nas TSS Salles Deer ROG esc) CARLOS RO™ Cee) Agena, eg RCASK rR SSE N PMLA aSLATEST UPDATES - IMO MEPC 78 & 79 (I) VIRTUAL MEETING IN JUNE AND HYBRID IN DECEMBER Revision of the GHG emissions strategy * Started in MEPC78, followed in ISWG GHG 13 & MEPC79 + Proposals to achieve zero GHG/CO, emissions by 2050 with 2030 and 2040 intermediate targets + Revised strategy to be adopted in MEPC 80 (July 2023). ISWG GHG to follow-up GHG reduction measures + Short term measures EEXI, Cll, SEEMP and DCS agreed in MEPC78 (guidelines issued) * Voluntary measures (National Action Plans) & Green Corridors agreed + Market Based Measures (GHG levy) to be continued in ISWG GHG and MEPC80 + GHG Fuel Standard (GFS) also tbe ‘Some correction factors on EEX! and Cl for further consideration at MEPC80 Fuels LCA guidelines in progress (interim report), Final report to be submitted to MEPC80 @ ameLATEST UPDATES - IMO MEPC 78 & 79 (Il) VIRTUAL MEETING IN JUNE AND HYBRID IN DECEMBER Onboard Carbon Capture Systems. Discussions will continue in MEPC80 Med Sea from May 2024 as Emission Control Area (ECA) for SO, and enforced a year later EEDI Phase 4 postponed and revised guidelines MEPC.364(79) and 365(79) issued Information to be submitted to IMO-DCS reviewed MEPC.362(79) Blend of not more than 30% by volume of biofuel considered HC fuel oils (Marpol Annex V1) Flash point of the fuel to be reported in BDN tos Veit Maine & iaLATEST UPDATES - MEPC 78 - EEXI {L+| Sp crm sre ru ue secu |e $Pr-¥ fen Pow SFC -| fw Pe One SPO) War (A SP ard } Sif Capacity fe Vee for eee aL 2022 Guidelines on the method of calculation of the attained Energy MERC .SSO(78) Efficiency Existing Ship Index (EEX!) MEPC.351(78) 2022 Guidelines on survey and certification of the attained Energy Efficiency Existing Ship Index (EEX!) . Guidance on methods, procedures and verification of in-service MEPO.1/Gire.902 performance measurements Notes: Resolutions revoke previous MEPC.332(76) and MEPC.333(76) MEPC.1/Cire.902 is referred in MEPC.350 to obtain the Vret directly from in-service measurements ©22 vos Veite Maine & hieLATEST UPDATES - MEPC 78 - Cll strony tern | ‘ — w=F6 xr, — ba eat attained CI yy, =M/W - ' oe We= CxDr Gene om 2022 Guidelines on Operational Carbon intensity Indicators and the MEDC ABEUZOE Calculation Methods (G1) 2022 Guidelines on the Reference Lines for Use with Operational MERE Seti) Carbon Intensity Indicators (G2) Veeelea ee ee 2022 Interim Guidelines on the Correction Factors and Voyage (LSS TF ‘Adjustments for Cll Calculations (G5) Notes: Resolutions revoke previous MEPC.335(76), 336(76), 338(76) and 339(76) To add MEPC.337(76) - Cll REDUCTION FACTORS GUIDELINES, G3THE PATH TO 2026 AND BEYOND — Ct phases reduction rates ¥ Pertorm EEX Calculatlons 7 Radiionaleomocion factors and + Generte EEX Techical ie imevies? ° Update SEEM with Ci ci Verteation begins Review o sort term measures + ctl monitoring ang reporting begins (SEEMP, DCS) EEX! veriteationbegina } Phase 2 rection rates begin @EEX! LNG CARRIERS Summary of BV Calculations for different LNG Carrier types PE Sad Date of build (year) 2007-2019) 1977-2014 aorta) 4185,000-174,000 125,000-150,000 Eoocoa) 240-400 Core 190-170 foot) ee EEX attained 90.11.90 7A78 1506-45 Fok epee 105-15 - From 20.5kn to } 18.0-18.5kn After application of [ACS Rec.172 for exclusion of | excessive boil off gas 7 | ©2ke Veit Maine & hieTHE Cll FORMULA — MEPC.352(78) & MEPC.355(78) 1 2 3 4 ® @® © 2) Ce; (FGI (FOsoyageg + TH+ (O75 =003¥)(FCcicctrican ¥ FCseienj © FCotnarsy)) | fate fees « Capacity - (D2 Dy) ® ‘Total fuel consumption Fuel excluded due to sailing in ice or mandated by the safety of crew/vessel ‘Shuttle tankers and Ship-to-Ship Transfer Cargo conditioning (Reefer containers ~ Cargo heating - Gas/LNG cooling/reliquefaction) > 75% of electrical consumption — reduced 3% annually Ice-class / Chemical tanker / Voluntary structural enhancement corrections as pet EEDI Distance traveled exclusion as per 2 AME OF THE PRESENTATIONCll REVISED FORMULA VOYAGE ADJUSTMENT > Sailing in ice conditions. (ice-classed ship) FCyeyayqy and associated distance travelled D, must be deducted > Ice charts to be used for recording Image: Dynagas tee Vita Maine CiaareFe LPC C v st rN Pl errcerieas ) + ai)! Cll REVISED FORMULA Lal once ec) ELECTRICAL POWER & CARGO OPERATIONS + FCeecticaty fuel of type j, consumed for production of electrical power deducted from Cll due * Electrical consumption of refrigerated containers FC stocericat reeporj=Reefer kWh x SFOC * Electrical consumption of cargo cooling/reliq systems on gas carriers & LNG carriers FC toctricat cooting j=CO0ling kWh x SFOC * Electrical consumption of electric discharge pumps on tankers FC, _y=Discharge kWh x SFOC ‘electrical_ discharge, + FC ioie,j: fuel of type j, consumed by the oil fired boiler + FCoinersjé fuel of type j, consumed by standalone cargo pump generators during discharge operations on tankers image: Air LiquideCil REVISED FORMULA LNG BOIL-OFF DEDUCTION NOT APPROVED (YET) + There was sensibility of unequal treatment of different BOG management methods. + Concetn that the correction factor would incentivise steam dumping or use of GCU. + Reliquefaction should be incentivised. + The majority indicated that it needed further consideration as it is a complex issue that cannot be resolved within the timescale of the correspondence group. 11 | e202 eu Voit sine OtareLNG CARRIER FLEET PERF: GLOBAL DCs DATA 2021 Cll Distribution for 2021 LNG FleetLNG CARRIER FLEET PERF' GLOBAL DCS DATA 2021 [65K — 100K DWT] Cll Distribution for 2021 LNG Fleet [65kDWT - 100k Dwt]LNG CARRIER FLEET PERF' GLOBAL DCS DATA 2021 [>100K DWT] Cll Distribution for 2021 LNG Fleet [>100k Dwt] cocnexomx7 d 'ATING -ietiitniinter ClLNG CARRIER FLEET PERF' GLOBAL DCS DATA 2019-2021 UNG Fleet Averages i] [=] cee ——S— | line | In 2021, LNG beret cee lag more time at sea EI Galt lms) ole -to ky on average = ET ela lere) UNG Fleet CO2 Emissi to liquid fuel o og vunknee 48LNG CARRIER FLEET PERF' GLOBAL DCS DATA 2021 NG - Avg. Distance Avg. Speed (2023)OKE LNGGARRIERS PERFORMANCE 2 Strole DF Fast an UTILIZATION RATE Eg The utilization ale of 2-Stroke LNG Carriers increasad trom 70% in 2020 to 78% in 2021 DISTANCE B® “Te average distance covered bye 2 Stoke LNG Cars insoesed by “10% YoY between 2020 and 201 Ea ‘The average speed of 2-Stroke LNG Carers increased by ~ half a ‘knot between 2020 and 2021. The average CO2 emissions increased marginally. oPEMase)4= myer) Hi) PERFORMAN GLOBAL DCS ‘DATA 202% 2.Stroke - Ave. CO2 Emasions- Ave. Speed - Ave: Lie Fuel LNG % (2023) = 2stroke DF: hg. Distance - Ave. Space per Rating = (2021) z oa t=] =] b=] i=] o a(TF DE LNGSLEET PERFORMANCE @ PDE Fleet Rating [4] Pic aa The utlization tale of DEDEMTFDE LNG Carers inoreased trom 73% Jn 2020 to 76% in 2021 Eos * “The average distance covered by DFDE/TFDE LNG Carriers, Increased by ~7.2% YoY between 2020 and 2021 Ea The average speed of DFDEUTFDE LNG Carriers increased by ~0.4 ‘ot a knot betwaen 2020 and 2021. The average CO2 emissions decreased by ~1.8%. oBad) =agH oO BENE 8 i> PERFOR NCE GLOBAL DCS DATA 202% Ug, Fuel/ING% (2028) DFDE/TFDE- Avg, Distance - Ave. Spead por Rating (zea) =} So os a a) DFDE/TFDE- Avg. CO2 Emissions Ave Speed - AveM TURBINESFLEET PERFORMANCE @ Bee heenoees are) UTILIZATION RATE [eum The utlzation ale of Steam Turbine LNG Carrots decteasad from 72% In 2020 to 71% in 2021, Porsrance By “The average distance covered by Steam Turbine LNG Gamers increased by ~7.7% YoY between 2020 and 2021 Steam Turbine Flet Rating [YoY % change] 5 Ea ig 5 nooo ‘The average speed of Steam Turbine LNG Cattiers increased ty ~1 z ‘ena between 2020 and 2021. The average CO2 emissions decreased by ~B%. oRBC Pee siya me PERFORMAN (eRe) sy Vises) re Steam Turbine Avg. CO2 Emi ‘ve ig, Fuel/LNGX (2023) o ‘Steam Turbine - Avg. Distance - Avg. Speed per Rating . as (2021) 5s gp & =X/QMASCELEET PERFORMANCE OFLEX/AMAX Foot Rating IM] UTILIZATION RATE Eg The utilization rale of QFLEXIOMAX LNG Carriers increased trom ‘8B% In 2020 to 74% In 2021 DISTANCE Ba The average distance covered by QFLEX/QMAX LNG Carriers intensed by “6.6% 0Y betwee 2020 and 2021 OFLEN/QMAX Fleet Rating [YoY % Change} Ez o o 65 sili Teer apoio FLECCANAK LNG Caron riod 5 a eevee a eet iemernearees. Oe E S PERI GLOBAL DCS DATA 202% QFLEX/QMAX- Avg. CO2 Emissions - Ave. Speed ~ (2023)UCOME B25 biofuel: 25% biodiesel blended with 75% HFO. LCV: 39,983 MJikg GHGTtW=SF* CF+GWPM*MEF+GWPN*NEF Zt |_| SF carbon source factorot | Global Warming | Global Warming | BIOFUEL TANK TO ‘blended fuel. B25 blend: Potential for CH, Potential for NO TSS 75% FO and 25% Biomass) | 0.75, as SF of Biomass is 0 uate 4 + Vader yes ee = Carbon factor Carbon factor Carbon factor Choo, Ciox,=0.00005 Ch.0=0.00018 For B25 blend: GHGTtW = 2.386 tCO2eq/t-fuelLNG Carrier: 174,000m? 92,000DWT, M/E Power: 28,000kW Scenario A: Distance travelled 129,105 nm, Avg. Speed 17.3 knots = con Piesevcasor | asses | avy Fue Ol ‘Scenario B: B25 biofuel to replace 100% quantity of HFO, MGO considering also ratio of Lvs: Total emissions Dees) Total emissions tee)Cll 2021 - RESULTS AND RATING PROJECTION Seenatio BA: Vessel burning LNG, HFO, M&O. ‘Seanarie B2: Veal burning LNG, B25 Biofuel omits Conservative assumption for reduction factor 4% per year alter 2026,EU ETS FOR MARITIME PROPOSAL COMMON PROPOSAL BY EUROPEAN COMMISSION and PARLIAMENT ‘Voyages between EU and non-EU ports: 50% of CO2 emissions +2025 — 40% of the CO2 emissions from 2024 -2026 — 70% of the CO2 emissions from 2025 +2027 — 100% of the CO2 emissions from 2026 ‘Scenario A: Vessel burning LNG, HFO, MGO ‘Scenario B: Vessel burning LNG, 825 Biofuel ETS - 2 year phase-in period ETS - EUAs 80 $it CO2 Savings in EUAs when burning LNG + B25 Biofuel: + 89k s on 2025 + 186K $-0n 2028 + 223% 8! year from 2027FuelEU MARITIME PROPOSAL — WELL-TO-WAKE GHG INTENSITY OF ON-BOAI JULY 2021 RD ENERGY eG oie ew Sieger = (rs Wan * Gs OW En) + The index depends of the energy mix used on-board: Mygi=X% Mota In case of substitute source of energy (e.g. Wind), a reward factor is applied by multiplying the GHG intensity index by the reward factor: Read ene orate Miuoe=¥% Mrotat Myypg=2% MroasFuelEU MARITIME PROPOSAL - JULY 2021 WELL-TO-WAKE GHG ENERGY INTENSITY — ACTUAL CALCULATION FOR A LNG CARRIER [LNG Carrie, 2Stroke OF, MIE Power 2x14000K, Distance travelled 102657nm, Avg. Spoed 15.8 knots (OCS DATA 2020) ‘Scenario A: Cli Rating: & Properton ofthe tuo bunt (GO, HF, LFO, LNG) a por bolow: a ia ro) piseliss on sa 3 D8 7 33.09, fieawy Fuel waa | a KigheFoei ol 7 a Sea Nels] a ‘GHG Index lower due to higher LNGIHFO-MGO ratio ‘Scenario B: Cll Rating: © ‘Assuming 60% of LNG quanity rom Scenario willbe carted. Equivalent aout of he remaining 40% wil be HFO Proportion ofthe west (MIGO, HFO, LF, LNG} as por balew: [tece [rasr [85 85 GHG Index Total of Scenario B is assumed to be GHGIE target GHGIE target = 86.55 we an | eaten Vineine heFuelEU MARITIME PROPOSAL - JULY 2021 PENALTY REGIME — ACTUAL CALCULATION FOR ALNG CARRIER GHGIE targat- Scenario A ‘GHGIE target - Scenario 8 Gece, Gh anal 0655 Fue Penalty Regime € Seenarlo A ruel€UPenslty Regime € scenario 8 7: SEU Ewin‘Sige 32 muSHAPING A BETTER MARITIME WORLD THANK YOU FOR YOUR ATTENTION