Chevron’s LNG carriers to get reliquefaction units

South Korea’s HD Hyundai Marine Solution has secured a contract from US energy giant Chevron to install reliquefaction units and other tech on the latter’s two liquefied natural gas (LNG) carriers.

The unit of HD Hyundai, previously known as Hyundai Global Service, revealed the contract award in a statement issued on Thursday.

In addition to reliquefaction units, HD Hyundai Marine will also install air lubrication technology and new gas compressors.

HD Hyundai Marine said that the 2014-built 160,000-cbm, Asia Energy, is one of the two LNG carriers which will receive the upgrade.

The firm did not provide the price tag of the deal.

Last year, the company also won an order from LNG carrier operator CoolCo to retrofit five TFDE LNG carriers with sub-coolers for LNG boil-off reliquefaction in order to slash emissions and improve fuel consumption.

This deal is worth $50 million or some $10 million per vessel.

A reliquefaction unit reliquefies BOG generated during the operation of LNG cargo tanks, either returning the gas to the cargo tank or preventing natural evaporation using sub-cooled LNG.

So far, HD Hyundai Marine won $100 million in orders to install reliquefaction units on eight LNG carriers, including the CoolCo order, it said.

HD Hyundai Marine said there are about 100 LNG carriers without reliquefaction systems, and the total cost to install the technology on them is estimated at $700 million.

As per Chevron, the company’s shipping unit contracted last year a subsidiary of Singapore’s Sembcorp Marine to install reliquefaction systems and other tech on Chevron’s LNG carriers as part of a move to further slash emissions.

According to Chevron’s website, its shipping unit operates ten LNG carriers, including Asia Energy.

As part of its shipbuilding program, Chevron Shipping took delivery of six LNG carriers over the period of 2013-2017.

Most Popular

Canada’s Cedar LNG names FLNG

Canada’s Cedar LNG, a joint venture of Canada’s Pembina Pipeline and the Haisla Nation, has picked a name for its floating LNG facility, which will be located in the traditional territory of the Haisla Nation, on Canada’s West Coast.

NextDecade, Jera seal 20-year LNG SPA

Japan's Jera has signed a 20-year deal to buy liquefied natural gas from the planned fifth train at NextDecade's Rio Grande LNG facility in Texas.

US weekly LNG exports reach 29 cargoes

US liquefied natural gas (LNG) plants shipped 29 cargoes during the week ending May 28. According to the Energy Information Administration, pipeline deliveries to the LNG terminals remained unchanged compared to the prior week.

More News Like This

Chevron: production at first Wheatstone LNG train reduced due to maintenance

Production at the first liquefaction train of Chevron's Wheatstone LNG plant near Onslow has been reduced due to maintenance, a Chevron Australia spokesperson told LNG Prime on Tuesday.

Knutsen’s LNG FSU ready for Honduras job

Knutsen’s 2004-built LNG carrier, Bilbao Knutsen, has been converted into a floating storage unit, and the vessel is ready to start serving an LNG-to-power project in Honduras.

Tokyo Gas to buy US shale gas stake from Chevron

Japan’s city gas supplier and LNG importer, Tokyo Gas, has agreed to buy a stake in a US shale gas development from energy giant Chevron.

VesselsValue: South Korea’s LNG carrier orderbook worth $71.3 billion

South Korean yards have 276 LNG carriers worth $71.3 billion on order, according to the newest data by Veson Nautical’s VesselsValue.