DNG Energy announced on Wednesday that liquefied natural gas (LNG) bunkering operations in Algoa Bay would begin from the second quarter of 2020, as the shipping industry moves away from carbon-based fuels and towards cleaner alternative energy sources.
Aldworth Mbalati, DNG Energy CEO, said the shipping industry faced many challenges relating to decarbonisation, particularly the tightening of sulphur content in marine fuels by the International Maritime Organisation from 3.5% to 0.5% at the start of January 2020.
"The shipping industry faces significant challenges in meeting global sulphur regulations from 2020, as well as ambitious decarbonisation and wider sustainability targets towards 2050," said Mbalati.
He believes Africa’s abundance of LNG can serve as a viable alternative to fossil fuels, with the African LNG sector expected to contribute nearly 10% of global production growth through to 2024. The 160 000-cubic-metre floating LNG storage facility and 8 000-mt LNG bunker barge are set to for launch at South Africa's largest bunkering port in April 2020, with more than 56 000 commercial vessels travelling through the region each year.
