CoolCo’s LNG carriers to get reliquefaction units

LNG carrier operator CoolCo will invest about $50 million to install reliquefaction units on five of its liquefied natural gas tankers.

The firm controlled by Idan Ofer’s Eastern Pacific Shipping said in a statement it has signed contracts on June 6 with HD Hyundai Global Service, a ship service subsidiary of HD Hyundai Group, to retrofit five LNG carriers with sub-coolers for LNG boil-off reliquefaction.

CoolCo said the contract value is about $10 million per vessel, but it did not provide the name of the vessels in question.

It recently said in its first-quarter report that it will upgrade its tri-fuel electric propulsion (TFDE) carriers to slash emissions and improve fuel consumption.

CoolCo has seven TFDE LNG carriers it acquired from Golar LNG and four it purchased from EPS. Two of these are TFDE vessels and two are XDF ships.

ESG goals

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.

The LNG shipping firm said in the statement that the utilization of a reliquefaction unit is known to be effective mainly in LNG carriers equipped with TFDE or two-stroke dual-fuel (DF) engines.

HD Hyundai Global Service is currently receiving inquiries from its customers for additional reliquefaction unit retrofit work similar to CoolCo’s, it said.

The firm plans to incorporate reliquefaction units supplied by Air Liquide, a French company specializing in this technology, and will be responsible for the overall design, product supply, installation, and commissioning, CoolCo said.

CoolCo said the retrofit of the sub-cooling units is an “important step” towards achieving its ESG goals.

Richard Tyrrell, CEO of CoolCo, said this initiative is a “central component in our LNGe conversion process.”

“These reliquefaction units will provide our charterers with valuable flexibility when it comes to managing the seasonal fluctuations in LNG demand, in particular by supporting efficient travel at lower speeds, idling and floating storage applications,” he said.

“In addition, these retrofits will enhance the long-term value and competitiveness and reduce the environmental footprint of what will become our LNGe vessels,” Tyrrell said.

Most Popular

Venture Global LNG gets Calcasieu Pass approval from FERC

US LNG exporter Venture Global LNG has received approval from the US FERC to launch operations of its entire Calcasieu Pass LNG terminal in Louisiana.

Glencore seals LNG supply deal with China’s Shandong Order Group

China’s Shandong Order Group has signed a deal to buy liquefied natural gas (LNG) from a unit of Switzerland-based energy trader Glencore.

HD Hyundai Samho clinches $262 million LNG carrier order

South Korea’s HD Hyundai Samho has secured an order to build one liquefied natural gas (LNG) carrier for about $262 million.

More News Like This

Eastern Pacific Shipping in 350th LNG bunkering op

Singapore’s Eastern Pacific Shipping has completed its 350th ship-to-ship LNG bunkering operation as the company’s fleet of LNG-powered vessels continues to expand.

EPS adds new LNG-powered PCTC to its fleet

Singapore’s Eastern Pacific Shipping took delivery of another LNG-fueled pure car and truck carrier in China.

EPS, DongHwa Entec in LNG fuel move

Singapore-based Eastern Pacific Shipping and South Korean equipment supplier DongHwa Entec have joined forces on the development of a high-pressure compressor for LNG-powered vessels.

EPS inks financing deal for LNG-powered containership duo

Singapore's Eastern Pacific Shipping (EPS) and China's SPDB Financial Leasing have signed a financing deal for two newbuild LNG dual-fuel containerships.