Together with the Klaipėda State Seaport Authority (KSSA), oil and liquefied natural gas (LNG) terminal operator KN has signed a tripartite agreement on reconstruction of KN berth No 1 with the winners of the public tender.

The winners of the public tender, which was valued at EUR 22.5 million (excl. VAT), were joint venture partners UAB Tilsta and UAB Fegda. It is planned that the partners will carry out construction and dredging work over the course of almost two years.

On the basis of the tripartite construction agreement signed this week, it is planned to adapt the currently unused 235-metre section of Berth No 1 for stevedoring and to dredge the adjacent ship channel to a depth of 17 metres. Once the three planned stages of reconstruction are completed, KN will be able to receive and load three tankers at a time at the Klaipėda oil terminal – currently, it can only receive two tankers.

“The market has been dictating the need for these changes for some time now – the amount of cargo is growing, new types of cargo are emerging, and customer expectations are changing. The new KN oil product storage tank park that is currently operating in pilot mode demonstrates this need – we are already loading a greater variety of products and testing a wider range of loading schemes. This dictates the need to develop and adapt the existing infrastructure, which will give us a competitive edge over other terminals in the region, and also allow us to retain existing customers and attract new ones. The berth reconstruction project will bring added value not only to KN, but also to the entire logistics chain consisting of the Port of Klaipėda, the railway, shipping companies, and Lithuanian and international business partners,” said Darius Šilenskis, KN Oil Business Director and acting CEO.

Under the tripartite agreement signed, KN undertakes to invest in installation of the superstructure for the works planned to be carried out, and the Port Authority undertakes to invest in the quay infrastructure.

“These are extremely significant jobs that will increase the competitiveness of the Port of Klaipėda even more. Once the berths are reconstructed and a maximum depth of 17 metres is ensured next to them, KN will be able to receive more and larger vessels.  Reconstruction of the berths is planned to be carried out in several stages, doing the work in such a way that throughput is not disturbed. In the first phase, the Port Authority will invest EUR 22.52 million. In parallel with this project, the Port Authority is also implementing other public infrastructure improvement projects, such as pier reconstruction and dredging of the canal. All this will create even better conditions for KN to accept the largest tankers that can enter the Baltic Sea,” said Vidmantas Paukštė, Klaipėda State Seaport Authority Infrastructure Director and acting Director General.

After completion of the first stage, two more berth reconstruction stages are planned, each with an estimated duration of about two years. During Stages II and III, there are plans to reconstruct the berth infrastructure currently being used by installing Bolverk-type (anchored sheet pile) berth walls. Reconstruction of the breakwaters (port gates) and dredging of the ship canal to a depth of 17 metres are planned in parallel. Once the project is complete, KN will be able to receive vessels with a draught of up to 17 metres and increase throughput.

The new infrastructure project will be subject to the highest safety and environmental standards and will incorporate progressive technologies that will make the process even more efficient and expeditious without interfering with the stevedoring process during the reconstruction.
“Reconstruction of the KN-managed berths is being planned in close coordination with the KSSA and other parties – we are striving to ensure that the work being done has no impact on the services we provide to our customers and that we are able to receive tankers at two berths throughout the duration of the project,” emphasises Mr Šilenskis.

The cost of the Stage I works assigned to KN comes to just over EUR 1.7 million. Stage I reconstruction work is scheduled to begin within a month.

Leading global heavy lift shipping and offshore transportation and installation contractor Jumbo, and the world’s first commercial, sustainable marine biofuel company GoodFuels, announced a joint initiative to test marine Bio-Fuel Oil on an offshore decommissioning project.

Starting with an initial project, the partnership paves the way for a fossil fuel to renewables energy transition in the offshore support sector – removing infrastructure for fossil fuel production, while simultaneously accelerating the energy transition during that process.

Following GoodFuels’ completion of two successful deliveries of sustainable ‘drop in’ Bio-Fuel Oil in the shipping sector – in tandem with Danish bulk carrier NORDEN A/S and French container line CMA-CGM – this offshore project, alongside Netherlands-based Jumbo, represents a new, exciting market opportunity for sustainable marine fuel, and GoodFuels’ ground-breaking sustainable Bio-Fuel Oil.

In a major signal to the offshore industry – currently transitioning from oil and gas to renewables – this project will see sustainable ‘drop-in’ Bio-Fuel Oil delivered to Jumbo’s offshore vessel, Fairplayer, ahead of her departure to the North Sea, and will be supplied by GoodFuels’ logistics partner VARO Energy.

Wout Janssens, Director Operations & Engineering at Jumbo:
“Jumbo has been developing pioneering solutions for ocean transportation for more than 50 years with sustainable innovation being one of our top priorities. We are, therefore, keen to work together with GoodFuels on this project. By testing the Bio-Fuel Oil, we are taking a major step towards a sustainably powered fleet.”

Dirk Kronemeijer, CEO and Founder at GoodFuels:
“We are very proud of our cooperation with Jumbo, which is taking a market-leading position in testing GoodFuels’ Bio-Fuel Oil. Together with our new partner, we continue to fulfil our mission as accelerators of the energy transition: by now making strides in offshore market, as we have already achieved in the shipping industry.”

Extensive research and development
The sustainable Bio-Fuel Oil has been developed by GoodFuels, the leading provider of sustainable marine biofuels to the global commercial shipping fleet, after undergoing three years of intensive testing with marine engine manufacturers. The second-generation Bio-Fuel Oil is completely derived from forest residues and waste oil products, expected to deliver 80-90% well-to-propeller CO2 reduction versus fossil equivalents, and contains no sulphur oxide (SOx) emissions – all without any requirement for engine modifications.

Yamal LNG announced that it has shipped its twentieth million ton of LNG since the commencement of the project.

The new Arc7 ice-class tanker “Vladimir Voronin” loaded the 273rd cargo as the project reached 20 million tons of LNG produced since the start-up of Train 1 in December 2017. The inaugural voyage of the “Vladimir Voronin” is the twelfth Arc7 ice-class tanker built specifically for the Yamal LNG project.

There are three liquefaction trains currently in operation at Yamal LNG with cumulative nameplate production capacity of 16.5 million tons per annum.