Spain's Gas Natural To Bunker Ferry Line

Spanish gas marketer Gas Natural (GN) said January 18 it has signed the first contract in Spain for the ongoing supply of LNG for ship bunkering.

It has contracted to supply Spanish shipowner Balearia for ten years, initially at the ports of Barcelona, Valencia and Algeciras, but later extending to all the peninsular ports where it operates. It was signed in Madrid by Balearia president Adolfo Utor and GN's director of Iberian wholesale marketing Joaquin Mendiluce (see photo below). 

GN said it will have a dedicated bunkering vessel in Barcelona, whereas in Valencia and Algeciras bunkering will be done whilst ships are berthed, for example with LNG supplied by road.

Balearia in February 2017 said it had ordered two more ferries, taking the total of its fully LNG-fuelled ferries on order to four;  the first of these entered service early 2017 while the others are expected to service in 2019; they will operate in the Mediterranean. "We bet on clean energy because we are convinced that we can fight against climate change and at the same time be competitive," said Utor.

GN bunkered Balearia's first ferry able to run off LNG in late January 2017, in the first LNG bunkering operation of its kind for the port of Barcelona; it's understood the shipowner is using regas LNG mainly while in port. Balearia operates ferry services from mainland Spain to the Balearic islands, as well as to Spain's north African enclaves of Ceuta and Melilla, carrying 3.5mn passengers in 2016 as well as cargo.

GN's statement did not say how much it expects to deliver annually to Balearia, or whether the supply would start immediately.

GN said that some 119 ships currently operate with regas LNG as fuel, and there is a backlog of 125 new orders out to 2025. The global fleet powered by LNG increases at a rate of 15% to 25% per year, it added, so if the trend continued in 2025 there could be a world fleet of 300 and 600 vessels.

Balearia president Adolfo Utor (right) with Gas Natural’s director of Iberian wholesale marketing Joaquin Mendiluce, after the contract signing January 18 2018 (Photo credit: Gas Natural)