Construction of a Coastal Limestone Carrier with a Hybrid
Propulsion System using a Gas-Only Engine and a Battery
September 30, 2021
Nippon Steel Corporation
Nippon Steel Cement Co., Ltd.
NS United Naiko Kaiun Kaisha, Ltd.
Japan Petroleum Exploration Co., Ltd.
Tsuneishi Shipbuilding Co., Ltd.
Kawasaki Heavy Industries, Ltd.
NS United Naiko Kaiun Kaisha, Ltd. (President and Representative Director:
Kazushi Fukuda, Head Office: Chiyoda-ku, Tokyo hereinafter called "NSU Naiko"),
Nippon Steel Corporation (President: Eiji Hashimoto, Head Office: Chiyoda-ku,Tokyo), Nippon Steel Cement Co., Ltd. (President: Yasuhiro Hashimoto, Head
Office: Muroran City, Hokkaido), Japan Petroleum Exploration Co., Ltd.
(Representative Director and President: Masahiro Fujita, Head Office: Chiyodaku, Tokyo), Tsuneishi Shipbuilding Co., Ltd. (President: Sachio Okumura, Head
Office: Fukuyama City, Hiroshima Prefecture), and Kawasaki Heavy Industries,
Ltd. (Representative Director, President & Chief Executive Officer: YasuhikoHashimoto, Tokyo Head Office: Minato-ku, Tokyo) have agreed to construct avessel with a hybrid propulsion system combining a gas-only engine and a battery(hereinafter called "this Vessel") as the replacement of the limestone carrier"Shimokita Maru" owned by NSU Naiko, and have today signed" Memorandum ofTransportation contract," "Shipbuilding contract," "Gas-only engine and battery
propulsion system sales contract," and "Liquefied natural gas for marine fuelsales contract."<Conceptual image of this Vessel>

Gas fuel supply
equipment
Battery

Gas-only engine
single-fuelengine
This Vessel is scheduled to start the operation in February 2024, and will beequipped with Japan’s first gas-only engine and total 2,847 kWh lithium-ion
battery. The LNG fuel tank is planned to use 7% nickel steel plate developed by
Nippon Steel Corporation for the first time as a marine tank. The propulsion
power and the onboard electric power during the sailing are generated by thegas-only engine developed by Kawasaki Heavy Industries, Ltd. Only natural gas
will be used for high power, long distance, and long duration navigation. The
propulsion power and the onboard power during entering, leaving and berthingports will be provided from the battery to achieve zero-emission operation.

The CO2 emission reduction effect of introducing the propulsion system of thisvessel is 23.56% (about 30% at normal load operation) compared to theconventional vessels of the same type, and the exhaust gas of the gas-onlyengine contains almost no SOx, and NOx emissions is far below the TierIIIstandards.
In addition, on its main routes, the loading port, Shiriyamisaki(AomoriPrefecture) and the unloading port, Muroran (Hokkaido), the zero-emission
operations that are friendly to the environment will be carried out.
The construction of this Vessel was adopted by the Global Environment Bureauof the Japanese Ministry of the Environment and the Maritime Bureau of theJapanese Ministry of Land, Infrastructure, Transport and Tourism for the "Projects
to promote the introduction of advanced technologies that will simultaneously
achieve social innovation and the decarbonization of logistics (Projects topromote the introduction of LNG fuel systems, etc.)" FY2021 Subsidy for theexpenses in projects for measures to suppress carbon dioxide emissions.
<Overview of the successor ship to the Shimokita Maru>
Deadweight tonnage (DWT): approximately 5,560 tons
Total length: approximately 93.8 m
Molded breadth: approximately 18.2 m
Molded depth: approximately 9.9 m
Scheduled Delivery: Early February 2024
Propulsion system: Hybrid system of gas-only engine (8L30KG) and battery
Shipyard: Tsuneishi Shipbuilding
Liquefied natural gas supplier: Japan Petroleum Exploration
Main route/Cargo: Shiriyamisaki - Muroran /Limestone<Roles of each company>
Shipcharterer：Nippon Steel Corporation and Nippon Steel Cement
Shipowner/Operator: NS United Naiko Kaiun Kaisha, Ltd.
Propulsion system: Kawasaki Heavy Industries
Shipyard: Tsuneishi Shipbuilding
Liquefied natural gas supplier: Japan Petroleum Exploration