Skip to main content

Osaka Gas to launch STS bunkering business in Japan

Published by , Editor
LNG Industry,

Osaka Gas Co., Ltd has announced the launch of a ship-to-ship LNG bunkering business, which is a first for the company, in the Osaka Bay and the Seto Inland Sea. The company is planning to start the operation of an LNG bunkering vessel with a 1500 t capacity in 2026. This commercial undertaking, in which Osaka Gas will sell and provide LNG, aims to supply LNG fuel to LNG-fuelled ships using a bunkering vessel, which will carry LNG loaded at the facilities located in Osaka Gas’ terminals.

The bunkering business was adopted as a project eligible for the Ministry of Land, Infrastructure, Transport, and Tourism’s LNG bunkering hub development programme for 2023 (the subsidy programme). The bunkering vessel construction will be led by Osaka Bay LNG Shipping Co., Ltd (OLS), a company jointly established by Osaka Gas International Transport Inc. (OGIT, Osaka Gas’ 100% subsidiary), NS United Coastal Tanker Kaisha, Ltd (NSUT), and Kobe-Osaka International Port Corporation (HPC).

In this commercial enterprise, OLS will own the LNG bunkering vessel to be constructed under the subsidy programme, NSUT, an established LNG coastal vessel operator, will manage and operate the vessel, and HPC will promote the business and LNG bunkering across the shipping industry in co-operation with the relevant government agencies, port administrator, and officials.

An increasing number of LNG-fuelled vessels is expected to come into operation in the years to come due to the global trend of marine fuel decarbonisation. The International Maritime Organization has set a target of a 50% reduction in greenhouse gas emissions by 2050 from the 2008 level. Introducing e-methane, a carbon-neutral synthetic methane Osaka Gas is developing, to LNG-fuelled vessels will further accelerate the decarbonisation of bunker fuel.

The Daigas Group intends to expand the LNG bunkering business and achieve the commercialisation of e-methane and its application to bunkering, aiming to contribute to the lower carbon and decarbonised marine transportation industry.

Read the article online at:

You might also like


Embed article link: (copy the HTML code below):


This article has been tagged under the following:

LNG bunkering news Japan LNG news LNG as fuel news Asia LNG news