Page 20 - 2024 - Q3 - Minerva in Focus

LNG Carriers A look into Minerva’s Newbuildings

One key global gas executive
recently stated, “It feels like
the LNG market has finally
arrived”. It is true that
LNG shipping has recently
gone through an unprecedented
supercycle, and we are still
‘stepping on the gas’.

The current fleet of 686 LNG carriers will be growing at a pace of 70-80
units per year, or more than 10%, while the orderbook stands at 335
vessels, representing 33% of the fleet. These numbers seem excessive,
especially with asset prices hitting $260 million, but the truth is that there
is still a long way to go. LNG liquefaction growth currently requires an
additional 100 units, while projected LNG development could require
more than 700 units in the next 10 years, which translates to full use
of the existing shipbuilding capacity for the whole decade ahead.
In the wider context of LNG growth, ExxonMobil, through its maritime
subsidiary SeaRiver, has set up a long-term charter project for 11 LNG
Carriers at Samsung Heavy Industries (SHI). Four of these ships went
to H-Line, with 2 units being assigned to Minerva and the remaining 5
to Seapeak. Lloyd’s Register was honoured to be the selected class
Minerva Gas’s for all three operators. From the initial stages of this project, we have
collaborated with the charterers and operators, addressing any con-
newbuilding project cerns and supporting the project in the best way possible. To this end,
SeaRiver organised a workshop in April 2023, attended by all operators
represents the latest and classification representatives, to discuss the way forward and the
necessary project management practices and procedures.
technological The two ships that Minerva Gas will take delivery of, represent the
latest technological developments for LNGCs. Equipped with the new
developments Low Pressure EGR system, they can attain 50% savings on methane
slip, a development expected to save $2,000 per day and extend the
for LNGCs vessel’s compliance span. On the auxiliary engines side, the latest
type and performance upgrade to minimise methane emissions at
low loads is highlighted. The vessels will also be equipped with Air
Lubrication Systems and the latest high-performing subcooling units.
by Panos Mitrou, Combined with a MkIII Flex containment system of 0.085%/day BOR,
Global Gas Segment Director, these systems can deliver boil-off management across the board of
Lloyd’s Register operational conditions. On a foundational level, these SHI units will
have the latest improved hull form design, with optimised steel weight
and hydrodynamic performance.
Gas is part of LR’s DNA. Our organisation consistently holds the largest
share of both in-service and orderbook LNG Carriers, and we have a
strong presence at SHI, with 27 of the 77 orders there. In this context,
we have intensified our focus and commitment to delivering excellent
We have collaborated service in Korea. Our team of highly experienced surveyors and project
managers is supported by Jose Navarro, our Global Gas Technology
with the charterers and Director. We also plan to assign a Country Gas Technology Manager
to overview all projects in the region. On top of this, we continue to
operators, addressing invest in supporting the sector at all forums and stakeholder engage-
ments. We are particularly proud of the Methane Abatement in Maritime
any concerns and Innovation Initiative (MAMII), our initiative on a methane emissions
supporting Minerva's industry alliance, which has attracted the attention of global gas and
shipping players, tangibly contributing to mitigating one of the sector’s
project in the best way greatest risks ahead.
At LR, we deeply appreciate Minerva Gas’s trust in us for this proj-
possible ect, and we aim to use our heritage, expertise, and focus to provide
the highest possible value. We know that the best way forward is by
working together!

20 ISSUE 29 / Q3 2024