Development of dual fuel LNG hopper dredgers

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Development of dual fuel LNG hopper dredgers 21 th April 2016 Jan Gabriël - DEME Erik van der Blom - Royal IHC The world s first natural gas fueled dredgers 1

Contents Contents Why LNG as a fuel? Why dual fuel? Emission reduction Examples: DEME s new TSHD s Development of LNG hopper dredgers Challenges in LNG Adopting LNG as a fuel - consequences Conclusions 2

Why LNG? Why dual fuel technology? Respect & care for the environment is a DEME core value Genuine interest in technology/solutions which: reduce carbon footprint reduce emissions in general Reduction (in %) by change from MGO to natural gas, on an equal energy basis (in%): CO2 Approx 25% SOx Approx 99% NOx Approx 85% PM Almost eliminated 3 3

Emission reduction Emission reduction Exhaust gas emission regulations (SO x, NO x ) Energy Efficiency Design Index (CO 2 ) CO 2 prestatieladder Sustainability ambitions NOx emissions SOx emissions 4

Why LNG? Why dual fuel technology? DEME considers LNG as a fuel to be a future proof and sustainable solution. Source: P Semolinos, LNG as bunker fuel: challenges to be overcome, Total gas & Power 5 5

Why LNG? High Capex but low Opex Source: DNV-GL, 2011 6 6

Why LNG? Why dual fuel technology? Dual Fuel because: LNG bunker infrastructure far from mature. If LNG not available vessel can work on MGO. Eliminates LNG supply risk LNG tank capacity kept at certain limited level to protect the profitability of the business case. On long transits MGO acts as range/autonomy extender 7 7

DEME : ongoing investment program vessels with natural gas as a fuel 1 Minerva TSHD. Hopper of 3.500m³ Lpp x B x D = 76m x 18m x 7,5m 4,8 MW prime power. Dual fuel engines: o 2 x ABC 16DZD, MCR 2,4MW each. 200m³ LNG tank, 1 week autonomy 8 8

3500 m³ TSHD Minerva 200m³ C-type LNG tank 9 9

DEME : investment program vessels with natural gas as a fuel 2 Scheldt River DP TSHD. Hopper of 8.000m³ Lpp x B x D = 110m x 25m x 9m 10,5 MW prime power. Dual fuel engines: o 4,5 MW MCR Wartsila 9L34DF o 6,0 MW MCR, Wartsila 12V34DF 630m³ LNG tank, 1 week autonomy 10

8.000m³ TSHD Scheldt River Dredging International 630m³ C-type LNG tank 11 11

8.000m³ TSHD Scheldt River Drive trains Engine directly drives centrifugal dredge pump. Wartsila sep 2014: DF OK! Hybrid drive Wartsila tests late 2015: dynamic behaviour as diesel engine 12

DEME : investment program vessels with natural gas as a fuel 3 Bonny River TSHD. Hopper of 17.000m³ Lpp x B x D = 139m x 30m x 13,7m 16,0 MW prime power. Dual fuel engines: o 2 x Wartsila 16V34DF, each MCR=8,0 MW 630m³ + 380m³LNG tanks, 1 week+ of autonomy 13

15.000m³ TSHD Bonny River 630m³ C-type LNG tank 380m³ C-type LNG tank 14

Innovation at Royal IHC

LNG hopper research 16

Challenges LNG storage: LNG tank? LNG tank? LNG tank? LNG tank? Large impact on vessel layout IGF code adds extra complexity 17

Challenges Tank size (for comparable energy content) 630m³ LNG tank length diameter Dimensions in m height width Stainless steel shell 19,10 6,58 Box * 20,20 8,10 7,20 * Box in which the tank + insulation + saddle fits A 630m³ LNG tank contains a heat value of: = approx 630m³ x 0,95 x 22GJ/m³ = 13.167,- GJ 1178m³ The box shape equivalent bunker tank filled with MGO (DMA ISO 8217) contains: = approx 1178m³ x 0,95 x 35GJ/m³ = 39,169,- GJ On board, LNG requires approx 3 times more space than MGO 18

LNG hopper dredgers

Challenges Load step capability: Diesel engines have better load step capability than LNG engines 20

Challenges Load step capability: Diesel engines have better load step capability than LNG engines Additional measures might be needed (e.g. temporary energy storage, control systems) Load step capability dependent on engine type IHC performed load step tests on several DF engines: - Wärtsilä 6L20DF + 6L34DF - ABC DF 16 DZD 21

Challenges Availability of LNG Source: DNV LNG Bunkering infrastructure in Baltic & North Sea 22

Challenges Bunkering - methods Truck Bunker ship Bunker station (gate terminal) Containerized LNG bunker ship Rotterdam (6500 m3, 2016) 23

LNG Bunkering Bunker connection - size of filling line? 2? 4? 6? 8? 50m³/h 200m³/h 400m³/h 800m³/h Bunker barges: 2 max 50m³/hr. Too slow... Bunker station on both sides? Vapour return lines? Standards? 24

Adopting LNG as a fuel consequences for ship owner Bunker frequency how to optimise? Trailing suction hopper dregder with DF is a particular case Taking only LNG on board: high bunker frequency Take also MGO on board: lower bunker frequency but average fuel cost increases Very low bunker frequency: high average amount of fuel on board and corresponding loss of deadweight and high fraction of MGO consumption Optimum frequency to be found Optimum LNG // MGO to be found 25

Adopting LNG as a fuel consequences for ship owner Crew training & qualifications & staff training Problem: no well established rules with most flag states...can also be considered as an opportunity. Shift from sail to steam steam to oil oil to gas Multi-disciplinary approach to prepare and support conversion 26

Challenges Volume LNG storage vs. autonomy Position LNG tank Load step capability Ship design and configuration Regulation and certification Commissioning Availability of LNG Bunkering Maintenance and operational use 27

LNG hopper dredgers

LNG hopper dredgers 29

Conclusions Emission regulations have impact on ship design LNG storage has large impact on ship design Load step capability can be critical, additional measures might be necessary LNG class rules add extra complexity to design and engineering LNG is a economical viable alternative, due to its earn back potential on fuel price (subject to evolution of fuel prices and cost to bring LNG to ship s bunker flange) LNG is a sustainable and feasible answer to strict emission regulations 30

Thank you for your attention