READY FOR EVERYTHING

Manos Migadis

DYNACOM TANKERS MANAGEMENT LTD

Greener Shipping Summit 2018

The Power of Legislation

� New environmental regulations are making shipbuilding industry to

get prepared and be ready for many new things.

� Sea routes remain the most efficient way of transport.

� 90% of world trade is being carried out by vessels.

� Contribution of shipping in man-made pollution is small (~ 3%).

� Modern ships have taken big steps towards efficiency improvement

and emissions reduction having a much greener environmental

footprint than in recent past. New Rules are setting the bar higher.

� Forthcoming legislation is the driving force to move in new eras of

advanced engineering, explore implementation of innovative ideas

and secures funds necessary for research & development.

Are we ready for SOx Scrubbers ?

� IMO 2020 0.5 % sulfur cap will be in force on 1st January 2020.

� Exhaust gas cleaning systems are required for ships to be allowed to

bunker HSFO after 1st March 2020 (MEPC 73, October 2018).

� So far no satisfactory ideas have been

seen apart from SOx Scrubbers.

� This technology was introduced long

ago for tankers inert gas systems.

� SOx Scrubbers types :

“U” (by-pass) or “I” (in-line).

� SOx Scrubbers configurations :

Open Loop, Closed Loop & Hybrid.

SOx Scrubbers Pros & Cons

� Installation of a SOx Scrubber ensures compliance with IMO 2020

sulfur cap of 0.5% S (m/m) & vessels can bunker and use HSFO.

� SOx Scrubber specification may allow use of HSFO within Sulfur

Emission Control Areas (SECAs) where the limit is 0.1 % S (m/m).

� Fuel oil consumption is increased due to exhaust gas piping back

pressure and the power required to drive the SW lifting pumps.

� Emissions of CO2 and NOx gases are increased.

� Fuel consumption “penalty” increases the EEDI & EEOI of vessels.

� Lightship weight in increased with proportional DWT loss.

� Gross Tonnage and side projected area are increased specially in

“U” type designs where an additional housing is required.

� Risk for Turbochargers damage in case of SW overfill - backflow.

SOx Scrubbers : A long term investment ?

� Investment on a good quality SOx Scrubber may pay back in a

few years specially for VLCCs, Suezmaxes or Capesizes.

� Latest by 2025 it is expected that refineries on world wide basis

will have completed their investment on desulfurization plants and

can meet comfortably the demand for IMO 2020 compliant fuels.

� Availability and price of LSFO will

be such, that keeping-on using HSFO

with SOx Scrubbers might not be

considered advantageous.

� Port State Controls may largely

oppose utilization of SOx Scrubbers.

� For the above reasons SOx Scrubbers

might become “white elephants” .

Are we ready for LNG as Fuel ?

� LNG as Fuel is a solution to meet new environmental legislation.

� SOx and PM emissions will be almost negligible, while CO2 and

NOx emissions will drop considerably.

� LNG as Fuel will take long time to be implemented and is still a

quite expensive and complicated option.

� LNG as Fuel is feasible mostly for newbuildings. Not yet convincing

as a retrofit option for ocean going vessels.

� Securing LNG bunkering for TCP period is recommended.

� LNG bunker tanks need 2~3 times more space than liquid fuel ones

due to LNG density (0.46 MT/m3) and cryogenic insulation volume.

� LNG Fuel Containment Systems : Membrane tanks (GTT Mark III),

SPB (Self-supporting prismatic type “B” tanks) or type “C” tanks.

� High manganese steel may reduce cost of type “C” LNG tanks.

CMA – CGM 22,000 TEU

Containerships ordered at

CSSC Hudong – Zhonghua

Will be equipped with the

most powerful 2-stroke DF

engine CMD-WIN GD

12X92DF (63,840 KW)

TOTE 3,100 TEU Containership

built at NASSCO San Diego.

The first ever 2-stroke DF engine

Doosan - MAN ES 8L70ME-GI

LNG as Fuel Challenges

� LNG Carriers maintain a long safety record. Same level of safety

has to apply for all vessels entering the “LNG as Fuel” world.

� Officers, crew and shore based personnel must be well familiar

with LNG safety culture to achieve this target.

� New terms and operations (some are listed below) should be well

known by all involved in LNG bunkering or use of LNG as Fuel :

� Gassing up, Cooling down, Warming up.

� CCS / FCS (Cargo / Fuel Containment System).

� BOR / BOG (Boil Off Rate / Boil Off Gas).

� GVU / GCU (Gas Valve Unit / Gas Combustion Unit).

� FGSS (Fuel Gas Supply System).

� LNG Stratification - Roll Over effect.

Risks of LNG as Fuel

� Risks associated with us of LNG as Fuel must be

well addressed and known.

� HAZID and HAZOP studies must be carried out.

� LNG vapors are flammable .

� When still cold, LNG vapors are heavier than air.

� LNG can burn seriously the skin.

� LNG at -163° C will brittle fracture

steel structures if accidentally spilled.

� Vessels should de-bunker LNG prior

entering repair shipyards for docking.

� BOG Management is required.

� High Level Training is a “Must” for

all involved in “LNG as Fuel” chain.

IGC Code

“International Code for the Construction and Equipment of Ships carrying Liquefied Gases in Bulk”

� 1st edition 1993 ; 2nd edition 2016.

� Mandatory for LNG Carriers, LPG Carriers and Ethane Carriers.

� Mandatory for LNG Bunker Ships.

“Society of International Gas Tanker

and Terminal Operators”

IGF Code

“International Code of Safety for Ships using Gases

or other Low-flashpoint Fuels”

� Entered into force : 1st January 2017.

� Mandatory for ships using LNG as Fuel.

� Does not apply to LNG Carriers.

“Society for Gas as a Marine Fuel”

Are we ready for 0.5 % sulfur fuels ?

� IMO adopted Delft University study in 2016 which was positive for

LSFO availability by year 2020, meanwhile this is questionable.

� Quality and properties of LSFOs should be of high standards.

� ISO 8217 – 2017 is not protecting vessels (as the 2012 one) from the

presence of non petroleum products in the fuel.

� LSFO high demand after 1st January 2020 may “open the door” for

“suspect fuels” in regard to

density, viscosity, acid number,

cat-fines & cold flow properties.

� Low quality fuels may cause

fuel pumps sticking, resulting

in vessels immobilization and

also rapid wear of engine parts.

IMO 2020 global sulfur cap

� As per IMO 2020 Regulation the world merchant fleet vessels are to

be divided in two (2) groups :

� (i) Vessels using compliant fuel (LSFO or LNG).

� (ii) Vessels with Exhaust Gas Cleaning Systems using HSFO.

� Due to anticipated LSFO shortage by 2020 and the small number of

EGCS expected to be installed by that time (about 5% of the fleet

only), a third group might be added :

� (iii) Vessels idle.

� Next IMO MEPC 74 in April 2019 should look into this possibility

and take relevant decisions.

Slow Steaming : A realistic proposal

� Slow Steaming is a simple solution and realistic proposal to mitigate

the impact of IMO 2020 sulfur cap in shipping and world economy

during the first years of its implementation.

� Slow Steaming can reduce significantly vessels total emission

footprint, taking into consideration the same transport work.

� CO2, NOx, SOx & PM emissions

will drop by 50% or even more,

depending on speed reduction.

� Slow Steaming can be voluntarily

implemented and strictly monitored.

� Vessels fitted with SOx Scrubbers or any other kind of EGCS will

have the advantage of higher speeds and placed better in the market.

Future trends of Shipbuilding

� In future, shipbuilding industry will be influenced not only by IMO

environmental regulations but mainly by new technologies.

� Use of hyper-supercomputers and quantum computers will assist a

lot in optimizing the entire Design Spiral of newbuildings.

� Their great computational power will bring a revolution in all

shipbuilding sectors.

What we expect to see in next decades

� New hull forms, multiple hulls, multiple skeg designs, following

advanced CFD analysis, reducing the wave-making resistance.

� More efficient propellers, azimuth thrusters and rudders.

� New generation of sophisticated energy saving devices (ESDs).

� New concept for scantlings of hull structure, optimizing light ship

weight in comparison with the current conventional framing.

� Lighter materials for hull, superstructures, piping and outfitting

(metal alloys, honeycomb sandwich, carbon fiber etc.).

� New copper-free UW hull coatings

for lower frictional resistance.

� Smaller and aerodynamically

shaped accommodation block

reducing air resistance.

Solutions towards 2050

� Extensive use of LNG as Fuel.

� More efficient dual fuel 2-stroke and 4-stroke engines.

� LPG, Methanol, Biofuel driven engines.

� Fuel Cells.

� Electric ships.

� Autonomous ships.

� Solar & Wind Sails.

� Wind Turbines on board.

� Wave Power solutions.

� Ballast water - free vessels.

� Smart tugs for escorting vessels “to” & “from” the jetty.

� Regime for safe disposal of old batteries and solar panels.

Wind – Solar Sails

concept by

Eco Marine Power

Fuel Cell Power Pack

developed by Wartsila

Electric Ship concept

design by DNV-GL

Unmanned - Autonomous ship

proposal by Rolls Royce

New things on board

� Extensive use of Artificial Intelligence.

� New generation of Navigation & Radio equipment.

� New satellite constellations on orbit.

� Satellite based ECDIS.

� Digitalization - Connectivity.

� Smart Ships.

� Internet of Things - Internet of Ships.

� Augmented reality solutions.

� 3-D printing on board.

� Enhanced cyber-security solutions.

� Robots on board.

Thank You !