TOTE’s LNG Program

The TOTE LNG Program Encompassing every aspect of Maritime LNG

• New Builds – Marlin Class

• Re-engine – Orca Class

• Long Term LNG fuel procurement

• Development of Liquefaction plants with our partners

• LNG transfer to vessels – Multiple and mobile truck transfer to vessel

– Barge to vessel transfer

– Plant to vessel via cryogenic pipeline

Addressing IMO Emissions Standards

• Do nothing: Cost of 1% compliant IFO 380

is significantly higher with further increases

expected in 2015 and beyond

• Install exhaust gas cleaning system:

Scrubbers use existing fuel with added costs

• Convert to Natural Gas: Meet all current

and future emissions requirements, cleanest

of all options

LNG Fueled Ships

*information courtesy of DNV-GL

LNG Use by Vessel Segment

2

30

2

11

41

64

20

3 37

2

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12

13

11

8

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14

5

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In operation On order

*photo courtesy of UECC and World Maritime News

LNG at TOTE Maritime Puerto Rico Just completed one year of operations

World’s first LNG dual fuel containerships

• Isla Bella operational since October 2015

• Sister ship Perla del Caribe entered service Feb 2016

– NASSCO

– MAN ME-GI slow speed

– 3 DFDG Auxiliaries

– Operate weekly

• Loading 50 trailer loads of LNG each week

Interim Bunker Operations in Jacksonville

• Requirement is to load about 250,000 LNG gallons from trucks in 5 hours while simultaneously discharging and loading container cargo

• Applied Cryogenic Technologies (ACT) developed skid and built tanks

• Pivotal LNG supplies LNG from Macon, Georgia peak shaver; also provides trained PICs

• Genox provides safe and efficient trucking

• Safety and strict adherence to procedures and checklist is JOB #1

2015 – 2017:

Dames Point LNG Plant • Our partner JAX LNG developing plant at Dames Point

• About ½ mile from our terminal and vessel berth

• Clean Jacksonville world’s first membrane technology barge being built at CONRAD Shipyard in Orange, TX

World’s First Bunker Barge Using Membrane Technology

Partnership:

GTT technology selected after exhaustive review

Atmospheric tank versus pressurized C-Tanks provide improved space utilization

Keel Laid September 9, 2015 Enters service in JAX 2017 when plant commissioned

15

Operations & Regulatory

• Designed to Operate in Inland Waterways, Bays, Harbors and US Coastal Waters

• No propulsion machinery

• Conventional towing by hawser wire or pushed from the stern

• Jones Act

o US Flag vessel

o Built in US

o Owned by US citizens

o Manned by US mariners

• Regulatory

o USCG for design approval, construction, and life cycle surveys

o Classification Society: ABS

17

Technical Features - Summary • Based on conceptual design developed by GTT

o Single cargo tank of Mark III Flex technology with BOR 0.38%/day

o Equipped with Bunker Mast for safe, reliable LNG transfer

o Lightship of ~1350 MT

o Dimensions 232’ L x 49’ B x 16’ D x (8.2’ d)

• Cold LNG delivery ensured by 6 Stirling StirLNG-4 cryocooler units

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http://www.gtt.fr/en/technologies-services/our-technologies/mark-iii

Lessons Learned

• Environmental issues and doing what is right is important and sells!!

• Vessel technology is not THE major issue but LNG integration requires significant attention

• Having set deployments is a major advantage to LNG logistics but will change over time as LNG plants are developed and commissioned

• Long term commitments are essential. Must be ALL IN!! • Partners are the key to success

– Regulators are an integral part of the process – Need to have passion, expertise and look ahead – Leading edge does NOT have to be bleeding edge

What’s Next?

• Marlin’s will operate to and from San Juan for their useful life providing unparalleled environmental benefits to Florida, the Caribbean waters they transit and Puerto Rico

• Barge will enter service when Dames Point plant is commissioned; skid will become a backup process

• Training and safe procedures being developed in concert with USCG and ABS; local authorities are part of process

• TOTE Maritime Alaska working on conversion of Orca Class in partnership with MAN, GE, Keppel, Wartsila and Victoria Shipyard.