Evergas Orders Duel-Fuel LNG Carriers

CEO Martin Ackermann says the technically advanced vessels will offer safe, flexible, green, and efficient transport.

Denmark's Evergas announced Wednesday it is to build and operate new duel-fuel, state-of-the-art, medium sized liquified natural gas (LNG) carriers specifically to service a 15-year shipping agreement it has secured with INEOS Europe.

Evergas say it has already entered into contracts with Sinopacific Offshore and Engineering, China for the construction of the 27,500 cbm vessels, and that the vessels will be built with unrivaled specifications matching the highest environmental and efficiency performance measures.

Delivery is scheduled for 2015 when the customised carriers will be dedicated to the transportation of ethane from Marcus Hook, U.S. to Rafnes, Norway.

David Thompson, Procurement & Supply Chain director at INEOS Olefins & Polymers North says: "These shipping agreements are the final piece of the Mariner East project, allowing INEOS to import competitively priced ethane to our Rafnes cracker from the US.

"Evergas’ proposed solution matches perfectly our needs and offers innovative solutions such as the dual-fuel capability."

"Strong relations and the open mind and willingness to look to the future by INEOS has been imperative for our ability to develop innovative and technically advanced vessels offering safe, flexible, green and efficient transport solutions to the benefit of all involved parties," said Evergas CEO Martin Ackermann.

Evergas, formerly Eitzen Gas and Eitzen Ethylene Carriers, says there has been a "relentless increase" in the world’s demand for energy and with gas rapidly replacing other fossil fuels, demand growth for marine gas transportation is expected to be strong in the years ahead.

"It is the clear strategy of Evergas to further develop and grow its presence within marine transportation of natural gas liquids," it said.

Despite most parts of the shipping industry suffering from low rates and over capacity, earnings for LNG tankers have tripled over the past five years, leading industry analysts to predict record profits this year for LNG carrier Golar.