Woodside Charters First Dual-Fuel LNG Vessel

Woodside said April 12 it has signed a five-year charter contract with Norwegian company Siem Offshore — an agreement that delivers Australia its first LNG-powered marine support vessel in 2017.

Woodside Chief Operations Officer Mike Utsler said the announcement positioned the company as an early adopter of LNG as a marine fuel in the region: "We’re thrilled to be the first company to bring one of these vessels to the southern hemisphere. Australia is on track to become the world’s largest producer of LNG, so it makes perfect sense to build dual-fuel capabilities for our marine fleets here."

“Our LNG tankers use their cargo to power their engines, making them cleaner vessels that use less diesel. It’s natural that we progress this capability through to our support vessels,” he said.

Siem Offshore confirmed it has been awarded a charter contract for a Dual Fuel (LNG and marine gasoil) vessel of design VS4411 by Woodside. It said the charter is for a term of five years plus two options of one year, expected to commence in early 2017. The Norwegian company said the contract "represents a significant milestone for both parties in terms of the commitment to Australia and the Asia Pacific region for Siem Offshore, and a significant step towards sustainable transportation on behalf of Woodside given the environmental benefits of LNG as the primary fuel source."

The vessel will operate as part of the Woodside Integrated Fleet working offshore Dampier, Western Australia.

Mark Smedley