Connect with us

LNG Bunkering

China Classification Society: ‘Incredible progress’ on Chinese LNG sector in decade

The General Manager of China Classification Society Singapore Branch shares with Manifold Times how far the country has progressed in the use of LNG as a marine fuel.
Admin

Published

8 years ago

on

5bdf9e915cc89 1541381777

China has made “incredible progress” in the field of liquefied natural gas (LNG) vessel construction and the use of LNG as a marine fuel within the past decade, says the General Manager of China Classification Society (CCS) Singapore Branch.

“In 2008, the first large LNG carrier was built in Hudong Zhonghua Shipyard, marking the beginning of China’s entry into the LNG newbuilding market,” Jiang Botao told Singapore bunker publication Manifold Times in an exclusive interview.

“The past ten years saw more than 20 LNG carriers of various sizes and more than 200 LNG-fuelled ships sailing out of Chinese yards.

“Today, China is capable of building any LNG-related ship type, including large ice class LNG carriers, LNG FSRUs (floating storage regasification units), LNG power barges, floating LNG facilities, large LNG-fuelled ships, and more.”

According to Jiang, a total of more than 400 LNG-fuelled ships are either currently in operation or confirmed in the global orderbook as of October 2018.

Several of such LNG-powered vessels are currently under construction in China; this includes CMA CGM’s nine 22,000 TEUs containerships being constructed at China State Shipbuilding Corporation, Forward Maritime’s 20 dry bulk carriers at Jiangsu Yangzijiang Shipbuilding Group, and Siem Car Carriers’ two Ro-Ro vessels, the world’s largest, at Xiamen Shipbuilding Industry.

“China’s government is always proactive in promoting the application of LNG as a marine fuel while encouraging the industry to carry out related R&D (research and development) projects,” he shares.

“China has already established a comprehensive regulatory and standard framework for waterborne LNG application, from LNG production at sea, LNG transportation, distribution, bunkering and as a marine fuel.

“Further, the country has its own gas engine manufacturer, tank providers, fuel gas supply system suppliers, and thousands of experts and factories in the marine LNG field to support the national gas ecosystem.”

As of this June, China has 280 LNG-fuelled ships in operation (including newbuildings and retrofitted vessels), and 19 LNG bunkering stations including onshore refuelling facilities and floating bunkering pontoons located mostly along Yangtze River, Pearl River and the Beijing-Hangzhou Grand canal, notes Jiang.

The China Ministry of Transport has also set a national plan to have more than 10% newbuild river and river-to-sea commercial ships, and more than 15% newbuild public service ships, including China Maritime Safety Administration enforcement ships and patrol boats, to consume LNG as a fuel by 2025.

To support the plan, it will establish a preliminary LNG bunkering network by 2020 to support future LNG-powered ships.

Dalian Shipbuilding Industry (DSI) and ENN Group in October 2018 entered into a newbuilding contract to construct an 8,500 cubic metre (m3) capacity LNG bunkering tanker.

The 8,500 m3 ENN Group bunkering vessel is the largest to use type ‘C’ LNG tanks when compared to existing LNG bunkering tankers (using similar tank systems) such as Babcock Schulte Energy’s 7,500 m3 Kairos delivered on Oct 25, 2018 and Shell’s 6,500 m3 capacity Cardissa which entered into operations since 2017.

“The design, fabrication, testing and inspection of type ‘C’ LNG tank is very mature in China and the cost of such tanks is much lower than other types such as a membrane tank or type ‘B’ tank,” explains Jiang.

“Besides easier installation, a type ‘C’ tank is able to hold the boil-off gas (BOG) pressure without additional treatment systems or equipment for the bunkering vessel.”

Apart from bunkering, the multi-function ENN Group vessel will be able to provide LNG carrier precooling and gas-testing services to LNG carriers and large LNG-fuelled ships; it will also be equipped with an onboard gas combustion unit (GCU) to treat the possible excessive gas (e.g. return from the LNG-fuelled ships) or excessive BOG in its own tanks.

“To reduce the waste of BOG while ensuring high manoeuvrability, the LNG bunkering tanker will be equipped with a dual fuel engine with controllable pitch propeller (CPP),” he adds.

“As a reliable mooring system is vital to a bunkering vessel, an optimized system for ship-to-ship mooring will be adopted for this vessel.”

The ENN Group LNG bunkering tanker is scheduled for delivery in 2020; it will support LNG operations at a newly opened Zhoushan LNG import and distribution terminal in China’s eastern Zhejiang province, and complement LNG bunkering operations at Zhoushan port when delivered.

Related: ENN Energy orders 8,500 m3 LNG bunkering tanker to support terminal ops
Related: LNG bunkering well organised and rapidly developing in China
Related: China: Ministry of Transport outlines draft LNG bunkering strategy

Photo credit: China Classification Society (CCS) Singapore Branch
Published: 5 November, 2018
 

Related Topics:
Continue Reading

Alternative Fuels

MPA and MSC ink MoU to support adoption of alternative bunker fuels

MPA and MSC will explore new routes and services to strengthen connectivity, support the adoption of alternative marine fuels such as bio-LNG, and advance technologies to improve vessel energy efficiency.
Admin

Published

10 hours ago

on

June 4, 2026

By

MPA and MSC ink MoU to support adoption of alternative bunker fuels

The Maritime and Port Authority of Singapore (MPA) on Wednesday (3 June) said it signed a Memorandum of Understanding (MoU) with MSC Mediterranean Shipping Company to strengthen collaboration in maritime decarbonisation, digitalisation, innovation, and manpower development. 

The MoU was signed on 25 May 2026 by Mr Ang Wee Keong, Chief Executive of MPA, and Mr Soren Toft, Chief Executive Officer of MSC.

The MoU underscores the shared commitment of MPA and MSC to foster a sustainable, digital, and future-ready maritime sector, while enhancing MSC’s operational and business activities in Singapore. This year also marks the 30th anniversary of MSC establishing its Asia Regional Office and local office in Singapore.

Under the MoU, MPA and MSC will explore new routes and services to strengthen connectivity, support the adoption of alternative marine fuels such as bio-LNG, and advance technologies to improve vessel energy efficiency and operational performance.

MPA and MSC will also collaborate on maritime digitalisation initiatives to improve operational efficiency, including streamlining vessel arrivals and port operations. 

On manpower development, MSC will support internship and scholarship opportunities through Singapore Maritime Foundation’s Maritime Outreach Network (MaritimeONE) platform, an industry-led tripartite partnership comprising industry, government and institutes of higher learning that aims to raise awareness of the maritime industry and attract quality talent into the maritime sector.

Mr Ang Wee Keong, Chief Executive of MPA, said: “This partnership reflects the strong collaboration between MPA and MSC in driving sustainability and digitalisation in the maritime sector. By working together on decarbonisation, operational efficiency and talent development, we aim to strengthen Maritime Singapore’s position as a trusted and future-ready global maritime hub.”

Mr Soren Toft, Chief Executive Officer of MSC, said: “Singapore is a strategically important hub for MSC and a key gateway to the broader Asia region. As we mark 30 years in Singapore, this MOU reinforces our long-term commitment to strengthening our presence here. MSC and Singapore are closely aligned on the priorities shaping the future of global shipping, and we look forward to deepening this partnership to drive the continued growth and resilience of the maritime industry.”

 

Photo credit: Maritime and Port Authority of Singapore
Published: 4 June, 2026

Continue Reading

Alternative Fuels

Shipfinex: The green fleet transition has a financing problem

Capt. Vikas Pandey, Founder & CEO, Shipfinex argues green shipping progress is uneven: major carriers can finance alternative-fuel vessels, while smaller owners face capital constraints.
Admin

Published

10 hours ago

on

June 4, 2026

By

Shipfinex: The green fleet transition has a financing problem

By Capt. Vikas Pandey, Founder & CEO, Shipfinex

The numbers on alternative-fuel orders look encouraging. Seventy-two percent of newbuild capacity ordered in the first ten months of 2025 was for alternative-fuel vessels, with LNG dual-fuel accounting for 60% of that figure. More than 1,369 LNG dual-fuel vessels are now in operation or on order globally. By most measures, the transition appears to be happening.

Look at who is actually placing those orders. MSC. Hapag-Lloyd. CMA CGM. Carriers with balance sheets large enough to absorb the cost premium of alternative-fuel newbuilds and relationships with Chinese leasing companies that extend leverage ratios unavailable to most of the industry. The Strait of Hormuz disruption this March accelerated that activity further: LNG tanker charter rates spiked above $200,000 per day and carriers with deep pockets moved to lock in fuel flexibility. Meanwhile, for vessels under 6,000 TEU, orders for conventionally fuelled tonnage rose to 28% of capacity ordered in 2025, up from 19% the year before. That is not a story of broad commitment to green fuels. It is a story about who has access to capital.

An alternative-fuel newbuild costs materially more than a conventional equivalent. Methanol-ready designs, ammonia-ready structures, LNG dual-fuel systems, each carries a cost premium above the base vessel price. For an independent shipowner financing through a traditional bank, that gap is increasingly difficult to bridge. Top-40 bank lending to shipping fell from $454.9 billion in 2011 to $284.3 billion by end-2023. The Chinese leasing companies that absorbed part of that contraction are structurally oriented toward Chinese-built vessels under long-term contracts with tier-one counterparties. Independent bulk owners, mid-tier tanker operators, feeder container companies: they are working with a materially shrunken pool of willing lenders at precisely the moment they are being asked to upgrade their fleets.

This bifurcation deserves more attention from the marine fuels industry than it currently receives. Bunkering infrastructure investment follows demand signals. Alternative-fuel bunkering at secondary ports, methanol at regional hubs, LNG outside the major transhipment centres, requires a broader fleet base of alternative-fuel vessels to justify the investment. If green fuel adoption stays concentrated among a handful of majors rather than spreading across the independent owner fleet, the economics of scaling bunkering supply infrastructure outside the primary corridors remain thin.

Capital market structure and marine fuel adoption are connected, and pretending otherwise slows both. Digital instruments representing economic exposure to vessel-owning Special Purpose Vehicles, structured within regulated frameworks like VARA in Dubai, can extend the base of capital available to shipowners below the tier-one threshold. That capital base does not replace bank lending. It reaches operators that bank lending currently does not.

The Hormuz disruption reminded the industry that fuel supply chains carry geopolitical risk. The financing gap raises a quieter but equally structural point: the demand side of the green fuel equation depends on shipowners being able to afford the vessels that create that demand. Alternative-fuel bunkering infrastructure will scale when the fleet ordering those vessels does. Right now, that fleet is smaller than the order book numbers suggest.

About the Author

Vikas Pandey is a Master Mariner with decades at sea across various vessel categories. He is Founder and CEO of Shipfinex FZCO, a maritime asset tokenization platform operating under VARA In-Principle Approval (IPA/26/01/002) in Dubai and registered as a Virtual Asset Service Provider in Poland.

Disclaimer: This article is for informational purposes only and does not constitute financial advice or a solicitation to buy or sell any financial instrument or virtual asset. Maritime Asset Tokens are virtual assets; values may decline materially below purchase price. VARA In-Principle Approval does not constitute a final licence.

Linkedin: https://ae.linkedin.com/in/capt-vikaspandey
Website: https://www.shipfinex.com/

 

Photo credit: Shipfinex
Published: 4 June, 2026

Continue Reading

Alternative Fuels

Report: MSC Cruises ships operated on over 9,800 mt of bio-LNG and biofuels in 2025

MSC Group’s Cruise Division used 9,839 mt of renewable marine fuels in 2025 across its fleet, according to its 2025 Sustainability Report published last week.

Admin

Published

1 day ago

on

June 3, 2026

By

Report: MSC Cruises ships operated on over 9,800 mt of bio-LNG and biofuels in 2025

MSC Group’s Cruise Division used 9,839 metric tonnes (mt) of renewable fuels in 2025 across its fleet, according to its 2025 Sustainability Report published last week. 

The company used a combination of bio-LNG and biofuels across its fleet, resulting in emissions reduction of 48,714 mtCO2e compared to equivalent fossil fuels. 

Based on the Energy Transition Plan, the report showed that MSC Cruises and Explora Journeys remain on track to achieve net-zero greenhouse gas (GHG) emissions for marine operations by 2050. In 2025, MSC Group’s Cruise Division achieved the International Maritime Organization’s (IMO) 2030 carbon intensity reduction target five years ahead of schedule. 

The report said the MSC Cruises demonstrated a net-zero voyage using biomethane was possible with the launch of MSC Euribia in 2023. 

Since then it has actively engaged with fuel producers and suppliers to secure affordable high quality renewable fuels and in 2026, it began blending them into its operations at scale. 

The bio-LNG it sourced in 2025 was produced from a variety of different sustainable feedstocks, including food waste, sewage sludge, organic municipal waste and, most notably, manure. 

As most of its fleet remains conventionally powered, biodiesel represents the only drop-in solution available for these vessels today. 

In 2025, MSC Europa ran on a total of 6,856 mt of bio-LNG while MSC Opera used 1,727 mt of hydrotreated vegetable oil (HVO). MSC Seaview sailed using 572 mt of HVO and 684 mt of a B24-VLSFO blend. 

 

Photo credit: MSC Cruises
Published: 3 June, 2026

Continue Reading

Trending