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LNG 400BRUSSELS: Belgian gas operator Fluxys said it had signed deals to load 200 small LNG vessels from a new jetty due to open in 2015, a latest sign that LNG use for transport is picking up.

 

The new jetty at one of Europe's largest LNG terminals will be able to receive vessels with a capacity as small as 2,000 cubic metres, also known as bunker ships that supply larger vessels with LNG used as fuel.

 

"The Zeebrugge LNG terminal is paving the way towards becoming a hub for small-scale LNG use. This means using LNG as an alternative fuel for ships and long-haul trucks," Fluxys said in a statement.

 

A spokesman said the company had signed, or was close to signing, long-term contracts spanning 5-10 years for the use of 200 berthing slots at the new jetty with companies mainly from north-west Europe.

 

New EU regulation to reduce sulphur emissions in the shipping industry will come into force in 2015 and LNG can be used as a cleaner fuel to power large ships.

 

Ports around the world have already announced plans to supply LNG as transport fuel and Belgium's Zeebrugge is the latest one to join competitors from Rotterdam to Singapore.

 

Fluxys said it was speaking to the Flemish government and other Belgian ports, including one of Europe's biggest at Antwerp, about adapting downstream infrastructure to supply ships and trucks with LNG.

 

The Belgian gas market operator had also planned to open a fifth LNG storage tank at Zeebrugge, but the spokesman said the project was on hold.

 

"The project is still there but it's on hold, we're waiting for better market conditions," he said, adding that higher LNG price in Asia had sapped interest in sending LNG to Europe.

Copyright Reuters, 2012

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