Asia/Pacific News
Shell to Boost LNG Bunker Supply with Pavilion Energy Acquisition
Shell Eastern Trading, a subsidiary of oil major Shell, has completed its acquisition of 100% of the shares in Pavilion Energy from Carne Investments.
Pavilion Energy operates across the LNG value chain, with an LNG trading portfolio supplying 6.5 million mt/year, Shell said in a statement on its website on Tuesday.
Shell and Pavilion Energy have been competitors in Singapore's LNG bunkering market. Shell-backed joint venture FueLNG and Pavilion Energy were the first two companies licensed to supply LNG as a bunker fuel in Singapore's waters.
This acquisition further solidifies Shell's presence in Singapore, the world's largest bunkering hub.
Shell sold about 1.1 million mt of LNG bunkers in 2024, nearly twice the volume of 2023.
The company projects global LNG bunker demand to reach 16 million mt/year by 2030, driven by the expanding fleet of LNG-fuelled vessels.
Currently, 690 LNG-fuelled ships are in operation, with an additional 286 expected to enter service next year, according to classification society DNV.
"This acquisition helps to deliver on Shell's ambition to solidify its leading position in liquified natural gas (LNG) by growing sales by 4-5% per year through to 2030, it said.
"The integration of Pavilion Energy's assets into Shell's global LNG portfolio will commence immediately."
