Liquefied CO2 (LCO2) marine transportation company Knutsen NYK Carbon Carriers (KNCC) and China’s COSCO Shipping Heavy Industry have signed a joint study agreement to ensure market readiness and detail design development for LCO2 carriers.
The joint study will include the LCO2 carrier based on KNCC’s proprietary LCO2-Elevated Pressure (LCO2-EP) technology. The vessel design, including cargo tanks, has received approval in principle (AiP) in 2022 and the LCO2-EP cargo tanks further attained general approval for ship application ( GASA ) in 2023 from classIfication society DNV.
Specifically, the vessel concept for this study will focus on a direct injection offshore (DIO) vessel that many carbon capture, utilization, and storage (CCUS) projects, especially in the North Sea area, are looking into.
According to KNCC, the DIO can save time and cost in the establishment and operation of a CCUS value chain compared to establishing a dedicated terminal and export infrastructure being onshore or floating.
Oliver Hagen-Smith , CEO of KNCC said: “KNCC is pleased working together with COSCO, and believe the collaboration together will contribute to the realization of CCUS projects. KNCC’s LCO2-EP technology has the best match with direct injection offshore operation as it requires less energy and complexity onboard the vessel compared to other cryogenic modes servicing injection of CO2 to permanent storage sites offshore.
“The operational management is simplified compared to cryogenic modes as the LCO2 is at ambient temperature and relatively higher pressures removing the need for heating offshore prior to injection. Our owners have long relations and first-class expertise for offshore operation through KNCC’s sister company Knutsen NYK Offshore Tankers (“KNOT”) which will contribute to KNCC’s offshore operations.”
Shi Wei , the Executive in charge of COSCO’s Offshore Business believes that the collaboration with KNCC will create significant potential opportunities for CO2 emission reduction-related projects within the shipbuilding and offshore industries.
Japanese shipping major NYK and Norway’s vessel operator Knutsen Group established KNCC as a joint venture company intended for the commercial development of an LCO2 marine transportation and storage business worldwide back in 2022 . NYK and Knutsen each hold a 50% stake in the new company.