Leakage of ship pipeline system has become a great hidden danger, which affects safe operation of ship and causes environmental pollution. In order to isolate leaking pipeline safely in emergency conditions, Real-time monitoring of ship pipeline system leakage is very important. In this paper, the real-time models of ship isothermal and thermal pipeline were established with a set of equations which is running synchronized with the actual execution pipeline, and the real-time model method was used to monitor ship pipeline system leakage. If the difference between measured values and calculated values is greater than a certain range, pipeline leakage is identified. The location of leakage is calculated based on pressure gradient. Only pressure, flow and temperature of the first and second end of the pipeline were needed, can this method achieve leakage detecting and locating. According to the analysis and verification from the experimental data, this method has high leakage resolution and positioning accuracy.