Total Marine Fuels Global Solutions, subsidiary of Total and Pavilion Gas, subsidiary of Pavilion Energy have signed Heads of Agreement (HoA) to mutually develop a Liquefied Natural Gas (LNG) bunker supply chain in the port of Singapore.
The shared long-term time charter of a new generation LNG bunker vessel (LNGBV) to be commissioned by Pavilion Gas by 2020 is covered by the agreement, which also includes an LNG supply arrangement between the two companies enabling Total to deliver LNG bunker to its customers.
Signed on the sidelines of the World Gas Conference 2018, the HoA follows a Memorandum of Understanding (MoU), concluded by both companies in April 2017 on LNG bunkering cooperation in Singapore. The pact is a major step forward and promotes the development of Singapore as an LNG bunkering hub.
Following the decision of the International Maritime Organization (IMO) to set limits on sulphur content in marine fuels from 2020, the move toward LNG as a bunker fuel is a suitable solution. LNG bunker not only represents an available and competitive solution, since it produces zero sulphur oxides, it supports IMO’s long-term strategy on the reduction of greenhouse gas emissions from ships announced in April 2018.
Patrick Pouyanné, Chairman and CEO of Total, said that the development of infrastructure is one of the key drivers for the take-off of LNG as a marine fuel. “For the past few months, Total has been very active in that direction. The agreement signed with Pavilion Energy marks a new step in our commitment to provide our customers with fuels that are more environmentally friendly, particularly in Singapore which is the leading bunkering hub in the world.”
Tan Sri Mohd Hassan Marican, Chairman of Pavilion Energy, said, “Pavilion Energy is pleased to work with Total on establishing a robust LNG bunker supply chain in Singapore. Our partnership sets the stage for making LNG bunker readily and reliably available for the market. Together, we mark a decisive step forward in leading the change towards cleaner and more responsible solutions with LNG bunkering in the region.”
While Total Marine Fuels Global Solutions is pursuing its ambition to develop the LNG bunker market, Pavilion Gas is committed to the development of Singapore as an LNG hub. PWKD28062018
Latest from PWKD
- USA: Tanknology Inc. Presents DieselCheck Inspection Program
- USA: Stuzo & Koupon Media Open Commerce Platform Partnership
- Mexico: Fuel Retail Network G500 Announces Change Of CEO
- USA: CyberFuels Inc. To Open New Research, Sales & Marketing Office
- S. Africa: Engen Intensifies Alliance With FNB's eBucks