Global seaborne trade in LPG, ethane and ammonia is expanding, reshaping vessel design, operational exposure and risk management requirements across the gas carrier sector, according to an analysis by Ansuman Ghosh, Director of Engineering.
The report notes that LPG has become one of the fastest-growing maritime commodities, with Asia as the dominant importing region and exporters in the Middle East and the United States supplying about 80% of global volumes.
The growth of ethane and ammonia carriage, including U.S. ethane exports reaching a record 492,000 barrels per day in 2024 and forecasts of ammonia trade rising to 160 million tonnes by 2050, introduces more specialised vessels, new cargoes and more complex liabilities.
The document emphasises that ship design directly determines risk exposure, outlining specific vulnerabilities across fully pressurised, /refrigerated, fully refrigerated and VLGC tonnage.
It also details the operational demands of Very Large Ethane Carriers, including cryogenic stresses, automation reliance, limited terminal infrastructure and heightened risks of fatigue cracking or containment system failure.
According to the analysis, contamination, mis-delivery, measurement disputes, valve-sequencing errors, and STS interface failures remain major flashpoints, while breaches of SOLAS or MARPOL Annex VI may lead to penalties.
The report highlights that Letters of Indemnity (LOIs) continue to present significant commercial and insurance exposure, particularly in cases involving delivery without original bills of lading, port changes, unapproved STS transfers, onboard blending or cargo heating. It reiterates that an LOI does not legalise prohibited actions nor reinstate P&I cover for excluded conduct.
A case study describes the concurrent carriage of ammonia and propane by a Club Member, where the UK P&I Club and technical consultants Brookes Bell confirmed feasibility only under strict segregation and validated system integrity. The operation was completed without incident after comprehensive risk assessment, reinforced procedures and enhanced safety measures.
The UK P&I Club is a marine mutual insurer providing protection and indemnity cover to shipowners and charterers worldwide. It operates as part of the International Group of P&I Clubs and offers risk-management guidance, loss prevention services and operational support to its Members.
