Shell inks deal to supply LNG to Siem Car Carriers

The car carriers, scheduled to be delivered in 2019, will transport Volkswagan Group vehicles from Europe to North America.

Shell pointed out that the new ships will be among the first car carriers in the world to be powered by LNG and will also be among the first LNG-fuelled vessels to operate intercontinentally between Europe and the US.

“This agreement is an important development for Shell’s growing LNG fuels business. We are pleased to be working with Siem Car Carriers to provide a cleaner burning fuel and look forward to future opportunities for collaboration,” said Lauran Wetemans, Shell’s general manager downstream LNG.

Shell noted that more shipowners and operators are choosing LNG fuel over traditional marine fuels to respond to sulphur and nitrogen oxide emissions regulations, including the IMO’s recent decision to implement a global 0.5% sulphur cap in 2020.

Shell plans to refuel the vessels in Northwest Europe and a second supply point in the US.

In April this year, Shell announced an agreement with Sovcomflot to supply LNG for the word’s first LNG-powered aframax tankers, which will operate in the Baltic Sea and Northern Europe.