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 remain at current rates, the demand for LPG has increased along with the amount of LPG ships from the sea has increased. The amount of ships using LPG as fuel continues to increase while the capacity of these ships is decreasing. As a result, demand for tankers who are able to transport LPG in large quantities and at regulated temperature rises.
Liquefied Natural Gas (LNG) Tanker shipments to Asian countries are increasing day by day due to several reasons. First of all the cost of crude oil is touching an all-time large. This has made Asia a more important buyer of LNG compared to Europe or North America. Asia’s population is growing considerably and so is its need for energy. It has become evident that more Asian markets will be the major consumers of LNG over the next decade.
The demand for LNG is directly proportional to the volume of gas in the ground compared to the annual consumption. If there is not much natural gas in the ground, then there will be no demand for it. As a result, the availability of LNG on the marketplace plays a decisive role in setting the price of gas in the market. The demand for LNG is increasing in spite of the fact that there’s little supply of the commodity in the world. If we carefully analyze the supply scenario of the future, it is evident that in the coming years, the world will want a lot more LNG than the supply available today. This will have a significant impact on the prices of natural gas.
Due to the high demand for LNG, there are particular governments that are offering lucrative tax concessions to companies and individuals who buy LPG tankers. These governments believe that the high costs of natural gas ought to be controlled or taxed sufficiently so as to offer the consumers with an adequate quantity of energy. In America, the government is considering several alternatives to tax the export of LPG. By way of instance, 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 curb 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, remained mum on the matter. There are lots of reasons why the U.S. isn’t considering 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 transfer LPG through water. Experts in the area of ocean shipping say that there is a high risk of oil spill in the event of ocean transport of natural gas. Oil transported by sea is subject to piracy and oil spills are prone to happen. There’s also a threat of property accidents as oil tankers do not have enough space to maneuver at safe speeds along the seas.
A natural gas tanker might be a suitable solution to meet 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 since they are cheaper and faster. They have better capacities to transport volumes of pure gases. A normal natural gas carrier boat can manage about 200 tons of natural gas. However, most natural gas carriers need a license for transporting bulk quantities of natural gas.
The expense of a natural gas tanker varies from one carrier to another. There are several factors that influence its price such as the gas density of the natural gas and its rate. Prices of organic gases have shot up recently as demand for it has increased. If you are looking to purchase a natural gas tanker, there are certain points you have to consider.
First, the natural gas carrier company will negotiate with the producer of the natural gas to be able to get the best price for his freight. It’s much better to check out prices of different carriers online before investing. This gives you an idea of the cost that can be charged by different companies for transporting natural gas. It is also important to find out how the natural gas is carried and stored once it’s in transit to get an idea of its storage capacity. Once you know how much you can invest, you’ll have the ability to gauge whether you’ll be able to make a profit when you purchase a natural gas tanker.