News Release

Singapore plans to be LNG bunker-ready by 2020

Singapore (The Business Times) | 3 May 2017

Senior Minister of State Koh Poh Koon and Pavilion Energy CEO Seah Moon Ming (second and third from left) at a capability demonstration of LNG bunkering at Jurong Port, on Tuesday. PHOTO: KELVIN CHNG

A CAPABILITY demonstration of liquefied natural gas (LNG) bunkering was held on Tuesday by Pavilion Energy.

The event, held at Jurong Port, was the first capability demonstration of LNG bunkering in Singapore and in South-east Asia.

Dr Koh Poh Koon, Senior Minister of State, Ministry of Trade and Industry, graced the event, alongside representatives from Maritime and Port Authority (MPA), JTC, SLNG and the maritime industry.

Pavilion Energy demonstrated a truck-to-ship transfer of LNG from a shore-side tank to a 40 foot ISO tank on board an off-shore vessel.

Bunkering time was between two and three hours, including set-up, safety checks as well as de-mobilisation.

The liquids, at minus-163 degree celsius, are transferred through a cryogenic hose, with three trained operators on the shore-side station.

Dr Koh said: "As the world's largest bunkering port, Singapore remains committed to ensuring that the maritime industry has access to cleaner marine fuels. We plan to be LNG bunker-ready as early as 2020."

This follows the 2016 landmark ruling by the International Maritime Organisation to impose a sulphur cap of 0.5 per cent on fuel oil starting 2020, from the current 3.5 per cent.

The number of LNG-fuelled and LNG-ready ships have grown to almost 100 vessels, with another 70 expected to come soon.

Following the award of bunkering licenses to Pavilion and FueLNG last year, the MPA will go on a three-year LNG bunkering pilot programme this year, testing operational protocols, gaining operational experience as well as strengthening Singapore's capabilities to ensure LNG bunkering is carried out safely and efficiently.

Seah Moon Ming, executive director and chief executive officer of Pavilion Energy said: "Moving ahead, the establishment of a robust LNG bunkering ecosystem will add to Singapore's offerings as an Asian LNG Hub."

"Not only can Singapore serve as a physical and financial hub for LNG training, but also for small-scale LNG and LNG bunkering activities," said Mr Seah.

LNG offers a cleaner and sustainable solution to traditional bunker fuel, which contains 2,000 times more sulphur compared to cars.