DNV takes the lead in emerging CNG market

2009-07-15

Major Korean shipbuilders and Korea’s biggest steel producer POSCO were all present at a DNV organised seminar on CNG (compressed natural gas) carriers. At the seminar held 29 June DNV presented the concept of CNG carriers and the application of CNG carrier designs.

What is CNG
CNG as opposed to liquefied natural gas (LNG) is stored in a compressed form. It has a lower cost of production and storage compared to LNG as it does not require an expensive liquefaction process.

Because of the infrastructure required for LNG transportation with storage and supply facilities many countries are adopting CNG vessels as a means of natural gas transportation.

Although studies on CNG carriers have been conducted for many years, CNG is still a new market and a new technology in the industry. With its cost reduction factor, CNG vessels are believed to generate a fast growing market.

Emerging market
CNG technology is believed to have a large potential market and ship owners are increasingly paying attention to CNG vessels. Korean shipbuilders are among the leading newbuilding companies in the world and are trying to capitalise on this trend by adopting and implementing CNG transportation technology.

DNV has been studying CNG technology for many years and DNV Korea & Japan took the initiative to introduce its technology to its main customers.

Other classification societies are also studying CNG technology and taking action to present the tecnhology to the major yards, but DNV was the first to move.

Taking the lead
With DNV’s early move into the CNG carrier market, we expect to build a firm foundation in the market as the leading technology adopter and a competent business partner.

DNV has a history of competency in new technology and will try to take the lead in the rising CNG carrier market. DNV will be able to offer a beneficial partnership to its customers exploring the CNG market and its technology.

A solid partner
Some of the major shipbuilders are currently negotiating CNG carrier contracts and working on their CNG carrier designs. DNV Korea & Japan will work alongside the major yards on CNG designs and provide support to shipbuilders working on CNG carriers. Furthermore, DNV will have another CNG carrier seminar in the near future with more enhanced knowledge of this novel technology.

DNV