World News
Stena: Cost and Power Considerations Means LNG Retrofits Are Too Expensive
Stena Teknik, a vessel design subsidiary of Stena Group (Stena), says that when considerations of cost and resulting engine power are taken into account, liquefied natural gas (LNG) propulsion retrofits are too expensive for the time being.
Harry Robertsson, technical director at Stena Teknik, who was speaking at the recent CIMAC Congress, says even with LNG retrofitting currently discounted the cost of conversion is still high, with the average conversion of a ro-pax vessel to LNG propulsion costing about $30 million.
From a power perspective, Robertsson said some of its case studies showed the LNG conversion reduced engine power by up to 20 percent - a power deficit it says would make it challenging to keep Stena's ships on schedule.
As Ship & Bunker reported last week, Robertsson, who was speaking at the recent CIMAC Congress, has said that Stena reasearch shows that LNG may become a better option for newbuild vessels in 15 years, where price is attractive and bunkering infrastructure is available.
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| VLSFO | MGO | |||
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| $/mt | +/- | $/mt | +/- | |
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| Houston | 469.50 | 0.50 | 610.00 | 2.00 |
| Fujairah | 501.50 | 1.50 | 708.50 | 3.50 |
| Global 20 Ports Average | 532.00 | 2.00 | 711.50 | 0.00 |
| Global 4 Ports Average | 489.50 | 0.50 | 637.00 | 0.50 |
| Global Average Bunker Price | 571.00 | 1.00 | 759.00 | 0.50 |
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