Remontowa to Convert BC Ferries Vessels to LNG

BC Ferries Gdansk-based shipyard Remontowa Ship Repair Yard received a contract to upgrade two Spirit-Class ferries to dual fuel so they can operate on LNG for Canadian ferry operator BC Ferries. Under the USD 140 million contract, beginning in the fall of 2017 and completing in the spring of 2019, the shipyard will conduct renewal of safety systems, marine evacuation systems, rescue boats, fire detection system, public address system and installation of a local water mist fire protection system aboard the companys Spirit of British Columbia and Spirit of Vancouver Island. Last fiscal year, we spent approximately USD 118 million on diesel fuel of which the two Spirit Class vessels consumed approximately 16 per cent, said Mark Wilson, BC Ferries’ Vice President of Engineering. BC Ferries said that, in order to help make the project financially viable, the company pursued funding under incentive programs to help offset any incremental capital costs associated with the use of LNG. The company signed an agreement for a USD 10 million contribution from FortisBC Energy Inc. as part of the Natural Gas for Transportation (NGT) incentive funding. This funding will be used to partially offset the capital cost of converting two Spirit Class vessels to dual fuel capability.