Crowley & Naturgy Deploy First U.S. LNG Carrier To Serve Puerto Rico

Crowley has raised the U.S. flag on American Energy, commencing operations of the first domestic liquified natural gas (LNG) carrier to transport U.S.-sourced natural gas to Puerto Rico. The milestone will provide Puerto Rico with increased access to the reliable supply of U.S.-produced LNG, helping address the island’s ongoing power demands.

Crowley and Naturgy have entered into a multi-year agreement that provides for the regular delivery of the U.S. mainland-sourced LNG to Naturgy’s operating facility in Penuelas, Puerto Rico.

The Crowley-owned carrier American Energy, which has capacity of 130,400 cubic meters (34.4 million gallons) per voyage, will operate in accordance with the U.S. Coast Guard Authorization Act of 1996. The vessel has a CAP 1 rating, certifying its top rating for safety and vessel condition, and its compliance with all regulatory requirements.

“The entry into service of American Energy marks a significant step for fuel supply reliability in Puerto Rico for our energy grid, which will greatly benefit our people,” said Puerto Rico Gov. Jenniffer González-Colón. “This partnership is an initiative to act using existing regulations to increase access to a U.S.-based LNG source that expands our options for the stabilization of our energy grid, as we work towards providing our residents and businesses a more consistently reliable power generation source.”

The 900-foot-long (274 meters) LNG carrier builds on Crowley’s 70-plus years commitment to Puerto Rico. The company also operates the full-service marine Isla Grande cargo terminal in San Juan for its container and roll-on/roll-off vessels, including two LNG-fueled ships, and logistics services. Crowley annually delivers more than 94 million gallons of LNG through its LNG Loading Terminal in Penuelas as well as provides ocean delivery and land transportation using ISO tank containers.

At capacity, each delivery of LNG aboard American Energy provides enough energy to power 80,000 homes for a year. LNG is also a lower-carbon fuel emitting less greenhouse gas (GHG) emissions compared to diesel and other traditional energy sources.

“We are proud and privileged to expand U.S. LNG availability in Puerto Rico in partnership with Naturgy,” said Tom Crowley, chairman and CEO of Crowley Corporation. “LNG is an ample, reliable energy source available in the U.S. that provides a more resilient and lower-emission option as part of our nation’s energy portfolio for quickly serving the growing power needs of Puerto Rico while supporting American jobs, American energy production and U.S. national security.”

“This contract strengthens our presence in the global LNG market, particularly in the United States, and allows Puerto Rico to obtain a stable and competitive energy supply route,” said Jon Ganuza, general manager of supply and wholesale markets, Naturgy.

American Energy will be crewed by U.S. mariners and provide regular service from the U.S. Gulf Coast to Puerto Rico.

“AMO is proud to be a part of this historic partnership that benefits the people of Puerto Rico,” said American Maritime Officers National President Willie Barrere. “U.S. Merchant Mariners, many of whom were born in Puerto Rico, sailing on Jones Act vessels, have been reliably delivering goods to the Commonwealth for decades. Now we will deliver LNG fuel to power the residents and further strengthen the bond between Puerto Rico and our U.S. seafarers.”

“The SIU is tremendously excited about providing crew members for the American Energy,” said David Heindel, president of the Seafarers International Union (SIU). “Our members have a long, proud history of working aboard LNG vessels, and our affiliated school in Piney Point, Maryland, regularly conducts U.S. Coast Guard-approved curriculums that help prepare mariners for this kind of work. We congratulate Crowley, and we look forward to helping safely operate the newly reflagged ship.”

Press Release

Source: Maritime Shipping News