01.05.2023 [Presentation name / Author]1 © Wärtsilä INTERNAL

LNG Fuel Marine Adoption; How soon, Which routes, & Vessel types?LNG18PERTH CONVENTION CENTER11-15 APRIL, 2016PERTH, AUSTRALIA

#GasBassador #WartsilaKnowsGas@wartsilacorp

© Wärtsilä INTERNAL 01.05.2023 [Presentation name / Author]2

19 May 2014

“… occupy too much space, so the ship will hardly be able to carry cargo anymore…”

Source: Ship Bunker World News19 May 2014

“…. carrying enough supply of the fuel is too difficult”

Respectfully agreed & a definitive LNG fuel view… but where is this positioning relative to other vessel & trade perspectives?

© Wärtsilä INTERNAL 01.05.2023 [Presentation name / Author]3

Positioning Map Ship Volume Limited

Ship Weight Limited

Long Oceans Voyage

Short Coastal Voyage (ECA?)

2 Ship Types: Volume out before draft marks, weight out at draft marks; 2 Voyages: long oceans or short coastal

© Wärtsilä INTERNAL 01.05.2023 [Presentation name / Author]4

Ship & Voyage Attributes Ship Volume Limited

Ship Weight Limited

Long Oceans Voyage

Short Coastal Voyage (ECA?)

Ship positioning's; typical with many gradations

BOX LINERLNG ( on gas )CAR CARRIER

BOX FEEDERROROFERRY / CRUISE

PRODUCTSHUTTLEGREAT LAKERATB

TANKERBULKEROBO

© Wärtsilä INTERNAL 01.05.2023 [Presentation name / Author]5

Ship Range & Gas Availability Ship Volume Limited

Ship Weight Limited

Long Oceans Voyage

Short Coastal Voyage (ECA?)

CONTAINERLNG ( on gas )CAR CARRIER

BOX FEEDERROROFERRY / CRUISE

PRODUCTSHUTTLEGREAT LAKERATB

TANKERBULKEROBO

Regional gas easier Global gas challenging

Gas Compelling

RemainTraditionalFuel

© Wärtsilä INTERNAL 01.05.2023 [Presentation name / Author]6

Liner Trade / Tramp Service

Fixed

Fixed schedules and ports = repeatability, early gas infrastructure seeks steady demand ports

Fixed

PortsRandom

ScheduleRandom

Remain Traditional Fuel

Gas Compelling

© Wärtsilä INTERNAL 01.05.2023 [Presentation name / Author]7

Vessel Range & Fuel Price Savings

Weak

Greater fuel cost impact ( quantity x price ) = greater gain for adopting gas fuel

Low

Price SavingsStrong

Ship energy intensity Speed & Power

High

Remain Traditional Fuel

Gas Compelling

© Wärtsilä INTERNAL 01.05.2023 [Presentation name / Author]8

Ship & Voyage Attributes Ship Volume Limited

Ship Weight Limited

Long Oceans Voyage

Short Coastal Voyage (ECA?)

Gas availability & affordability issues… frequency bunker sites, route

Gas Compelling

Greater Gas Spread Savings

CONTAINERLNG ( on gas )CAR CARRIER

BOX FEEDERROROFERRY / CRUISE

PRODUCTSHUTTLEGREAT LAKERATB

TANKERBULKEROBO

© Wärtsilä INTERNAL 01.05.2023 [Presentation name / Author]9

Ship & Voyage Attributes Ship Volume Limited

Ship Weight Limited

Long Oceans Voyage

Short Coastal Voyage (ECA?)

Gas availability & affordability issues… frequency bunker sites, route

Remain Traditional Fuel

CONTAINERLNG ( on gas )CAR CARRIER

BOX FEEDERROROFERRY / CRUISE

PRODUCTSHUTTLEGREAT LAKERATB

TANKERBULKEROBO

Small Gas Spread Savings

© Wärtsilä INTERNAL 01.05.2023 [Presentation name / Author]11

Vessel Space Requirements

Weight

Does gas cannibalize cargo space, it depends. Cruise may find passenger’s halo effect for green emissions themes.

Low

PayloadLimit Volume

High

Remain Traditional Fuel

Gas Compelling

Ship energy intensity Speed & Power

© Wärtsilä INTERNAL 01.05.2023 [Presentation name / Author]12

Ship & Voyage Attributes Ship Volume Limited

Ship Weight Limited

Long Oceans Voyage

Short Coastal Voyage (ECA?)

Positioning and LNG fuel adoption rates, it depends !

BOX LINERLNG ( on gas )CAR CARRIER

BOX FEEDERROROFERRY / CRUISE

PRODUCTSHUTTLEGREAT LAKERATB

TANKERBULKEROBO

EARLY

LASTFAST

SLOW