Singapore LNG Completes First Vessel Cool-Down Service

Singapore LNG (SLNG) performed its first Vessel Cool-Down Service on 29 September following an agreement signed with MISC Berhad. This is the first agreement for Vessel Cool-Down Services that SLNG has entered into, and the first cool-down was performed on one of MISC’s LNG ships, the Seri Bakti.

SLNG began commercial operations on 7 May 2013 and has since been providing Throughput Services – which is its core business – to Aggregator, BG Singapore Gas Marketing Pte Ltd, and its customers. The provision of Vessel Cool-Down Services is an important first step for SLNG towards expanding its portfolio of services to optimise the use of the terminal’s facilities, and for Singapore to eventually develop into a Gas Hub for the region.

LNG ships transport LNG in tanks under cryogenic temperatures (around -160°C), and there are many reasons why an LNG ship would need to cool-down its tanks. For example, when an LNG ship is newly built, or when it comes out of dry-dock (i.e. after completing maintenance or repairs), its tanks are at ambient temperatures. The tanks thus need to be cooled down, using small quantities of LNG, before the ship can proceed to load its first or next LNG cargo.

“Singapore is a major ship repair and maintenance centre and there is a natural synergy between the ship yard and our Vessel Cool-Down Services – LNG ships coming into Singapore for repairs will find it convenient and cost-effective to undergo vessel cool-down at our terminal; conversely, the availability of Vessel Cool-Down Services in Singapore enhances its attractiveness for LNG ships to undergo repairs here,” said Neil McGregor, Chief Executive Officer of SLNG. “On top of these, Singapore’s providential geographical location, right in the middle of major LNG shipping routes and in close proximity to key shipbuilding centres such as South Korea, Japan and China, will further help to attract customers for these Services.”

[mappress]

Singapore LNG, October 11, 2013