NYK is delighted to announce the order of its first two liquefied petroleum gas (LPG) dual-fuel very large LPG / liquefied ammonia gas (NH₃) carriers (VLGCs) from Kawasaki Heavy Industries, Ltd. Both ships will be built at the KHI Sakaide Works shipyard and are set for delivery in 2024.

Unlike conventional VLGCs, the vessels will be equipped with separate cargo tanks designed to carry LPG and ammonia at the same time to flexibly respond to various trade patterns.

Ammonia is attracting attention not only as a raw material for chemicals and fertilizers but also as a future zero-emission fuel that does not emit carbon dioxide (CO₂) when burned.

Furthermore, in addition to the LPG dual-fuel engine, the ships will have a shaft generator that can generate electricity during the voyage by using the rotation of the shaft that connects the main engine to the propeller. Since the diesel generator can be stopped during normal seagoing transit, realizing full navigation with LPG fuel will be possible except for the use of a small amount of pilot fuel.

When LPG is used as fuel, exhaust gas from the ordered VLGCs will contain at least 95% less sulfur oxide (SOx) and 20% less CO₂ compared to NYK’s conventional VLGCs using heavy-oil fired engines.

These new VLGCs will comply not only with the SOx Global Cap regulations* that were tightened from January 2020 but also with the EEDI phase 3 requirements.** For the time being, all future VLGCs ordered by NYK will be equipped with LPG dual-fuel engines.

Moreover, the vessels are expected to be given notations by Nippon Kaiji Kyokai (ClassNK) as VLGCs that have a preparatory design in accordance with the guidelines issued by ClassNK so that these vessels may use ammonia fuel in the future.

Length overall: approx. 230 meters
Breadth (moulded): 37.20 meters
Depth (moulded): 21.90 meters
Summer draft (moulded): 11.65 meters
Tank capacity: approx. 86,700 cubic meters

On February 3, NYK released the NYK Group ESG Story,*** which aims to further integrate ESG into the company’s management strategy and promotes activities that contribute to the achievement of the SDGs (Sustainable Development Goals) through cleaner transportation services, which includes the construction of these LPG dual-fuel VLGCs. To strongly promote ESG management, the NYK Group will encourage new value creation as a sustainable solution provider through a business strategy that responds to climate change.

<NYK Group ESG Story>
A guideline detailing concrete efforts to integrate ESG principles into management strategies of the NYK Group.
Details: https://www.nyk.com/english/esg/esg-story/

* SOx Global Cap regulations
Since January 2015, SOx emission regulations specifying a fuel sulfur content of 0.1% or less have been enacted in the Emission Control Areas (ECAs) of Europe and America. In addition, beginning in January 2020, vessels traveling in marine areas in all other parts of the world have been required to use fuels with a sulfur content of 0.5% or less, or to use alternative equipment to reduce the SOx content of exhaust gases to an equivalent level.

** EEDI requirements
An international regulation that enforces compliance of newly constructed vessels with energy-saving performance regulation values using the Energy Efficiency Design Index (EEDI), which is defined as the number of grams of CO₂ emitted when transporting one ton of cargo over one mile. Required EEDI regulation values are made stricter in phases according to the construction contract and delivery dates. For some types of vessels, such as large LPG carriers and LNG (liquefied natural gas) carriers, compliance with Phase 3 (30% reduction in CO₂ emissions from the baseline (Phase 0)) is required for vessels contracted for construction in 2022 and later.

Kawasaki Heavy Industries, Ltd.
Headquarters: Tokyo
President & CEO: Yasuhiko Hashimoto
Website: https://global.kawasaki.com/en/