poseidon med ii
TRANSCRIPT
Poseidon Med II
George Polychroniou Head
Strategy & Corporate Development
Poseidon Med Stakeholders
Conference
19.11.2015
Zappeion, Athens
International regulation on the emission control
ECAs 0.1% from 1 January 2015
Outside ECAs 0.5% from 1 January 2020 or 2025
SOx ECAs are expected
Alternatives based on MARPOL Annex VI
MARPOL - Annex VI
Incremental global LNG Supply relative to 2010
The global LNG market was dominated
by the acceleration of the market
loosening in Asia in 2015, leaving more
volumes to find markets in Northwest
Europe, but also in North America and
the Middle East.
Europe remains heavily dependent on
Russian gas, but LNG imports into
Europe will start to pick up
substantially from 2016 and Russia will
struggle to maintain market share
Lower LNG prices unlock demand based
on different demand drivers, such as
coal displacement in power, indigenous
supply, diversification from pipeline
imports
LNG Net Trade 2014-2020 (bcm)
The increasing role of small scale LNG
Mid scale
storageEnd user
(NG)
Small scale
shippingRegasification
Truck
transport
Ship bunkering
Small Scale
storageEnd user
(NG)Regasification
Gas
explorationLiquefaction
Large scale
shippingHub Regasification Pipeline
End user
(NG)
Small Scale
LNG
Bunkering
Key markets for small scale LNG
The historically high price
differential between natural
gas/LNG and low emissions oil
products and the need to meet
the growing restrictions on
ship emissions, are key drivers
for using LNG as Marine fuel.
LNG can compete favorably in
the heating, commercial, and
industrial sectors with
conventional fuels such as
diesel and propane in areas
not currently served by
regional pipeline gas
infrastructure.
LNG is increasingly becoming
the most economical, cost-
effective, and environmentally
friendly alternative to
conventional transportation
fuels for heavy-duty trucks
and fleets.
Marine Fuel Road Transport Fuel Off-grid customers
Development of LNG Fuelled fleet
100+
190+
90% increase
in 3 years
*Source: DNV -GL
LNG Fueled Fleet Trend
Global
DevelopmentVessels in operation Confirmed overbook
*Source: DNV-GL
All confirmed Projects
(in operation & on order)
Poseidon Med II
POSEIDON MED II
The total budget of the project is € 53M, 50% of which will be co-financed by the European Union.
The objective is to motivate and provide the necessary tools for Greek
Authorities in order to adopt a regulatory framework for the bunkering of
gas-fueled (LNG) ships by:
• Identifying the key technical and economic framework of the small scale
LNG as marine fuel value chain in the South Aegean Region, by
analyzing current situation and proposing sustainable marine LNG
supply chain and business plans and then by:
• Making recommendations of a legislative and regulatory nature with
regard to both the technical and financial aspects of the proposed LNG
supply chain
Archipelago LNG Project
Partners
3 Countries
• Greece
• Cyprus
• Italy
• Piraeus
• Patrai
• Heraklion
• Igoumenitsa
• Limassol
• Venice
6 Ports
Poseidon Med II – Region of Action
Poseidon Med II - Partners
Energy
DEPA (GR)(Project Manager &
Coordinator)
DESFA (GR)(Technical Coordinator)
Piraeus (GR)
Heraklion (GR)
Patras (GR)
Igoumenitsa (GR)
Limassol (CY)
Venice (IT)
Minoan Lines (GR)
Blue Star (GR)
Attica Ferries (GR)
ANEK (GR)
Neptune (GR)
Hellenic Seaways (GR)
Arista (GR)
Lavar (GR)
HSSA-EENMA (GR)
SEEN (GR)
Hellenic Lloyd's (GR)
OceanFinance (GR)
CERTH-EKETA (GR)
EPE (GR)
NAP (GR)
Rogan (GR)
R.R. Panfido (IT)
Bunkernet (CY)
Ports Shipping Technical/Financial
Cooperation among 26 partners
Poseidon Med II - Objectives
Facilitate in the Member States adoption of legislation for LNG bunkering operations
Design extension of the Revithoussa LNG terminal for load bunkering vessels (feeder
Design & construct LNG fueled specific feeder vessel (pilot action)
Implement technical design & plan approvals for the retrofit / new building of LNG fueled
vessels & ports infrastructure / installations
Examine potential synergies with other uses of LNG
Develop a sustainable LNG trading & pricing pattern
Develop financial instrument for port and vessel installations
1
2
3
4
5
6
7
Poseidon Med II - Roadmap
Design Pilot Truck
Loading Facility for
Revithoussa LNG
Terminal
Design’s
Approval for the
Selected
Vessels by
Classification
Society
Shipyards
Preparedness
Update Master
Plans for
Revithoussa &
Selected Ports
LNG Infrastructure
Engineering Design
for Revithoussa &
Selected Ports
LNG Bunker
Barge Design
Retrofit Designs
for LNG Fueled
Vessels
Construction of
LNG Related
Parts of a pilot
action Vessel
Determine
Sustainable
Marine LNG
Pricing
Patterns
Plan
Efficient
Supply
Chain
Recommend
Regulation
Standards for
Bunkering
System
New Buildings
Designs for
LNG Fueled
vessels
2020
2016
Demand Supply
Retrofit of Vessels
(Funding & Financial Tools)
Competitive LNG Pricing
Pre – Conditions for effective LNG Bunkering
LNG Supply Security
Well Designed Supply Chain
Cooperation between all involved Stakeholders
Thank you!
George Polychroniou Head, Strategy & Corporate Development
DEPA S.A.
T: +30 2701229
www.poseidonmed.eu