorp Marine Integrated Yard for the
construction of the world’s first LNG hybrid propulsion tug.
The harbour tug will be operated in Singapore by Jurong
Marine Services, a wholly owned subsidiary of Sembcorp
Marine. The new LNG hybrid tug is the first of 12 tugs
Sembcorp Marine plans to design and build to replace
existing diesel-powered tugs in the years leading up to
2025.
This is the world’s first LNG hybrid tug powered by mtu
gas engines. The LNG hybrid tug was designed by LMG
Figure 4. The 16-cylinder mtu 4000 series gas engines give Marin (Norway), part of the Sembcorp Marine Group, for the
the Doeksen ferries a top speed of 14 knots. They are the delivery of 65 t ABS-class bollard pull, and is expected to
first high-speed pure gas engines that can directly drive be completed later in 2021. The tug’s main propulsion
a fixed pitch propeller, giving it dynamic acceleration
system consists of two 16-cylinder mtu series 4000 gas
capability. They undercut the nitrogen oxide limits of the
current IMO III emissions directive even without exhaust engines that will deliver a combined total output of
gas aftertreatment. They also emit no sulfur oxides and 2984bkW at 1600 rpm. The LNG hybrid propulsion system
particulate mass is below the detection level. will be able to flexibly respond to different operating
modes and switch between low-emission LNG engines and
zero-emission battery power.
Multipurpose vessels
The German Directorate-General for Waterways and
Shipping is relying entirely on gas engines from Rolls-
Royce to equip its three new multipurpose vessels: the
ships will be powered by special gas-protected medium-
speed Rolls-Royce Bergen B36:45 engines.
The four engines for the gas-electric propulsion
system each have an output of 3161 kW and are specially
equipped for use in explosive and hazardous
environments. One mtu 16V 4000 M55RN gas engine per
ship powers a fifth genset. In a dual function, this
provides electricity in port when there is no shore
connection. But it also supplies propulsion energy when
the ships are operating in the low-load range. In the
future, the three 95 m long special ships will be called
out on the North Sea and Baltic Sea to deal with
accidents at sea, fires, or when ships are unable to
manoeuvre. The first of the new special ships is scheduled
to enter service in 2023, the second a year later, and the
third in 2025.
A programme with the future in
mind
The new gas engine is part of Rolls-Royce’s Green and
High-Tech programme. In this way, the company is
investing specifically in environmentally friendly future
Figure 5. A single-stage turbocharging system with solutions for lower emissions and reduced consumption
two exhaust gas turbochargers operating in parallel is of energy and raw materials. Rolls-Royce’s Green and
used for the new mtu gas engines. The high efficiency
High-Tech programme focuses on efficiency enhancement,
turbochargers are the third generation of the ZR series, and
the turbocharging system also incorporates a controllable alternative fuels, electrification, digitalisation, and
compressor bypass and intake throttling concept. integrated system solutions, with the aim of offering
complete powertrain and energy generation systems.
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