The three firms have signed a preliminary agreement seeking to set up a global LNG bunkering network. Image Credit: Pavilion / Gasum / CNOOC
Pavilion Energy, Gasum and CNOOC Gas and Power Group have signed a preliminary agreement seeking to set up a global LNG bunkering network.
The deal will focus on the Singapore, Northwest Europe and coastal China markets, the companies said in an emailed statement on Tuesday.
"The agreement will allow the three parties to leverage on one another's local expertise, strong logistics capabilities, and in-depth experience in LNG bunkering operations to bring ease, efficiency, and operational flexibility across global supply points to customers," the companies said.
"The HoA aims to establish central links across the West and East in key LNG-bunker ready ports that include the Baltic and North Sea ECA (North West Europe), key Chinese ports such as Shenzhen, Guangzhou and Ningbo, as well as Singapore."
Pavilion and Gasum have already been cooperating on the LNG bunker market since October 2020.
LNG is the most well-established alternative bunker fuel, with several hundred ships running on gas and delivery infrastructure set up at most major hubs and on the way at several smaller ports.
Rotterdam had more than 600,000 m3 of LNG bunker sales last year, while Singapore saw 50,000 mt.
"We at Gasum are very happy about this partnership with Pavilion Energy and CNOOC, not only because it expands our geographical reach and broadens our offering, but this agreement is also an excellent example of the kind of global collaboration that is needed to achieve a carbon-neutral future – no company can do this alone," Mika Wiljanen, CEO of Gasum, said in the statement.
"The purpose of Gasum is to help our customers and partners transition towards cleaner energy and we see LNG as a very important stepping stone in decarbonising the maritime industry."
Gasum carried out more than 1,300 LNG bunker supply operations last year.