K Line, NYK and Partners Eye LNG Bunkering in Japan
- Business & Finance
Japan’s shipping majors K Line and NYK Line have launched joint discussions with two compatriots on establishing an LNG bunkering business in Japan.
Namely, K Line and NYK Line, together with electric utilities provider Chubu Electric Power and trading company Toyota Tsusho Corporation, are looking to commercialize a new business to supply liquefied natural gas as a marine fuel to ships in the country’s Chubu region.
The four companies will jointly discuss specific LNG customers and supply methods in preparation for the commercialization of LNG bunkering business.
The talks were launched on the back of expectations that LNG would become an important alternative to heavy fuel oil due to its relatively low emissions of air polluting substances and greenhouse gases.
Compared to heavy fuel oil, the use of LNG can reduce emissions of sulfur oxides (SOx) and particulate matter by 100%, nitrogen oxides (NOx) by as much as 80%, and carbon dioxide (CO2) by some 30%, K Line said.
As such, LNG would enable ships to meet increasingly stringent international regulations on emissions.