Yantian Port in Shenzhen to build China’s first offshore LNG refueling center

On that day, ** in Yantian District, Shenzhen, China National Petroleum Corporation, Shenzhen Gas Group Co., Ltd., and Shenzhen Yantian Port Group Co., Ltd. signed a four-party cooperation agreement. According to the plans, once the project is operational, it is expected to be able to handle 230,000 tons of LNG per year, with an annual output value of around 1.2 billion yuan ； With the future expansion of the project and the introduction of LNG refueling ships, it is expected that the capacity to refuel 2 million tons of LNG per year will be achieved, with an annual output value of around 10 billion yuan. As international standards for reducing atmospheric pollutant emissions become increasingly stringent, LNG fuel has attracted widespread attention as a high-quality, efficient, and cost-effective clean energy source. Due to the lack of offshore LNG refueling facilities in our country, LNG-fueled ships on international routes are restricted from docking at our ports. The construction of a Shanghai offshore international LNG refueling center will effectively meet the demand for LNG fuel refueling along our coast, attracting more LNG-fueled ships on international routes to stop at our ports, while emissions of sulfur oxides and nitrogen oxides in port areas will also decrease further.

Japan, the world’s largest importer of liquefied natural gas, is expected to see its demand for such gas drop by 3% in the second quarter compared to the previous year, to 15.8 million tons. China, the world’s second-largest consumer of liquefied natural gas, is expected to see its demand rise by 12% year-on-year in the second quarter to 15 million tons, despite uncertainties surrounding the recovery of electricity demand in the country as well as competition from planned coal-fired power plants. After three months of lockdowns, India’s demand for liquefied natural gas is expected to drop by 24% in the second quarter, to 4 million tons. European natural gas inventories are at a record seasonal high, reducing the continent’s capacity to absorb global excess liquefied natural gas in the third quarter.

"Offshore LNG refueling facility „....? Is it floating or fixed on shore?

I still don’t understand; it should be at sea, right?

Currently, the emission standards for air pollutants in the international maritime industry are becoming increasingly stringent, and LNG fuel, as a high-quality, efficient, economical, and clean energy source, is seeing growing adoption. Due to the lack of offshore LNG bunkering facilities, LNG-fueled ships on international routes are restricted from docking at Chinese ports. The construction of the Shenzhen Marine International LNG Refueling Center will effectively meet the demand for LNG fuel for ships along China’s coast, making Shenzhen Yantian Port one of the first ports in the world to have such a marine LNG refueling center, alongside ports such as Singapore Port and Amsterdam Port.

Once the project is completed and put into operation, according to recent plans, it is expected to achieve a filling capacity of 230,000 tons per year, generating an annual output value of 1.2 billion yuan； In the long term, as more LNG refueling ships are deployed for this project, it is expected that the refueling capacity will reach 2 million tons per year, generating an annual output value of 10 billion yuan. The construction of this project is of great significance for improving China’s LNG refueling service network, enhancing the port service capabilities of Shenzhen Port, and consolidating the status of Shenzhen Yantian Port as an international hub port. It will also provide a new driving force for the development of the energy industry in the Guangdong-Hong Kong-Macao Greater Bay Area, as well as new impetus for the growth of China’s shipbuilding industry.

In recent years, the total emissions of sulfur oxides, nitrogen oxides, and particulate matter from ships in Shenzhen have decreased significantly. Since the implementation of the emission control zone policy in October 2016, more than 18,000 tons of air pollutants emitted by various ships have been reduced in Shenzhen, and the air quality within the emission control zone of Shenzhen Port is well above the **standard. In the future, with the completion and operation of the Shenzhen Maritime International LNG refueling center, it will further promote the development of green shipping at Shenzhen Port as well as energy conservation and emission reduction in ships.