Silverstream reaches over 200 orders with new 18-strong LNG carrier deal
o Energy major orders the Silverstream® System for 18 LNGCs
o Substantial clean technology order part of largest ever Chinese shipbuilding deal
LONDON, 28 August 2024: Maritime clean technology leader Silverstream Technologies has surpassed 200 orders for its air lubrication system with its latest confirmed deal. The Silverstream® System will be installed onboard 18 new 271kcbm “QC-Max” class LNG carriers, which will be chartered by a global energy company and owned and operated by shipping majors.
Silverstream’s current orderbook includes 57 LNG carriers, spans 9 vessel segments, and includes 20 repeat customers, including 7 major ship owners and 13 of the world’s largest shipyards. The company also has 82 systems in operation onboard the existing fleet.
Over the total lifetime of all contracted vessels, Silverstream estimates that its air lubrication technology will save its current customer base almost $5 billion in fuel costs and prevent the emission of over 19 million tonnes of CO2. Additionally, this CO2 reduction is projected to save approximately $2 billion through existing carbon tax systems.
Silverstream is proud to be part of the largest shipbuilding deal in China and to be supporting Chinese shipbuilding growth. These are the first 271kcbm LNG carriers to be wholly designed, build, maintained and serviced in China.
Noah Silberschmidt, Founder & CEO, Silverstream Technologies said: “Silverstream was founded in 2010 with a vision to have a positive impact on shipping’s decarbonisation journey. Surpassing over 200 orders is a significant milestone for us, highlighting the tangible emissions and cost savings we have delivered for shipowners and operators. This achievement also demonstrates the meaningful impact we are making on the industry’s green transition. Our market-leading Silverstream® System is fast becoming a standard choice on newbuild vessels and a leading retrofit option improving vessel efficiency and sustainability.”
The Silverstream® System shears air from air release units (ARUs) in the hull to create a uniform carpet of microbubbles that coats the full flat bottom of a vessel. As a result, frictional resistance is decreased, cutting average net fuel consumption and GHG emissions by 5-10%. The system is fuel agnostic, effective in all sea states, and is applicable to all shipping segments.
As the shipping industry’s decarbonisation transition progresses, evolving regulatory and market drivers are strengthening the rationale for adopting vessel fuel efficiency solutions. LNG carriers could fall into non-compliant categories (D and E) of the IMO’s Carbon Intensity Indicator (CII) framework, largely because of the way in which they handle boil-off gas. Meanwhile, the EU’s Emissions Trading System (ETS) is adding a progressive cost to emissions, increasing in scope from 40% of emissions in 2024 to 70% in 2025 and 100% in 2026. This means that technologies such as the Silverstream® System not only lower fuel consumption and emissions, but also help to cut the costs of regulatory compliance.
According to recent Clarksons data, at least 33% of the world’s ships are fitted with a form of energy saving device by gross tonnage, but the number of vessels is only 8700, compared to a global fleet of 110,500.
By sector, container ships have seen the highest clean technology uptake with over 48% of fleet capacity fitted with at least one solution, followed by tankers and cruise ships, both over 38%, and bulkers over 35%. Air lubrication systems are attracting growing interest from shipowners with 500 systems either in operation or set to be installed on newbuilds on order.
The Silverstream® System, which makes up a significant proportion of the industry’s ALS uptake, is suitable for both retrofit and newbuild installations.
About Silverstream Technologies
Silverstream Technologies is a market-leading maritime clean technology company specialising in hull air lubrication. The company is headquartered in London with offices in Southampton (Global Operations Centre) and Shanghai. The Silverstream® System reduces frictional resistance between the water and the hull surface, reducing net fuel consumption and associated emissions by an average of 5-10%. The system is unique in that it is the only proven air lubrication technology that can be retrofitted in 10 days or less, as well as being applicable to newbuilds. It lasts the lifetime of the ship, is complementary to and can be used in conjunction with other clean technologies.
Silverstream has successfully verified the savings that its technology creates through third-party assessment from organisations including Lloyd’s Register, HSVA and the University of Southampton. Its customers include MSC, Maersk, Grimaldi, Shell, Vale, Carnival and ADNOC L&S, amongst other major industry names.
