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LNG (Dual-fuel) Shipbuild MOU First For Malaysian Maritime Sector
Nov 19, 2018

Three Malaysian companies have reportedly signed a memorandum of understanding (MOU) that would see the first LNG-powered ship built and operating in Malaysian waters by the end of 2020. The project is described as a milestone for the Malaysian maritime sector.

The contract for a dual-fuel platform support vessel (PSV) is estimated to be worth USD 45 million, according to multiple reports in Malaysian publications from an MOU signing ceremony between Synergy Marine ship operators, designers MCTMS and Shin Yang Shipyard.

In a speech at the event, Synergy Marine’s managing director Dato’ Roslan Ahmad reportedly said the move to build an LNG-fuelled vessel was driven by environmental concerns. Mr Ahmad said the 77-m vessel matched the company’s core value of ‘caring for the environment’ while also meeting IMO’s global cap on sulphur in marine fuel.

With the company active in offshore oil and gas, Mr Ahmad cited the recent recovery of oil prices as a precursor to increased activity in the sector and said the move was intended to position the company as a preferred provider in offshore exploration because of its ‘high business ethics’.

The vessel’s keel laying would be in January 2019 and it is expected to be delivered in the fourth quarter of 2020. After completion, this vessel would be available for contract charter from any Oil & Gas contractors and she will be used in particular for operations in the global market.

Synergy Marine has taken on the challenge to invest in doing research and development for the evolution in ship design to the most advanced and high technology in 3D, which include Digital Twin Technology for the new vessel, complete with virtual reality technology for maintenance, safety drills, and training purpose.

Dato’ Roslan Ahmad, Managing Director of Synergy Marine said that using liquefied natural gas or LNG fuel engine system will greatly reduce the emissions of sulfur dioxide, nitrogen dioxide, carbon dioxide, and particulate matter – which will make the environment greener and, at the same time, still complies with international maritime organisation.

“After a long economic recession and global oil prices slump since 2016, currently we can see most of the Oil & Gas companies restart their explorations and productions campaign globally”, Dato’ Roslan Ahmad said. “This is a good sign as it shows that the maritime and shipping industries will grow again. Thus following this observation, we take the next step in this journey to be the most preferred Offshore Support Vessels provider supporting the Oil & Gas exploration and production with high business ethics to meet our customers’ satisfaction.”

The new vessel will measure 76.8 meters in length, breadth of 19 meters, have a deck capacity of 600 square meters and be equipped with a dual-fuel engine system for operation with LNG and diesel fuel.