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© 2018 MITSUBISHI SHIPBUILDING CO, LTD. All Rights Reserved. 7th March 2018 Environmentally Superior VLGC with LPG as Fuel "Achievements and Prospects for the Near Future" International LP Gas Seminar 2018 Takashi Unseki Chief Engineer, Energy & Environment Ship & Ocean Engineering Department

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© 2018 MITSUBISHI SHIPBUILDING CO, LTD. All Rights Reserved.

7th March 2018

Environmentally Superior VLGC with LPG as Fuel

"Achievements and Prospectsfor the Near Future"

International LP Gas Seminar 2018

Takashi UnsekiChief Engineer, Energy & EnvironmentShip & Ocean Engineering Department

1© 2018 MITSUBISHI SHIPBUILDING CO, LTD. All Rights Reserved.

Contents

1. Environment Issues

2. Topics of Gas Fuel

3. Comparison & Concern by Engine type

4. Fuel Price Trend

5. Future Hypothesis

6. Reference of LNG Fueled ship

7. Possibility of Gas Fuel Supply Points

8. MITSUBISHI VLGC with LPG as Fuel

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1. Environment Issue ( International Shipping) World Wide Ocean Lane Distribution

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1. Environment Issue ( International Shipping) CO2 emissions from Transportation total

amount: 22% from International Shipping:

2.2% (800 million tons)Ship has highest transport efficiency. However, its proportion can not be ignored.

If we do not take further measure, it is predicted to increased 1,200~2,800 million tons in 2050.

MARPOL ANNEX VI proposed amendment was adopted in IMO after several years of discussion, which is a regulation on CO2 emissions EEDI (Energy Efficiency Design Index) form new ship.

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1. Environment Issue (IMO Regulation)IMO Fuel-Sulfur Content LimitsIMO NOx Emission Limits

(Tier III: Only for ECA / SOx ECA )

~2016.01.01 Keel lay

Global Temperature Limit (Temp.) : To be kept well below 2 ℃, with an ambition to limit the temperature increase to 1.5 ℃ above pre-industrial levels.

Mitigation (Emissions) :GHG must peak as soon as possible and reach net Zero in the second of the century.

⇒ What Action is needed?

2020.1 Start

Global Area

SOx Emission Control Area

Sulfu

r (w

t%)

Year

UNFCCC COP21 Paris Agreement (12 Dec. 2015) Historical turning point to tackle climate change.

IMO EEDI (CO2 Emission reduction)

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Fuel-Sulfur Contents Limit by Sea Area

1. Environment Issue (SOx)

Source: (DNV GL)

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To Comply with IMO MARPOL Annex VI

ScrubberSCR Gas Engine &

Fuel Gas Supply System

Measure 1 2 3

Sulfur limit Fuel Change(MGO, LSFO)

HFO with Exhaust GasCleaning System Gas Fuel

NOx Tier-III SCR or EGR SCR or EGR

Otto Cycle Gas Engineor

Diesel Cycle Gas Engine with SCR or EGR

EGR

1. Environment Issue (Counter-measure)

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2. Topics of Gas Fuel

PropertiesHFO LNG

(Depend on production

area)

LPG(Almost equality)

In comparison with HFO

(RMH380) LNG LPG

SpecificGravity kg/m3 app 991.0 app 420 app 580 To keep same energy

supply

Weigh:Nearly equivalent

Volume:Around two (2) times, but to accommodate independent LNG tank in Ship, it will be requested three (3) times space

To keep same energy supply

Weigh:Nearly equivalent

Volume:Around one half (1.5)times, but to accommodate independent LPG tank in Ship, it will be requested two half (2.5) times space

Lower Calorificvalue

MJ/kg app 40.4 app 50 app 46

MJ/m3 app 40.0 app 21 app 27

Boilingpoint ℃ < 60 - 162 - 42

Independent tank (s) Heat Insulation BOG treatment unit

Independent pressurized normal temperature tank (s)

Neither heat insulation nor BOG treatment unit are requested

Boil Off Gas -- -- Generate

Suppressibleby normal

temperature pressurization

Sulfur % 3.5 0.0 0.0 No SOx emissions No SOx emissions

CONFIDENTIAL

8© 2018 MITSUBISHI SHIPBUILDING CO, LTD. All Rights Reserved. CONFIDENTIAL

3. Comparison & Concern by Engine typeDiesel engine

LNG Fuel LPG Fuel

2 cycle 4 cycle 2 cycle

Fuel injection Gas phase direct

Gas phaseLean burn

Liquid phasedirect

Ignition method Pilot fuel injection

Gas fuel supply pressure 300 bar 16 bar 50 bar

NOx-Tier III With SCR or EGR Applicable With SCR or

EGR

Remarks -- Methane slip:1~2% --

LNG Fuel2-cycle and 4-cycle diesel engines are in service.LPG Fuel2-cycle diesel engine will be in service, applying with “Diesel” combustion method. It will be enjoyed almost same environment benefits as with LNG

Concern item on 4 stroke engine using with LPG as Fuel

1Lean-Burn "Otto"combustion

Propane gas has high risk in the knocking than Methane by better ignitability, so compression ratio should be decrease to avoid knocking, the maximum output should be de-rated under more 70 % compared to Methane engine's one.

NegativeNo news of development work.

2Direct Injection "Diesel" combustion

LPG has lower ignitability than diesel oil, therefore another igniting sauce such as pilot fuel injection will be required. But, it could not use of existent diesel oil injection system, should be developed to secure a reliability and durability.

NegativeNo news of development work.

3 Gas ReformingLPG ⇒ Methane

Propane can be reformed to Methane rich gas through gas reformer, then existent LNG DF engine have a possibility to use reformed Methane rich gas as fuel.

PositiveSeveral vendor in development.

Type of Fuel ISO specification

C Carbon[ g CO2 / t Fuel ]

Diesel / GasoilISO 8217 Grades DMX through DMC

3,206,000 (1.030)

Light Fuel Oil (LFO)

ISO 8217 Grades RMA through RMD

3,151,040 (1.012)

Heavy Fuel Oil (HFO)

ISO 8217 Grades RME through RMK

3,114,400 (1.000)

Liquefied Petroleum Gas (LPG)

Propane

Butane

3,000,000

3,030.000

(0.9634)

(0.9730)Liquefied Natural Gas (LNG) 2,750,000 (0.8831)

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4. Fuel Price trend

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4. Fuel Price trendPast history till 2016

Source: CIMAC2016 No.132 (DNV GL)

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5. Future Hypothesis Source: CIMAC2016 No.132 (DNV GL)

Trial Calculation Vessel : 75 LDWT P’max Tanker

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Not noticed in Big Potential on LPG as Fuel, yet !!!

5. Future Hypothesis

LNG

0.1- 0.5% MDO

~ 0.1% MDO

3.5% HFO withScrubber

3.5% HFO

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LNG Fuel Ship Operating Area (Existing)

6. Reference of Gas Fueled Ship (2017.09.01)

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112

110

112

116

76 97

46 56

25 35

105

109

5991

21

102

93 93 93 9393

77

89

5668

14

35

2115

116

116

116

116

116

116

116

116

116

112

93

In operation 116 ships

In Order 112 ships

LNG ready 93 ships

Yearly development of fleet2 32

2

3

23

3111

1

4

4

4

8 59 4

1014

12

14

17 21

34

33

11

Fleet by vessel type

LNG fueled fleet by Classification society

Comparison of LNG and Scrubber

LNG retrofit

Scrubber retrofit

LNG new build

Scrubber new build

In operation

In order

In operation

In order

6. Reference of Gas Fueled Ship (2017.09.01)

LPG Fueled Ship has big potential to become popular for various kind of shipsby its easy handling with pressurized normal temperature containment system

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7. Possibility of Gas Fuel Supply Points

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ME-LGIP

LPG FUELTANK

Conceptual view: VLGC 84,000m3

8. MITSUBISHI VLGC with LPG as Fuel

CONFIDENTIALPatent pending

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Estimated Fuel Consumption of One-round voyage《Condition》

84,000m3 VLGC Route : PG -JPN (About 6,700SM, No ECA)Engine Load: 90%, Loading : 1day ,Unloading : 2days (2 ports)LPG Fuel : As LCV Ratio

HFO:LCV=40.4 MJ/kg ,LPG:LCV=46.0 MJ/kg Pilot Fuel : abt. 4.2%

《Comparison》

Ballast

FullHFO(Current) LPG as Fuel

Fuel Consumption

HFO [t] 1,700 230

LPG [t] 0 1,290

180 180 18070 70

1,6102,230

2,890

0500

1,0001,5002,0002,5003,0003,500

HFO焚き

(Base)

LPG焚き

(Cargo Tank)

LPG焚き

(Deck Tank)

Consumption Volume [m3]

主機燃料

Pilot Fuel

補機燃料

170 170 17060 60

1,530 1,290 1,290

0

500

1,000

1,500

2,000

HFO焚き

(Base)

LPG焚き

(Cargo Tank)

LPG焚き

(Deck Tank)

Consumption Weight [t]

[ρ = 0.58] [ρ = 0.447]

HFO LPG LPG HFO LPG LPG

Main Engine

Pilot

Gen.Engine

8. MITSUBISHI VLGC with LPG as Fuel

CONFIDENTIALPatent pending

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1000m31000m3

LPG Service tank

P

P

P 1000m3

N2 Buffer tank

Fuel system: LPG Fuel: Deck tank 3,000m3 (PG~JPN One-round voyage) MGO

8. MITSUBISHI VLGC with LPG as Fuel

CONFIDENTIALPatent pending

FVT LFSS

Double wall LPG Fuel piping

LPG Fuel Handling room

MAN Diesel & Turbo(MES)

LPG Fuel Vent Post

LPG Deck tank (18bar)

Main Engine:ME-LGIP

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LPG Fuel Flow Diagram

Source: MAN Presentation Material

Engine Type ME-LGI ME-GI

Fuel MeOH LPG LNG

Fuel Inlet Cond Liquid Liquid Vapour

Supply Press. 8 bar 50 bar 300 bar

Injection Press. 550 bar 600 bar 300 bar

8. MITSUBISHI VLGC with LPG as Fuel

LPG Fuel tank

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LPG Fuel, Deck tanks and/or combination with the cargo

P

P

P

High press. Manifold

P

Service TK

Re-liq..

Deck TK

P

P

Service TK

Re-liq.

Boost PP & HTR

Cargo PP

Cargo PP

Cargo Manifold

Cargo Manifold

Case-1

Case-2

M/E

M/E

P

Boost PP & HTR

CONFIDENTIAL

LPG Fuel consumptionAG-JPN one round:

abt 3,000m3

On Deck Fuel LPG tank

Cargo tank

Cargo for Fuel

1

Independent LPG Fuel Deck Tank

3,000 m3 84,000 m3 -

Pros✔ No influence on Cargo capacity✔ Decrease of Oil bunkering frequency

⇒ Increase of voyage frequency

Concern✔ Exclusive High pressure bunkering facility✔ On deck boost pumping system if high

pressure bunkering facility is not available

2

Usage of Cargo LPG as fuel

- 81,000 m3 (3,000 m3)

Pros✔ Not required high pressure bunkering facility ✔ Decrease of Oil bunkering frequency

⇒ On a parity with Cargo transport per year

Concern

✔ On deck boost pumping system✔ Cargo volume will change depends on fuel

consumption✔ Accuracy of Cargo unloading metering✔ Consider the Cargo tank volume enlarge✔ Deck tank as a buffer use for cargo

change, dry dock preprocessing, etc.

8. MITSUBISHI VLGC with LPG as Fuel

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8. MITSUBISHI VLGC with LPG as Fuel

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8. MITSUBISHI VLGC with LPG as FuelA) Great reduce the workload on ship’s crew using with LPG as Fuel

No fuel heating/purification requested, means no sludge treatment system and it’s no cleaning work, otherwise no incineration work will be required.

Easy handling fuel containment system by independent pressurized normal temperature tank (s), neither heat insulation nor BOG treatment unit are requested compared to LNG one.

B) Fuel LPG Specification for MAN ME-LGIP engines ME-LME-LGIP engine can be drive by both pure Propane and pure

Butane and any mix between them with up to 25mol% Ethane can be used in the ME-LGIP engine without need for modification, and also it can change during engine running condition.

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Points to Overcome Revised IGC Code Chapter 16 Use of Cargo as Fuel

16.9 Alternative fuels (other than natural gas) ;

LPG is heavier than air.

・2 Stroke Engine(Liquid Injection)

Liquefied Gas Fuel Supply ・LPG Fuel in Liquid Phase

・Supply Pressure 50bar

≪Requirements (LNG Fuel)≫ ≪Difference in case of LPG Fuel≫

『may be used as fuel, providing that the same level of safety as natural gas in this Code is ensured. 』

① Arrangements

② Purging

③ Ventilation

④ Leak Detection

Consultation and Risk Assessmentwith Class

ObscurityRequirements

8. MITSUBISHI VLGC with LPG as Fuel

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Sec. Ref. Items Contents

16.9 Alternative fuels and technologies

16.9.1 Use other fuel than LNG may be used, providing that the same level of safety as LNG in this Code is ensured

16.9.3 Fuel Supply System shall comply with the requirements of 16.4.1, 16.4.2, 16.4.3 and 16.5 as applicable …

16.4.1.1 Fuel gas Pipe arrangements

Fuel piping shall not pass through accommodation spaces, service spaces, electrical equipment rooms or control stations. The routing of the pipeline shall take into account potential hazards, due to mechanical damage, in areas such as stores or machinery handling areas.

16.4.1.2 Provisions for inerting andgas-freeing

Provision shall be made for inerting and gas-freeing that portion of the gas fuel piping systems located in the machinery space.

16.4.2 Leak Detection Shut down the gas fuel supply in case of leak detection

16.4.3 Routing of fuel supply pipes1. a double-wall design 2. with mechanical exhaust ventilation having a capacity of at least 30 air changes per hour (Ref. Chap. 12 for Ventilation)

16.5 Gas fuel plant and related storage tanks Requirements of location for the systems of gas fuel handling

16.9.4 Liquefied gas fuel supply system shall comply with 16.4.5(Gas consumer isolation)

16.9.5 Additional requirements for Ventilation

In addition to the requirements of 16.4.3.2, both ventilation inlet and outlet shall be in a non-hazardous area external to the machinery space

8. MITSUBISHI VLGC with LPG as FuelPoints to Overcome Revised IGC Code Chapter 16 Use of Cargo as Fuel

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(MAN Diesel & Turbo)

Engine inlet condition: 0~50℃ LNG ⇒ 300bar (Supercritical) LPG ⇒ 50bar (Liquid phase)

FixSupport

FlexibleSupport

8. MITSUBISHI VLGC with LPG as FuelPoints to Overcome Revised IGC Code Chapter 16 Use of Cargo as Fuel

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Risk Assessment (HAZID) :National Maritime Research Institute Class NK AIP

Points to Overcome Revised IGC Code Chapter 16 Use of Cargo as Fuel

CONFIDENTIAL

8. MITSUBISHI VLGC with LPG as Fuel

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Load MAP for Reduction of GHG

Weather routing/Toughness at Sea

Conventional Technologies improve (Hull form, Propeller design etc.)

Gas Fuel/Low-Flash point Fuel Propulsion Plant

High Efficiency Power Plant/Heat Recovering System

Less

GH

G

Year

Renewal Energy : Solar Power, Wind, Wave

Low Friction Resistance Technologies

2010 2015 2020

Non Fossil Fuel/Bio Fuel Propulsion Plant

Zero Emission

2025