An Liquefied Natural Gas (LNG) Tanker is a heavy tank boat made for transportation of liquefied petroleum gas (LPG) at sea. As crude oil prices continue to stay at current rates, the demand for LPG has increased and the amount of LPG ships from the sea has risen. The number of ships using LPG as fuel continues to increase while the capacity of these ships is decreasing. As a result, demand for tankers that have the ability 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 the cost of crude oil is touching an all-time high. 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 is now evident that more Asian economies will be the significant consumers of LNG over the next ten years.
The demand for LNG is directly proportional to the volume of gasoline in the ground compared to the yearly consumption. If there isn’t much natural gas in the ground, then there will be no demand for it. Therefore, the availability of LNG on the marketplace plays a decisive role in setting the purchase price of gas in the market. The demand for LNG is increasing despite the fact that there is little supply of the commodity in the world. If we carefully analyze the supply scenario of the future, it’s evident that in the coming years, the world will require a good deal more LNG than the supply available today. This will have a significant impact on the prices 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 ought to be controlled or taxed sufficiently so as to provide the users with an adequate amount of energy. In america, the government is considering several options 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.
It also 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 matter. There are several reasons why the U.S. is not considering taxing the export of natural gas.
According to a recent report prepared by the Natural Resources Defense Council, U.S. lacks the experience to safely transfer LPG through water. Experts in the field of sea 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 land accidents as oil tankers don’t have enough room to move 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 different forms 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 quicker. They have better capacities to transport volumes of pure gases. A normal natural gas carrier boat can manage about 200 tons of natural gas. But, most natural gas carriers need a license for transporting bulk amounts of natural gas.
The expense of a natural gas tanker varies from one carrier to another. There are several factors that influence its price including the fuel density of the natural gas and its rate. Prices of natural gases have taken up recently as demand for it has increased. If you’re looking to invest in a natural gas tanker, there are particular points you have to consider.
First, the natural gas carrier company will negotiate with the manufacturer of the natural gas to be able to obtain the best price for his cargo. It’s much better to take a look at prices of different carriers online before investing. This gives you an idea of the cost which may be charged by different companies for transporting natural gas. It is also important to figure out how the gas is carried and stored once it is in transit to get an idea of its storage capacity. Once you know how much you can invest, you’ll be able to gauge whether you will have the ability to make a profit when you purchase a natural gas tanker.