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LNG in north America

A pro-LNG approach within the US maritime industry, combined with the abundance of inexpensive natural gas in North America, has led to a surge in LNG-related activities in the USA.

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Anthony Tse Yen Teo Anthony Tse Yen Teo
Technology and LNG Business Development Manager
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LNG in the US
DNV GL has established a Houston-based LNG Solutions Group – Americas, offering extensive LNG expertise as well as years of experience in business, risk and regulatory matters specific to the North American market.

Thanks to expertise from oil and gas, DNV GL can offer an unrivalled set of capabilities, from major export or liquefaction projects to small-scale bunkering and everything in between. 

The Houston-based group of LNG experts has been communicating frequently with regulatory bodies, including the US Coast Guard, in an effort to understand and help ensure compliance with new US regulations.

MARAD report from DNV GL

The US Department of Transportation’s Maritime Administration (MARAD) awarded DNV GL a contract to analyse the issues and challenges associated with LNG bunkering. It also included the land-side infrastructure needed to store and to distribute LNG. 

The report concluded that the regulatory approval process for LNG bunkering operations and facilities should include a Quantitative Risk Assessment (QRA) that utilises probabilistic risk acceptance criteria to assess the acceptability of the risk posed. To promote safe LNG bunkering operations, the approval should also include completion of a port risk assessment at each port where LNG bunkering is likely to take place. Effective security and safety zone enforcement procedures to promote a safe environment for the port are also necessary.

The US Coast Guard

The US Coast Guard (USCG) currently applies existing regulations with regard to safety. Existing regulations in force specifically for LNG are applicable to LNG as cargo and the transfer of LNG cargo. Consequently, there are gaps, which the USCG covers through policy letters, some of which are completed and some of which are currently being studied and commented upon by the industry in draft form. 

DNV GL is already actively supporting the USCG. The recommended practices and standards that DNV GL issues and its work in technical committees are helping to shape US policies and regulations in this area.