Shell to fuel Hapag-Lloyd’s 12 LNG-powered containerships

A unit of LNG giant Shell will bunker Hapag-Lloyd’s 12 LNG-powered containerships in the Dutch port of Rotterdam under a new deal revealed on Monday.

Shell Western LNG and Germany’s Hapag-Lloyd announced in a statement that they have signed a multi-year LNG bunkering agreement.

The partners expect bunkering for these twelve new vessels with a capacity of more than 23,500 teu to start during the second half of 2023.

Hapag-Lloyd and Shell did not provide any additional information regarding the LNG bunkering deal.

The ships will work on Europe-Far East routes and call at major ports including Rotterdam, Hamburg, Singapore, as well as Shanghai.

Shell has an extensive network of 15 LNG bunkering locations in 10 countries globally, and has already achieved over 1,000 ship-to-ship bunkering operations to its marine customers, the statement said.

Also, this announcement supports Shell and Hapag-Lloyd’s long-standing collaboration, which over the past years included the LNG bunkering of Brussels Express, the world’s first large container ship that was converted to LNG propulsion.

South Korea’s Daewoo Shipbuilding & Marine Engineering is building these twelve ultra large LNG-powered container vessels for Hapag-Lloyd.

Hapag-Lloyd first ordered six LNG dual-fuel 23,660-teu containerships from DSME in 2020, but it added six more sister vessels in 2021, with a total price tag of about $2 billion.

Moreover, the German shipping firm will take delivery of these vessels in 2023 and 2024 and all of the vessels will feature MAN ME-GI main engines.

Hapag-Lloyd recently announced the launching of the LNG-powered Berlin Express at the DSME yard in South Korea.

Decarbonization deal

In addition to the LNG supply agreement, Shell and Hapag-Lloyd have entered into a strategic collaboration agreement intended to accelerate the further decarbonization of alternative marine fuels, the statement said.

“Initial focus will be given to developing the potential of additional low carbon fuels solutions including liquefied biomethane and the hydrogen-based fuel liquefied e-methane,” the statement said.

Liquefied biomethane as a marine fuel has the potential to reduce greenhouse gas emissions by between 65 percent and 100 percent, according to the partners.

“Hapag-Lloyd has finalized a contract with Shell which secures flexible LNG supply at competitive terms,” Jan Christensen, senior director global fuel purchasing at Hapag-Lloyd, said in the statement.

“Furthermore, we are excited about our agreement with Shell to explore further decarbonization opportunities as it allows both businesses to drive impactful change in the industry,” he said.

Tahir Faruqui, general manager, head of downstream LNG at Shell, added that “shipping decarbonization must accelerate and, as the lowest-carbon fuel available at scale today, LNG is a key part of the transition to lower-carbon marine fuels.”

- Advertisements -

Most Popular

Report: Egypt’s EGAS charters Hoegh LNG’s FSRU

The Egyptian Natural Gas Holding Company (EGAS) has chartered Hoegh LNG's floating storage regasification and storage unit, Hoegh Galleon,...

Equinor says nobody injured after leak at Hammerfest LNG

Norway’s Equinor has confirmed that there were no injuries following a hydrocarbon leak at its 4.3 mtpa Hammerfest LNG...

Glenfarne’s Texas LNG inks new deal with EQT

US natural gas producer EQT has entered into a second heads of agreement for liquefaction services from Texas LNG’s...

More News Like This

Oman LNG delivered 173 cargoes last year, revenue reached $4.9 billion

State-owned Oman LNG delivered 173 cargoes of liquefied natural gas from its Qalhat complex in 2023, down by three...

Mitsui: no decision on Adnoc’s LNG project

Japan's trading house Mitsui & Co said nothing has been decided on an LNG project in the United Arab...

South Korean yards built 500 LNG carriers for export in 30 years

South Korean yards have completed 500 liquefied natural gas (LNG) tankers for export since 1994, according to the Ministry...

Rotterdam LNG throughput climbs in Q1

LNG throughput in the Dutch port of Rotterdam increased in the first quarter of this year as Europe continued...