LPG Cargo Operations – Stay Ahead of the Competition!
Whilst the majority of LPG transported in ocean-going tankers are cargoes of butane and propane, the industry incorporates a great deal of cargo supporting the manufacturing industry. Trading in cargoes such as butadiene, ammonia and vinyl chloride monomer provides a reflection of a region’s commerce and economic output. Ammonia is found in all manner of cleaning materials and butadiene is a crucial component in the manufacture of synthetic rubber, as indeed is vinyl chloride monomer.
The consensus of the opinion in the trade press uniformly predicts that though demand for LPG globally will continue to increase in the years up to 2020, the increase in demand will slow. However, the technological advances that have been made in extracting shale gas have meat that the US has been able to export LPG as well as meeting its own internal demand. This has led to a slight increase in the number of LPG tankers under charter, additional to those employed in the traditional LPG exporting regions in the Middle East. Africa is emerging as a recent addition to global consumption of LPG, particularly as it expands its manufacturing capabilities. China and India will continue to expand their use of LPG. Predictions are that post-2020 trading conditions will be more optimistic as developing countries increase their consumption of LPG.
Nonetheless, LPG tanker owners and operators need to be at the top of their game to ensure their ships stay ahead of the competition. With the market in its present state, charterers on either long or short term contracts, will only choose the companies and ships which demonstrate best practice. They will need to see evidence of such best practice in the operation of LPG tankers, with respect to safety and commercial interests.
When the market is low, charterers can afford to be highly selective when it comes to chartering LPG tankers. Though liquefied gas tankers have an almost exemplary safety record, with regard to operational incidents, it is incumbent upon today’s players to uphold this record. It will not be upheld by good fortune alone so a thorough understanding of the requirements of safety, efficiency and environmental protection will be necessary. Equally, an understanding of charterers’ requirements will be required.
All this boils down to an ability to compete and stay ahead of the competition. During periods where there are more ships available than cargo to transport, it is essential for tanker owners to be ahead of the game. PetroKnowledge’s Liquefied Petroleum Gas (LPG) Cargo Operations and Re-liquefaction training course will explain how best practice will expedite cargo operations and demonstrate best practice enabling owners to attract the most lucrative charters.
