Energy giant Chevron has entered into an agreement with Singapore-based Sembcorp Marine to help reduce the carbon intensity of its LNG shipping fleet in alignment with decarbonization targets set by the International Maritime Organization (IMO).
Under the agreement, Sembcorp Marine, through its wholly owned subsidiary Sembcorp Marine Repairs & Upgrades Pte. Ltd, will install technologies aimed at reducing the carbon footprint of Chevron vessels, such as a reliquefication system, hull air lubrication, and a new gas compressor. Together, the changes are expected to reduce cargo boil-off, lower fuel consumption, and increase volumes of cargo delivered.
Chevron operates 9 LNG carriers through its Chevron Shipping Company subsidiary.
“We are excited to work with Sembcorp Marine to help us advance our lower carbon goals,” said Mark Ross, President of Chevron Shipping Company. “We believe LNG will be a key component of the global energy transition for years to come, and Chevron is focused on continuing its disciplined capital investment in our LNG fleet.”
Utilizing its experience in lower carbon solutions for the maritime industry, Sembcorp Marine will provide Chevron with engineering, procurement, installation, and commissioning (EPIC) services. Work is expected to be completed by mid-2025.
“Sembcorp Marine is committed to advancing environmental sustainability through the development of industry-leading solutions. Working with Chevron on its LNG fleet upgrades is an immediate way to accelerate the lowering of the carbon footprint in the maritime industry, to achieve the IMO’s target to reduce emissions from international shipping by at least half by 2050, compared to the levels in 2008.”
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