Gas price shocks hit LNG-powered feed boats

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Considering reorganizing operations.

The war in Ukraine has sent already sky-high gas price to new heights, impacting shipping vessels. Gas is used as fuel on the two feed boats “Nyksund” and “Høydal”, which NSK Shipping operates on a contract for BioMar.

“We already noticed this autumn that the price of gas began to rise, but it was not until the beginning of February that the price increased sharply. It is estimated that the price has risen by 400-500 percent. We can not live with such prices over time”, the General Manager of NSK Shipping, Mats Nygaard Johnsen, told Bladet Vesterålen.

While the idea with gas-powered boats was to use a more environmentally friendly fuel, the boats have been forced to reduce operations as much as possible to cut gas usage, considering switching to diesel as a fuel.

“It was also a part of being able to contribute to an industry that should be as sustainable as possible. That is still our goal, but there is a limit, because we must have sound operations in the company”, Johnsen says.

Johnsen pointed out to SalmonBusiness that it is “obviously environmentally unfortunate to have to switch to diesel”, expressing hope that “the market will normalize so that they avoid such measures”.

Mowi’s wellboat “Aqua Måløy” meets BioMar’s feedboat “Nyksund” in Hjeltefjorden. Photo: Aslak Berge