LNG as tug fuel faces operational hurdles

The viability of using LNG as a fuel for marine services at major import and export terminals faces significant challenges, according to Smit Lamnalco LNG business project developer Andy Brown.

Speaking at the LNG Shipping & Terminals conference in November in London, Mr Brown highlighted practical and economic obstacles, particularly for marine services such as escort tugs.

“The plus aspect is there is available fuel there,” said Mr Brown. “You’re working at an LNG terminal, so you’ve got the ability to have the fuel.”

However, he noted the differences in manifold sizes and operational demands create logistical and engineering challenges. Terminals equipped to handle LNG carriers are not easily adapted for smaller vessels, requiring potentially costly modifications or separate fuelling systems.

Beyond infrastructure, operational profiles of tugs further complicate LNG adoption. Unlike large carriers operating at high loads, tugs often spend extended periods idling, a condition not suited to current LNG engine technology.

“Engine manufacturers are working towards ways of developing anti-slip… but I don’t think we’re there yet,” Mr. Brown observed.

The economic case for LNG fuelling in marine services also remains tenuous. Annual demand for such vessels is minimal, with terminals requiring as little as 300 to 600 tonnes of LNG per year compared with the millions of tonnes handled for export.

“If I go into this investment, will I get that return on investment? In the majority of cases, you may not,” Mr Brown explained, adding training crews and retrofitting vessels in compliance with the IGF Code further inflate costs.

Despite the hurdles, Mr Brown pointed to examples of innovation, such as dual-fuel vessels operating from floating storage and regasification units (FSRUs) in Hong Kong and Dubai. These models demonstrate feasibility but depend heavily on local infrastructure and economic factors.

“The big challenge for the industry is how we get that infrastructure and the necessary qualifications for mariners,” he said.

While FSRUs show promise as LNG bunkering hubs, the broader adoption of LNG for marine services will require significant advancements in engine technology, crew training, and cost reduction to present a compelling business case.