According to the Cape Ports website, the Celestine River, a ship just like this one, caused quite a fuss last year when it was anchored off Sea Point, as some people were concerned that it might explode...
According to the same site, the ships that lie at anchor off the coast like this (we see quite a few of them) are in fact empty, and so these fears were entirely unfounded.
"LNG" stands for Liquefied Natural Gas - natural gas is converted to liquid so that it can be transported, and then returned to its gaseous form once it reaches its destination, so that it can be piped.
This photo was taken from the promenade at Three Anchor Bay.