DNV GL study promotes LNG

Norway-headquartered DNV GL has conducted a study into the future LNG market in the Iberian Peninsula, to assess its potential as a marine fuel.

The company aims to use the study, undertaken as part of a drive to develop an EU-wide network of LNG refuelling points, to address uncertainty regarding LNG volumes, said to be one of the main obstacles to the accelerated uptake of LNG.

Liv Hovem, senior vice president at DNV GL – oil & gas, said: “DNV GL’s market study has clearly shown the major potential LNG has as a fuel in the region.”

The project forecast the potential future demand for LNG as a ship fuel and the required future infrastructure for the areas around Spain and Portugal, covering the Mediterranean, Atlantic and Gibraltar Strait peripherical regions.

The consolidated quantitative results show that by 2030 up to 2m metres³/y of LNG is to be bunkered by ships (with Algeciras, Las Palmas and Barcelona as most important ports) and by 2050 approximately 8m metres³/y of LNG.

DNV GL conducted the study on behalf of the €33m six-year CORE LNGas hive project, coordinated by Enagas and co-funded by the European Commission, which aims to provide an investment plan for LNG fuelling in Spain and Portugal.

The results of the study have contributed to the CORE LNGas Hive project’s recommendations for the development of the LNG supply chain infrastructure, involving over 40 ports in the project area.

The global fuel sulphur limit of 0.5% will enter into force in 2020.