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Pilot Exhaust Gas Cleaning SystemJune 2013

Per A. Brinchmann Wilh. Wilhelmsen ASA

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Some figures for reference

Total fuel oil consumption: 1 600 000 tons

Total cost of fuel: 1 000 000 000 USD

5 000 000 tons of CO2 6 500 tons of NOx 50 000 tons of SOx ?? tons of Particles

140 vessels in 3 commercial operators owned jointly with our Swedish partner Wallenius Lines

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Managing a New Reality

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• Sulphur Regulations• A four-stream compliance strategy

• Low Sulphur Bunker Oil

• Alternative fuels

• Exhaust Gas Cleaning Systems

• ”Scrubbers”

• MGO

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Background; low sulphur fuel challenges

- Availability - Quality- Quantity; tank configuration and capacities- Planning of bunkering- Compliance; enforcement of ECA regulations- Safety and reliability in fuel switch and operation- Crew pressure- Overall cost

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Key points in scrubber pre-study

Vendor assessment

Loss of cargo space

Weight and stability

Retrofit challenges

Power consumption

Fresh water consumption

Chemicals

Operational matters

Crew

Cost

Pay-back

Acceptance in use

OK

OK

OK

??

?

OK

?

OK

OK

?

?

?

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Chosen pilot vessel MV ” Tarago”

Mk IV class RoRo; 38 500 tdw,

Main engine; MAN 22 000 kW,

5 aux. Engines; MAN 7 500 kW in total

Norwegian (NIS) Flag, DNV Class, Built 2000 (Daewoo)

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Some figures for the Tarago pilot scrubber

17 m

7 m20 m

Fuel consumption: 70 tons/day

20.000 tons/year

Price gap MGO / HFO: 350 USD (2015)

Saving potential:

100% in ECAs 7.0 MUSD /year

23% in ECAs 1.6 MUSD /year

Overall project cost 10 MUSD

Third party measurement and verification. Sponsored by the Norwegian Research Councel

Testing starts this summer

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Installation lay out

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1 km of pipes, 10 km cables, 140 drawings…..

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Main scrubber being lifted onboard

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Main scrubber with the two venturies

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New funnel top section; 45 tons

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More scrubbers in our fleet?

Retrofits can be complex and expensive Suitable for newbuilds A competetive advantage Engineering capacity a limitation (?) Technical and financial risks manageable Political risk an issue (?)

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But, most important of all;

….. a highly motivated crew!