An Liquefied Natural Gas (LNG) Tanker is a heavy tank vessel made for transportation of liquefied petroleum gas (LPG) at sea. As crude oil prices continue to stay at current prices, the demand for LPG has increased and the number of LPG ships from the sea has increased. The number of ships using LPG as fuel continues to increase while the capacity of the ships is decreasing. Because of this, demand for tankers that are able to transport LPG in large quantities and at controlled temperature rises.
Liquefied Natural Gas (LNG) Tanker shipments to Asian countries are increasing day by day due to a number of reasons. First of all of the price of crude oil is touching an all-time large. This has made Asia a more significant buyer of LNG than Europe or North America. Asia’s population is growing considerably and so is its need for energy. It has become evident that more Asian economies will be the major consumers of LNG over the next ten years.
The demand for LNG is directly proportional to the quantity of gas in the ground in comparison with the yearly consumption. If there is not much natural gas in the ground, then there will be no need for it. Therefore, the availability of LNG on the market plays a decisive role in determining the purchase price of gas in the market. The demand for LNG is increasing in spite of the fact that there is very little supply of the commodity on the planet. If we carefully analyze the supply scenario of the future, it is evident that in the coming years, the world will require a lot more LNG than the supply available now. This will have a significant impact on the costs of natural gas.
Because of the high demand for LNG, there are certain governments which are offering lucrative tax concessions to businesses and individuals who purchase LPG tankers. These governments feel that the high prices of natural gas should be controlled or taxed sufficiently in order to offer the consumers with an adequate quantity of energy. In the United States, the government is looking at several alternatives to tax the export of LPG. By way of example, it may impose a tax on the expense of transporting the LPG across state lines.
Additionally, it proposes to levy an import tax on LPG to suppress the over-supply of the commodity. Some European Union countries like Ireland and Norway have issued a restriction on the export of LPG. But, the United States has so far, stayed mum on the issue. There are several reasons why the U.S. is not contemplating taxing the export of natural gas.
According to a recent report prepared by the Natural Resources Defense Council, U.S. lacks the expertise to safely transport LPG through water. Experts in the area of sea shipping say that there is a high risk of oil spill in the case of ocean transport of natural gas. Oil transported by sea is subject to piracy and oil spills are prone to occur. There is also a threat of land accidents as oil tankers do not have enough space to move at safe speeds along the oceans.
A natural gas tanker might be a suitable solution to satisfy the increasing demand from the U.S. for fuel. There are two unique types of natural gas carriers, namely, surface-carrying and offshore-transit vessels. Most natural gas will be transported by surface-carrying vessels as they are cheaper and faster. They have better capacities to transport volumes of natural gases. An average natural gas carrier boat can manage about 200 tons of natural gas. But, most natural gas carriers need a license for transporting bulk quantities of natural gas.
The cost of a natural gas tanker varies from one carrier to another. There are lots of factors that influence its cost including the fuel density of the natural gas and its speed. Prices of organic gases have taken up recently as demand for it has increased. If you’re looking to purchase a natural gas tanker, there are certain points that you must consider.
First, the natural gas carrier company will negotiate with the manufacturer of the natural gas to be able to get the best price for his freight. It is much better to take a look at prices of different carriers online before investing. This gives you an idea of the price that may be charged by different companies for transporting natural gas. Additionally it is important to figure out how the natural gas is carried and stored once it is in transit to get an idea of its storage capacity. As soon as you know how much you can invest, you’ll have the ability to gauge whether you’ll have the ability to make a profit when you purchase a natural gas tanker.