LNG Carriers An Update on Technology By: Stavros Hatzigrigoris - PowerPoint PPT Presentation

LNG Carriers An Update on Technology By: Stavros Hatzigrigoris Richard Gilmore Andreas Spertos 1

MARAN GAS MARITIME INC . Contents 1. Market Overview a) LNG Growth b) Terminals & Ships c) LNG Fleet d) Emergence of Greek LNG Ownership 2. Design Key Factors a) Size i. Terminal Compatibility ii. New Panama Canal b) Boil Off Rate - Containment Systems c) Prime Mover Selection d) Power Savings – Hull Forms 3. Conclusion 2 2

MARAN GAS MARITIME INC . - SAFETY FIRST - 3 3

MARAN GAS MARITIME INC . LNG Growth - Demand Source: Shell 4 4

MARAN GAS MARITIME INC . LNG Growth - Supply Source: IEA World Energy Outlook 2012 5 5

MARAN GAS MARITIME INC . Terminals & Ships Up to Up to 1989 Up to 1999 By the end Year 1979 of 2013 LNG Ships 40 60 106 381 Import 11 23 36 93 Terminals Export 8 16 25 46 Terminals 6 6

MARAN GAS MARITIME INC . LNG Growth 1980 Global LNG Trade Routes 1990 Global LNG Trade Routes 2000 Global LNG Trade Routes 2010 Global LNG Trade Routes 7 7 Source: Poten & Partners

MARAN GAS MARITIME INC . LNG Fleet Historical LNG Fleet Development 80 600 70 500 60 400 50 40 300 30 200 20 100 10 0 0 1965 1968 1971 1974 1977 1980 1983 1986 1989 1992 1995 1998 2001 2004 2007 2010 2013 2016 Existing Orderbook # of Vessels LNG Fleet by Size LNG Orderbook # of vessels 100 30% 100 87 90 25% 80 26% 80 70 20% 60 60 50 15% 40 40 10% 30 20 20 5% 10 0 0 0% 8 8 <100 122-129 130-139 140-149 150-159 160-170 171-177 FPSO Q-Flex Q-Max Orderbook Existing To be Delivered # of vessels % of Current Fleet Source: Poten & Partners

MARAN GAS MARITIME INC . Emergence of Greek LNG Vessel Ownership Worldwide vs Greek controlled LNG Fleet (No. of Vessels) timeline 1969-2017 World LNG fleet (No. of Vessels) Greek LNG Fleet (No. of Vessels) 9 9

MARAN GAS MARITIME INC . Design Key Factors A. Ship size / Trading Flexibility • Size of the fleet workhorse is increasing B. Low Boil Off Rate (0,10% or below) • Boil Off is being reduced from 0.15% to 0.10% or even lower C. Low fuel consumption over a wide operation range • This is coupled with new type of propulsion systems 10 10

MARAN GAS MARITIME INC . Terminal Compatibility Key Areas: • 1) Size: • LOA: Turning Basin • Draft: Approach & Dockside • Cargo Volume: Store Storage tanks • 2) Gangway Landing Area • 3) Mooring Arrangement • 4) Air Draft (Boston & Montoir de Bretagne) 11 11

MARAN GAS MARITIME INC . New Panama Canal 12 12

MARAN GAS MARITIME INC . New Panama Canal Future Current Lock Vessel Width: 33.5m Length : 488m 366m Dimensions Lock Length: Beam : 55m 49m 304.8m Draft : 18.28m 15m Draft: 12.04 TFW Tests to be First transit expected by Schedule completed by May June 2015 2015 13 13

MARAN GAS MARITIME INC . New Panama Canal Description Vessels will be escorted Vessels will enter the locks / Tug at the most part of the with the assistance of tug canal. boats. attendance Current practice, LNG The ACP will most probably LNG safety carriers subject to special consider special measures safety precautionary for LNGCs transiting the issues measures. Canal. SIGTTO to issue recommendations for To be determined in SIGTTO safe Panama Canal upcoming SIGTTO meetings Publication Transit, in respect of (Houston, Jul 2013 & LNGCs safety and London, Sep 2013) operational issues. 14 14

MARAN GAS MARITIME INC . Transportation Cost as affected by the New Panama Canal  159K TFDE vessel  19.5 kts service speed  $90,000 daily charter hire Sabine Pass - Tokyo (via Panama Canal) 9,322n. miles Case I: Gas Mode Case II: HFO Mode Case III: Dual Mode Freight (US$ / MMBTU) = Loading Volume Base $2.22 $3.38 $2.28 Freight (US$ / MMBTU) = Discharging Volume Base $2.43 $3.41 $2.40 Sabine Pass - Tokyo (via Cape) 16,034n. miles Case I: Gas Mode Case II: HFO Mode Case III: Dual Mode Freight (US$ / MMBTU) = Loading Volume Base $3.51 $5.49 $3.62 Freight (US$ / MMBTU) = Discharging Volume Base $4.09 $5.54 $3.92 Sabine Pass - Tokyo (via Suez) 14,658 n. miles Case I: Gas Mode Case II: HFO Mode Case III: Dual Mode Freight (US$ / MMBTU) = Loading Volume Base 3.22 5.03 $3.32 Freight (US$ / MMBTU) = Discharging Volume Base 3.71 5.08 $3.58 15 15

MARAN GAS MARITIME INC . Boil Off Rate (BOR) -Evolution- Evolution in containment systems 1970s: 0.25% 1980s: 0.15% 2013: 0.125% & 0.10% Future: Lower (0,08%/Day) 16 16

MARAN GAS MARITIME INC . Boil Off Rate (BOR) Type Design Features BOR Thickness Independent Self Supporting tank – 28-32mm at Poles Moss Rosenberg 0,100 Spherical type – Al or 9% Ni 160mm at Equatorial Ring GTT No. 96 2 Invar + Perlite Boxes 0.150 530mm GTT No. 96 2 Invar + Glass wool boxes 0.125 530mm GTT No. 96 - LO3 2 Invar + boxes + PU foam 0.108 530mm GTT No. 96 - LO3 (marginally lower than 2 Invar + boxes + PU foam 530mm Flex previous, about: 0,1) GTT MK III Corrugated SUS + Triplex + PU Foam 0.150 270mm GTT MK III Flex Corrugated SUS + Triplex + thicker PU Foam 0.095 400mm / HFC-245fa GTT CS1 Invar + Triplex + PU foam 0.150 285mm SHI SCA W/S 2 x corrugated SUS + PU Foam 0.090 400mm Hyundai HMCCS Invar + sus x 2 + PU Foam 0.090 TBA (About 400mm) GTT Mark V Corrugated SUS + Invar +PU Foam About: 0.095 400mm 17 17

MARAN GAS MARITIME INC . Containment Systems -Market Share- 18 18

MARAN GAS MARITIME INC . Containment Systems 1. Moss Rosenberg BOR: 0.10% per Day 19 19

MARAN GAS MARITIME INC . Containment Systems 2. No. 96 BOR: 0.150% per Day (Standard historic design) 0.125% per Day (with Glass wool instead of perlite) 20 20

MARAN GAS MARITIME INC . Containment Systems 3. No. 96 – LO3 BOR: 0.108% per Day Glass Wool + Foam Panel 21 21

MARAN GAS MARITIME INC . Containment Systems 4. No. 96 – LO3+ BOR: 0.100% per Day More Extensive Application of Foam Panels 22 22

MARAN GAS MARITIME INC . Containment Systems 5. MKIII BOR: 0.150% per Day 23 23

MARAN GAS MARITIME INC . Containment Systems 6. MKIII Flex BOR: 0.095% per Day Total Insulation thickness increased to 400mm 24 24

MARAN GAS MARITIME INC . Containment Systems 7. CS1 BOR: 0.150% per Day 25 25

MARAN GAS MARITIME INC . Containment Systems 8. SHI SCA w/s BOR: 0.090% per Day 26 26

MARAN GAS MARITIME INC . Containment Systems 10. GTT Mark V 9. Hyundai HMCCS BOR: ≈0.095% per Day BOR: 0.090% per Day 27 27

MARAN GAS MARITIME INC . Prime Mover Selection 1. Steam turbine with reheat cycle a) Able to burn wide mixture of gas and HFO b) Manoeuver with pilot fuel/dual fuel mode 2. TFDE and Engine size a) Vary number of engines in operation to optimize fuel consumption b) Gas burning possible at low (zero) loads c) Constraints on mixed fuel operations 3. MEGI a) Able to burn wide mixture of gas and HFO b) Manoeuvering on liquid fuel oil 28 28

MARAN GAS MARITIME INC . Steam vs. Ultra Steam Plant CONVENTIONAL STEAM PLANT ULTRA STEAM PLANT BOILER STEAM CONDITION 6.0 MPaG x 515oC 10.0 MPaG x 565oC (at superheater outlet) BOILER-> HP TURB -> REHTR-> STEAM FLOW BOILER -> HP TURB-> LP TURB ->IP TURB -> LP TURB FLANGE RATING ANSI 900 LB ANSI 2500 LB 29 29

MARAN GAS MARITIME INC . Medium Speed Dual Fuel Diesel with Oxidiser (MSDF) 30 30

MARAN GAS MARITIME INC . Slow Speed Diesel with Reliquefaction (SSDR) 31 31

MARAN GAS MARITIME INC . W ärtsilä SSD - GI Principles: • Engine operating accordingly to Otto process • Injection of gas at mid-stroke. Low pressure gas injection (<10bar) sufficient • High impact on NOx reduction • Meets IMO Tier III without after treatment 32 32

MARAN GAS MARITIME INC . MAN MEGI Principles: • Engine operating accordingly to Diesel process • Injection of gas close to TDC. Air is completely compressed and, therefore, high pressure gas injection (300bar) is required • No significant NOx reduction • Requires SCR OR EGR (not proven) in order to meet IMO Tier III levels 33 33

MARAN GAS MARITIME INC . Prime Mover Selection Gas Handling Systems Engine Type Gas Delivery to Engine Excess BOG Steam Turbine Gas Delivery at <1 Bar via: Burn in boiler and Low duty compressor, or free flow. dump steam to condenser Tri-Fuel Diesel Gas Delivery at 4 - 6 Bar via: Gas Combustion Electric 2 x 2 stage low duty compressors; or Unit (optional 1 x 2 stage and 1 x 4 stage low duty Reliquefaction compressors Plant) MEGI Gas Delivery at 300 Bar via: Gas Combustion Large high pressure compressors; or Unit; or LNG fuel pump with vaporizer (possibly Reliquefaction in combination with a Plant; or re-liquefaction plant) Joule Thompson Valve 34 34

MARAN GAS MARITIME INC . Typical Speed in Relation to available BOG in Laden Condition Boil Off Rate SPEED (knots) 160K DFDE 0.15% 18.5 160K DFDE 0.125% 17.5 160K DFDE 0.108% 16.2 162K DFDE 0.1% 15.6 145K Steam LNG 0.15% 12.5 35 35