Tuesday 13th Nov, 2018

CMA CGM signs Total deal for LNG

Photo: CMA CGM
Photo: CMA CGM

FRENCH oil supermajor Total has signed a deal with CMA CGM to supply of about 300,000 tonnes of LNG per year for a decade starting in 2020. The fuel will be used as bunkers for the line’s nine 22,000-TEU newbuild containerships, due for delivery in 2020 onwards.

CMA CGM chairman and CEO Rodolphe Saadé said the company’s adoption of LNG as bunker fuel would create new supply chains that would benefit the entire maritime industry.

“CMA CGM is pursuing its expansion through a combination of growth, profitability and environmental responsibility,” he said.

“By combining the expertise of two French companies, each one leader in its field, we are consolidating France’s prominent role for a more sustainable transportation and in favour of the energy transition.”

Total is considering a long-term charter of an LNG bunkering vessel to deliver fuel to CMA CGM and other customers in Europe, according to a statement from CMA CGM.

Total chairman and CEO Patrick Pouyanné said the wider use of LNG as a fuel was an important component of Total’s LNG strategy.

“This agreement highlights our involvement in developing dedicated supply chains for this new fuel,” he said.

At the same time, the two French companies reached an agreement in principle on the potential supply of lubricants for the nine newbuilds.

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