Fri 26 Jun 2015, 12:13 GMT

Gibraltar report 'did not address LNG bunkering'


Gas tank siting report should not be seen as prejudicial to the development of LNG bunkering in Gibraltar, says Lloyd's Register.



Classification services provider and consultancy, Lloyd's Register (LR), has commented on the Gibraltar report that it recently carried out, which has been cited by the British Overseas Territory's political parties and in the media.

In an article on its website this week, LR explained that the study examined the risks involved with proposals for two potential locations of liquefied natural gas (LNG) offloading and storage tanks: the North Mole Western Arm adjacent to the cruise terminal and the Detached Mole, to the South of the North Mole. However, "it did not address LNG bunkering".

LR commented that since being handed to its client, the report has appeared in the public domain and been cited in political exchanges in Gibraltar.

The consultancy said: "LR's conclusions were that both proposals, as defined, presented relatively high risks. With modifications to technical specifications it is likely that such risks could be reduced considerably; whilst there are obvious concerns related to siting gas storage tanks near to cruise ship berths, modifications to the technical requirements and repositioning of the tanks could see major risks entirely reduced. And opportunities exist to assess other options or locations.

"LR's findings into a very specific tank siting proposal should in no way be seen as prejudicial to the broader opportunities to reduce harmful air emissions, support LNG commercial activities or LNG bunkering in Gibraltar. Our findings relate to the risks associated with specific and defined siting proposals.

Commenting on the potential health benefits of developing an LNG bunkering infrastructure, LR said: "The overall health benefits of reductions in local air emissions that are hazardous to health are important ambitions. This wider issues of reducing the risks and managing safety of LNG infrastructure in Gibraltar and the benefits improved air quality was not considered and was not within the narrow scope of the evaluation of two specific tank sites."

LR pointed out also that "reports of this type, issued at a preliminary stage, will be conservative as detailed design parameters and intended operational parameters have yet to be defined".

Last week, Chief Minister Fabian Picardo of the Gibraltar Socialist Labour Party (GSLP) flagged up an announcement by cruise ship operator Carnival - that it is to build four liquefied natural gas(LNG)-powered cruise ships - as evidence of a shift in the maritime industry towards the use of LNG as a fuel.

Picardo's government is looking at the possibility of establishing LNG bunkering operations alongside infrastructure for a new power station powered by gas and diesel. However, the project has drawn criticism from the opposition, which has expressed concerns about the safety of establishing LNG operations so close to built-up areas.

Earlier this month, the Gibraltar Social Democrats (GSD) revealed the LR report, which was said to conclude that LNG operations in the North Mole and Detached Mole could pose "potentially intolerable risks". The government stated that the report was based on incomplete data about its proposals.


Eleven Energy logo. Eleven Energy recruiting trader for new Singapore office  

Saudi bunkering firm looking to hire in Asian city-state ahead of planned January 2027 start date.

Singapore skyline. VPS advertises for bunker surveyor role in Singapore  

Testing and inspection firm seeks candidate to conduct bunker fuel surveys under Singapore Standards SS 648 and SS 600.

RCL vessels naming ceremony. RCL names first three of eight dual-fuel-ready 4,488-TEU vessels in China  

Regional Container Lines takes delivery of Anitta Bhum on day of naming ceremony.

Peak Skarv 4 vessel. Skarv Shipping completes newbuilding programme with delivery of ammonia-ready Peak Skarv 4  

Short-sea operator takes delivery of fourth vessel from Huanghai Shipyard, with ammonia-fuelled vessel next.

Diamond Gas Nexus vessel. NYK names dual-fuel LNG carrier for Cameron LNG project  

New vessel to support LNG transportation for US project in which Mitsubishi Corporation and NYK participate.

ULSTEIN SX222 offshore wind vessel render. PaxOcean signs design contract with Ulstein for methanol-ready offshore wind vessel  

PaxOcean and Ulstein agree design contract for an SX222 service operation vessel, prepared for methanol and electric operations.

NYK and IMO officials. NYK shares two years of ammonia-fuelled tugboat data with IMO  

Shipping company presents operational insights from Sakigake and updates on its ammonia-fuelled gas carrier at IMO session.

Type approval test (TAT) for H35CDF engine. HD Hyundai completes type approval test for new LNG dual-fuel engine  

Latest HiMSEN engine is claimed to offer reduced methane slip compared with previous models.

Flag of Brazil. Petrobras resumes bunkering operations at Rio Grande Terminal after power restoration  

Brazilian supplier restarts marine fuel supply after completing an inspection following an electricity outage.

Stena E-Flexer vessel render. Stena RoRo orders battery-ready E-Flexer 2.0 ferries from Chinese yard  

Vessels include diesel engines capable of running on biodiesel and are methanol-ready.