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MAROFF-2-Maritim virksomhet og offsh-2

Decision Support in LNG Supply Chains - Improving Shipping by Optimisation Based Decisions

Awarded: NOK 8.8 mill.

Project Number:

187340

Project Period:

2008 - 2012

Organisation:

Location:

Partner countries:

The LNG supply chain is complex. The shipping part should be fully integrated in the planning operations in this value chain. Actors in the LNG business are facing considerable planning challenges; challenges which make use of dedicated decision support s ystems (DSSs) for commercial planning of the vessel utilisation vital. High efficiency in vessel utilisation has great impact on the profitability for the ship operators, as well as positive effects on the environment (reduced emissions of climate gases). Equally important is how the fleet is managed to be able to serve the contractual obligations, and being able to utilise the possibilities in the fluctuating global gas markets. The LNGShipping project will develop the prototypes for the next generation DSSs dedicated for LNG shipping. Due to the distinctive characteristics of LNG shipping, this development presents a lot of research challenges going beyond what is status of today. Duly defined business cases of the LNG ship operators will be a vital bas is for the research to be accomplished. The LNGShipping project will focus the R&D work on three main decision support research tasks: (i) Economics, market trends and contract optimisation in the LNG value chain; (ii) Fleet dimensioning; optimal size a nd mix of a fleet for a given set of transport tasks; (iii) Inventory routing; integration of inventory management with vessel routing decisions. Innovation has been a trademark in Norwegian shipping. Shipping is, however, a global business where continuo us innovation and improvement is required to stay competitive and to maintain market shares and profitability. Competition between value chains rather than between individual shipping operators is an observed trend. This is how the leading global LNG acto rs define their challenges today. Thorough logistics management and dedicated DSSs are deemed to become more crucial in the years to come. The LNGShipping project will give valuable contributions in this respect.

Activity:

MAROFF-2-Maritim virksomhet og offsh-2