June, 2015 Meeting ECA requirements a new challenge & a new opportunity Please note that the information in this document is supplied for information and discussion purposes only. While ExxonMobil Marine has taken every care in the preparation of this document which has been developed using the best information currently available, it is intended purely as guidance. No responsibility is accepted by ExxonMobil Marine for the accuracy of any information herein or for any omission herefrom. Neither ExxonMobil nor any of its affiliates, officers or employees shall be liable in any way (except in the case of fraud) for any direct, indirect or consequential loss of damage suffered by any recipient as a result of relying on any statement or information contained or omitted herein. Nothing in this document is intended to override the corporate separateness of affiliated companies. References to ExxonMobil, EM, ExxonMobil Marine we, and our are used for convenience and may refer to one or more of Exxon Mobil Corporation, ExxonMobil Marine Limited or its affiliates.
Marine industry changes Source: ExxonMobil 2
Driving change Source: ExxonMobil 3
2015
Solutions 0.10% sulphur Marine Gas Oil (MGO) New ECA Category fuel Liquefied Natural Gas (LNG) Exhaust abatement technologies 5
MGO 0.10% sulphur MGO is widely available Challenges when switching fuels Temperature change could lead to thermal shock which may lead to Loss of Propulsion (LoP) Source: ExxonMobil
The new ECA category ECA Category Fuel Low sulphur content typically associated with MGO Higher viscosity typically found in HFO Lower volatility properties typically found in HFO Reduces risk of engine and boiler damage 7
The new ECA fuel category Sulphur content: maximum of 0.10 percent Viscosity: minimum of 12cSt Flash point: minimum of 70 0 C Different formulations due to refinery configurations 8
Marine fuel stability Fuel stored for long periods can become unstable. The asphaltene content can cause sludge build up Filters and pipes can become blocked with un-pumpable residue Source: ExxonMobil
Marine fuel compatibility Avoid mixing fuels from different sources and formulations to avoid incompatibility Incompatibility problems can result in: Power failure Paralysed fuel systems Timely and costly clean-up Source: ExxonMobil
Testing regimes Fuel stability testing 3 lab tests in ISO 8217 : 2012 Total Sediment Existent (TSE): ISO 10307-1 Total Sediment Potential (TSP): ISO 10307-2 (Thermal Aging) Total Sediment Accelerated (TSA): ISO 10307-2 (Chemical Aging) Fuel compatibility testing (on board) American Society for Testing & Materials (ASTM) D4740 spot test 11
ExxonMobil Premium HDME 50 Heavy Distillate marine fuel Guaranteed to ISO 8217: 2012 RMD 80 Good compatibility except with high asphaltene fuels Available in Amsterdam, Rotterdam and Antwerp (ARA) & Hamburg via barge delivery NOL - MAN Diesel & Turbo Crude oil Distillates Residual products Source: ExxonMobil 12
ExxonMobil Premium AFME 200 Advanced Fuel oil (residual) Guaranteed to ISO 8217: 2012 RME 180 Compatible with ExxonMobil Premium HDME 50 and MGO Available from port of Southampton (U.K.) via barge delivery Source: ExxonMobil Source: ExxonMobil
The impact on lubrication
The lubrication challenge with high TBN 15
The lubrication challenge with high TBN 16
What's on the horizon 2020/25?
IMO fuel availability review IMO decision to start fuel availability review Marine Environment Protection Committee (MEPC) May 2015 Terms of reference agreed Target completion ahead of October 2016 MEPC meeting 18
IMO fuel availability review Refining considerations: Complex integrated business fuels and products Introduction of global S cap Study to consider impact on refining products Investment decisions made by individual refiners Consider refinery investment plans Are assumptions realistic? Source: ExxonMobil