New Cryogenic Vessel Design Said to Halve Incremental Cost,
Target Is a Payback of Just One Year for an LNG-Fueled Truck
Salt Lake City-based Blu, which operates a network of some two dozen liquefied natural gas fueling stations, has introduced a new onboard LNG fuel tank it says can halve the incremental cost of an LNG for customers taking out a Blu fueling contract.
“We’re targeting a one-year payback of the incremental cost of the [natural gas] truck engine and the fueling system,” says Blu CEO Merritt Norton.
Blu is emphasizing a two-tank system yielding 160 diesel gallon equivalents of diesel. Blu will also offer 60-DGE tanks.
$17,999 Plus a Fuel Contract
The base system is priced at $24,999 – including a $7,000 fuel contract. The standard contract is for three years, Norton told F&F, with details, such as price per DGE, negotiable.
Blu sees a cost per DGE on-truck of about $112 now, and hopes to bring the figure to $100 by mid-2015.
Blu’s “V2” LNG system is ASME-, NFPA- and U.S. DoT-certified. The new LNG tanks are built according to Blu’s design in Asia and North America, Norton says, mentioning Turkey and Mexico. The tanks are fully warranted by Blu, he adds, no matter where they are built.
Norton says he expects the major truck OEMs to offer the Blu tanks by year-end.
Blu, which has significant financial backing from China’s ENN, recently announced the first arrangement for re-injecting LNG fueling station boil-off back into the gas pipeline grid (with Intermountain Gas in Boise, Idaho; F&F, August 15).
The firm is also working the emerging market for LNG as a marine fuel (HHP Insight, August 21).
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Source: Fleets & Fuels interview