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<p><b><font face="Arial" size="5">Increasing LNG Carrier Cargo Capacity</font></b></p>
<p><font face="Arial" size="4">The current cargo capacity of 138,000 cubic meter
can be increased substantially when the engineroom bulkhead and the aft cofferdam
are moved further aft. Changing the overall length or the draft is not recommended,
as some major LNG ports have size restrictions. Changing these parameters would
impair the flexibility of the vessel. Gas turbine propulsion will allow a rearrangement
of the engineroom, since the gas turbine is much smaller than the steam turbine
and its steam boilers.</font></p>
<p><font face="Arial" size="4">Moving the ER bulkhead aft from frame 71 to frame
45 extends the cargo hold by 20.8 meter. If the gain in gargo hold length is
distributed over the four cargo tanks, an increase of 19,000 cubic meter in
cargo capacity can be realised. The advantage of this version of the LNG carrier
is that it can accommodate both gas turbine electric and gas turbine mechanical
drive. The hull form does not have to be changed, so the redesign costs are
minimal.</font></p>
<p><font face="Arial" size="4">A total rearrangement of the LNG carrier would
yield even better results. Cargo capacity would increase by 24,000 cubic meter
over the standard design, while the increase thermal efficiency of the combined
cycle gas turbine power plant brings fuel cost down by 40%. Increased propulsion
efficiency from the podded drive system would bring fuel consumption down even
further. Newbuiding cost can be reduced because of the simplified construction
of the aft ship, without complex curves around the propeller boss. </font></p>
<p><b><font face="Arial" size="5">Comparison</font></b></p>
<p><font face="Arial" size="4">In order to show the true revenue making potential
of gas turbine driven LNGC alternatives, they have to be compared with the current
state-of-the-art conventional LNGC. First of all, on the basis of many contact
with the LNG shipping community the most likely LNGC configuration was selected
on the basis of technological merits.</font></p>
<p><font face="Arial" size="4">Initially, calculations showed the gas turbine
electric podded drive LNGC to have the best revenue making capacity, with its
high cargo capacity and highly efficient propulsion system. However, in the
light of recent events involving podded drive failures, it seems that the reliability
of these systems does not yet comply with the requirements of the LNG shipping
industry. </font></p>
<p><font face="Arial" size="4">The next best alternative, the gas turbine mechanical
drive LNGC offers unsurpassed thermal efficiency and high cargo capacity. However,
the durability of the reduction gear, clutches and reversing gear for the FPP
in commercial marine application is as yet unknown. Some owners have voiced
objections to an alternative equipped with a CPP, citing its slightly lower
propulsion efficiency. </font></p>
<p><font face="Arial" size="4">The gas turbine electric drive LNGC combines excellent
thermal efficiency and high cargo capacity, paired with the use of proven technology
in the power train. Electric drive systems have gained some acceptance within
the LNG shipping community, as illustrated by the order for one 74,000 cubic
meter diesel-electric drive LNGC at Chantiers de l'Atlantique last year. Reliability,
redundancy and revenue are the key words to this propulsion alternative.</font></p>
<p><font face="Arial" size="4">To check the economic viability of the gas turbine
electric drive LNGC, a cost calculation model has been designed using a range
of input parameters to calculate long run economic performance under differing
circumstances and on different trading routes. Three LNG trades are simulated;
the short trade (Algeria - France), the medium trade (Trinidad - Spain) and
the long trade (Qatar - Korea/Japan). Two different liquid fuel price levels,
representing the extremes of the last ten years, have been used to check the
survivability of the gas turbine drive alternatives in changing economic circumstances.
</font></p>
<p><font face="Arial" size="4">Six different aero-derivative gas turbines configuration
have been selected to take part in the comparison, making this study the first
full-scale performance comparison of all major aero-derivative gas turbine makes
for commercial marine propulsion.</font></p>
<p align="LEFT"><font face="Arial" size="4">There are a number of preliminary
conclusion to be drawn:</font></p>
<ul>
<li><font face="Arial" size="4">First of all, the cargo delivered by all gas
turbine driven LNGCs are substantially higher than that of the conventional
LNGC, which translates in additional income;</font></li>
<li><font face="Arial" size="4">Quite surprisingly, high liquid fuel prices
are actually favourable for the gas turbine propulsion system. The explanation
is that the thermal efficiency of the gas turbine based propulsion plants
is so high that the effects of high liquid fuel prices on the total operating
cost are much less than for the steam turbine powered conventional LNGC. On
the loaded voyage, the gas turbine driven LNGC hardly needs any liquid fuel,
while the conventional LNGC relies on liquid fuel for about 40% of its total
energy requirements;</font></li>
<li><font face="Arial" size="4">On shorters trades, the effects of an increase
in cargo capacity are more pronounced than on longer trades. On the short
trade, a gas turbine electric driven LNGC transports the equivalent of 9.6
conventional LNGC cargoes extra per year, against 1.7 extra cargoes on the
long trade. The additional revenue from this additional cargo improves return
on investment significantly, which in turn makes it easier to finance such
a newbuilding project;</font></li>
<li><font face="Arial" size="4">Even on long trades, with low liquid fuel prices,
the gas turbine driven LNGC still generates over USD. 110M in additional revenue
over a 20 year period, even whenthe ballast voyage has to be made on liquid
fuel only. This worst case scenario clearly illustrates that gas turbine driven
LNGCs provide a safe and steady stream of additional revenue even under the
"worst" of circumstances;</font></li>
<li><font size="4" face="Arial">Gas turbine powered LNGCs are flexible and profitable
under all circumstances. Switching between long and short charters does influence
the overall rate of return on investment, but it will always be substantially
higher than the ROI of conventional LNGCs. Fuel costs for long ballast voyages
on liquid fuel only are indeed higher than those of conventional LNGCs, but
much lower fuel cost for the loaded voyage more than compensate this disadvantage.
This makes the gas turbine powered LNGC also suitable for the carriage of
spot cargoes, which sometimes requires longer ballast voyages without heel;</font></li>
<li><font face="Arial" size="4">The gas turbines GT1, GT2, GT3 and GT6 show
almost identical performance, which brings increased competition to LNGC propulsion
market, currently dominated by two Japanese steam turbine manufacturers. The
resulting effect on the general price level for LNGC newbuildings can be very
beneficial for owners considering fleet extentions or renewal.</font></li>
</ul>
<p><font size="4" face="Arial">Additional calculations show that, under certain
circumstances, it is economically feasible to re-engine a conventional LNGC
with a gas turbine electric drive power plant incorporating gas turbine types
GT1, GT2, GT3 or GT6, even if the cargo capacity is not increased. However,
the conversion should take place early in the charter for the conversion to
be profitable and the vessel will not have the same flexibility and high ROI
as LNGCs especially designed to exploit the benefits of gas turbine propulsion
to the maximum.</font></p>
<p><b><font face="Arial" size="5">Conclusions</font></b></p>
<p><font face="Arial" size="4">The case for gas turbine electric drive LNGCs is
very strong:</font></p>
<ul>
<li><font size="4" face="Arial">Gas turbine driven LNGC generate between USD.
110M and USD 270M additional revenue over conventional LNGC income;</font></li>
<li><font size="4" face="Arial">Gas turbine driven LNGCs are flexible and can
be profitable employed on all LNG trades worldwide;</font></li>
<li><font face="Arial" size="4">Gas turbine electric drive allows for an increase
of 14% in cargo capacity, within the current overall dimensions, ensuring
continued access to most LNG port facilities;</font></li>
<li><font face="Arial" size="4">Gas turbine electric drive increases thermal
efficiency of the propulsion plant to above 50% and reduces dependancy on
supplementary liquid fuel or FVG, thus reducing operational cost;</font></li>
<li><font face="Arial" size="4">Gas turbine power plants are very competitively
priced, because of the number of aero-derivative gas turbine manufacturers
and the number of gas turbine packagers;</font></li>
<li><font size="4" face="Arial">Gas turbines continuously offer excellent reliability
in many critical applications, due to their aero-engine parentage;</font></li>
<li><font face="Arial" size="4">Gas turbine power plants are packaged and factory
tested, and are therefore easy to install and commission;</font></li>
<li><font face="Arial" size="4">Gas turbine power plants are easy to maintain
and replace, due to modular design and low weight, which allows for module
or complete exchange in site without dry-docking;</font></li>
<li><font size="4" face="Arial">Competition in the field of gas turbine maintenance
is fierce and prices reflect this;</font></li>
<li><font size="4" face="Arial">Steam system knowledge is available within the
LNG shipping community to manage the steam plants incorporated into the gas
turbine combined cycle power plants.</font></li>
</ul>
<p><font face="Arial" size="4">With the LNG shipping market heading for a change,
operating margins will come under pressure. Gas turbine driven LNG carriers
provide a substantial increase in revenue at lower costs. Why not invest in
a much more efficient vessel, when it doesn't cost more than a conventional
vessel? </font></p>
<p><font face="Arial" size="4">MPT Consultancy can assist you in the design, specification
and construction of the next generation of LNG carriers.</font></p>
<p><font face="Arial" size="4">More information on the gas turbine types and configurations
can be obtained from MPT Consultancy. Please contact:</font></p>
<p><font size="4" face="Arial">Alexander Harsema-Mensonides<br>
General Manager<br>
tel mobile +46 70 587 5796<br>
e-mail <a href="mailto:lngc@mptconsult.com">lngc@mptconsult.com</a></font></p>
<p><font face="Arial" size="4">MPT Consultancy<br>
Droskvägen 8<br>
S-246 57 Barsebäck<br>
Sweden</font></p>
<p><font face="Arial" size="4">tel +46 46 704 440<br>
fax +46 46 704 441<br>
e-mail <a href="mailto:info@mptconsult.com">info@mptconsult.com</a><br>
website <a href="http://www.mptconsult.com">http://www.mptconsult.com</a></font></p>
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