LNG bunkering facility for Teesport
Saudi Arabia Basic Industries Corporation (SABIC) is developing an LNG bunkering facility at Teesport in the UK – a move that will greatly improve efficiency and reduce costs.
This follows SABIC’s agreement with Shell LNG for the supply of LNG fuel to its vessels when calling at Teesport. SABIC says it’s pleased with Shell’s temporary bunkering facility as its Liquefied Ethylene Gas (LEG) vessels now no longer need to bunker the fuel in Zeebrugge, increasing efficiency and reducing costs. It’s also ‘bridging the time’ until its facility opens later this year.
“As a responsible global company, SABIC is committed to providing high-quality products to our customers, while doing all we reasonably can in order to reduce the environmental impact of our operations,” said Paul Ruigt, category manager for shipping and barging, SABIC Supply Chain Chemicals Europe.
“The establishment of the LNG bunkering solution enables us to run the LEG carriers fully on LNG and supports us in meeting our targets on emission reduction. The bunkering solution is part of a bigger project to realise a breakthrough in the application of LNG for short sea shipping by starting and developing a dedicated LNG demand and supply chain in the United Kingdom. This pioneering project is co-financed by the European Union.”
Shell first bunkered the SABIC-chartered vessels Coral Star and Coral Sticho back in May, its first bunkering operation in the UK.
The two LNG-fuelled vessels have been chartered from specialist company Anthony Veder, and operate between Teesport (UK) and ports in Europe. They carry LEG from SABIC’s Wilton facility on Teesside to manufacturing plants in North-Western Europe and Scandinavia. The chemicals will be used to make a range of everyday items such as food packaging, PVC, detergents, and adhesives.
SABIC’s LNG bunkering facility is set to open in Q4 this year.
Teesport, owned by PD Ports, is located less than a mile from the mouth of the River Tees. It’s a deep-water facility with a natural marine opening, providing lock-free access to the North Sea, making it the gateway to the North of the UK.