Osaka Gas Completes First Ship-to-Ship LNG Bunkering Operation in Osaka Bay
Key Takeaways
- •Osaka Gas completed the first ship-to-ship LNG bunkering operation in Osaka Bay, supplying an LNG-fuelled PCTC at the Port of Kobe.
- •The bunkering was performed by Seto Azure, owned by Osaka Gas affiliate Osaka Bay LNG Shipping, with Integr8 Fuels arranging the LNG stem.
- •Adding STS bunkering gives Osaka Gas coverage of all three major LNG bunkering methods, complementing its existing truck-to-ship and port-to-ship operations.
- •The operation supports the Port of Kobe's development as a Carbon Neutral Port and aligns with the IMO's goal of net-zero international shipping emissions by or around 2050.
- •Osaka Gas stated that Japan needs to further expand LNG bunkering infrastructure to serve the growing fleet of LNG-fuelled vessels.
Osaka Gas has completed the first ship-to-ship (STS) LNG bunkering operation in Osaka Bay, supplying LNG to an LNG-fuelled pure car and truck carrier (PCTC) calling at the Port of Kobe in Japan.
The operation was carried out using Seto Azure, an LNG bunkering vessel owned by Osaka Bay LNG Shipping, an affiliate of Osaka Gas, the company said in an announcement on Friday.
Marine fuels trading firm Integr8 Fuels arranged the LNG stem delivered to the PCTC, which is operated by an overseas shipping company.
According to Osaka Gas, the operation will help strengthen LNG fuel availability in the Osaka Bay area and support the Port of Kobe's development as a Carbon Neutral Port.
The company already supplies LNG through truck-to-ship and port-to-ship bunkering. With the addition of STS bunkering, Osaka Gas now has coverage of all three major LNG bunkering methods. STS bunkering, in which a dedicated bunker vessel transfers fuel directly to a receiving ship, is generally suited to delivering larger volumes and is the approach used at established LNG bunkering hubs such as Singapore and Rotterdam.
Osaka Gas noted that LNG can reduce CO2 emissions compared with conventional fuel oil, while e-methane-based LNG and bio-LNG could deliver further emissions reductions over the longer term. The operation aligns with broader industry efforts to cut greenhouse gas emissions from shipping, including the International Maritime Organization's strategy of reaching net-zero emissions from international shipping by or around 2050.
The company added that Japan still needs to expand its LNG bunkering infrastructure to support the growing fleet of LNG-fuelled vessels. A key point to watch going forward is whether other Japanese ports follow Osaka Bay in adding STS LNG bunkering capacity, and how the availability of e-methane and bio-LNG supplies develops.
