CMA CGM and SIPG Sign LNG Bunkering Agreement

Shanghai International Port (Group) Co., Ltd. (“SIPG”), a world leading terminal operator, and the CMA CGM Group, a world leader in shipping and logistics, jointly held an agreement signing ceremony on a LNG Bunkering Service in Shanghai Port. Mr. Gu Jinshan, Chairman of SIPG, and Mr. Rodolphe Saadé, Chairman and CEO of the CMA CGM Group, attended the signing ceremony.
 

Both CMA CGM and SIPG are leaders in the shipping and port industry. The signing ceremony held today is an important milestone for the cooperation between the two groups and will further enhance and expand the partnership.

 

New 20,000 m3 LNG bunker barge deployed by SIPG will provide CMA CGM's 15 000 TEU dual-fuel vessels with LNG supply at Yangshan Port. CMA CGM will be deploying 15,000-TEU dual-fuel vessels on its Pearl River Express (PRX) line, which sails from China to the Port of Los Angeles, and all ships will be fully operational by the end of 2022.

 

According to the agreement, starting at the end of the first quarter of 2022, and for a duration of 10 years, SIPG will provide Simultaneous Operations (SIMOPS) LNG bunkering service for CMA CGM's vessels sailing from China to the United-States at Yangshan Port, through a new 20,000 m3 LNG bunker barge. The service will be the first operation of its kind in Shanghai port, and even in China.

A new milestone for shipping and logistics' energy transition
 

The CMA CGM Group is committed to making shipping and logistics a more sustainable industry through Better Ways, and the Group has joined the United Nations' Race to Zero initiative to become a Net Zero Carbon company by 2050, going beyond carbon neutrality.
 

To achieve this goal, CMA CGM is taking concrete actions by adopting the best available solutions, and since 2017, CMA CGM has chosen to invest in dual-fuel vessels that run on liquefied natural gas (LNG), avoiding up to 99% of atmospheric pollutant emissions. LNG-powered vessel is an important first step in reducing greenhouse gas emissions as the engine installed on these vessels is capable of, and already is, using BioLNG (-67% in CO₂ emissions). In the coming years, those engines will use synthetic methane (including e-methane). The CMA CGM Group's “e-methane ready” fleet consists of 23 vessels already in service and a total of 44 vessels by the end of 2024.
 

As the world's leading terminal operator, SIPG has always integrated the concept of green and sustainable development into all aspects and in the port development, and is committed to becoming a leader in promoting the green and ecological ports. SIPG has been making great effort through technology-driven measures like cold-ironing and diesel-oil transition to create environmentally-friendly port. The carbon emission intensity in Shanghai Port has been decreasing over the years. SIPG continues to develop green ports in line with the national goal of "dual carbon" proposed in the 14th Five-year Plan.The LNG clean fuel bunkering service for CMA CGM will be SIPG's contribution to reducing the carbon footprint for the shipping and logistics supply chain.

Mr. Gu Jinshan, Chairman of SIPG, said “Shanghai Municipal Party Committee and Shanghai Municipal Government attached great importance to the bonded LNG bunkering for international ships at Shanghai Port, and strong support has been given by relevant departments and units in Shanghai. Bonded LNG bunkering for international ships is greatly related to fostering the world-class business environment of Shanghai as a harbour city and improving the service functions of Shanghai port. It is of great significance to enhance the overall competitiveness of Shanghai international shipping center. Today's agreement signing ceremony will further enhance and strengthen our long-term partnership between SIPG and CMA CGM.”