French energy company Total and French shipping company CMA CGM have signed an agreement covering the supply of around 300,000 tons of LNG per year for 10 years starting from 2020, for CMA CGM’s nine newbuild container ships, scheduled for delivery beginning 2020 onwards.
CMA CGM, the first company in the world to equip its 22,000 TEU container ships with LNG propulsion, has selected Total Marine Fuels Global Solutions, the Total affiliate responsible for marketing marine fuels worldwide, for these future supply operations.
In February 2017, CMA CGM and Total already signed a cooperation agreement to examine the most environmentally responsible propulsion solutions to meet IMO’s 2020 implementation date for new sulfur regulations.
“LNG is the fuel of the future for shipping,” commented Rodolphe Saadé, Chairman and CEO of CMA CGM. “With this groundbreaking decision by CMA CGM, the entire maritime industry will benefit from the new supply chains that will be created…By combining the expertise of two French companies, each one leader in its field, we are consolidating France’s prominent role for a more sustainable transportation and in favor of the energy transition.”
CMA CGM has already reduced its carbon emissions per container transported per kilometer by 50% between 2005 and 2015. It has now introduced a far-reaching plan for a further 30% reduction by 2025.
“CMA CGM’s decision to adopt LNG propulsion for its new build container ships sends a strong signal to the maritime world,” stated Patrick Pouyanné, Chairman and CEO of Total. “The wider use of LNG as a fuel is an important component of Total’s LNG strategy, and we are delighted to support CMA CGM as it implements this ambitious project.”
In addition, both companies reached an agreement in principle on the potential supply of lubricants for the nine newbuilds, giving CMA CGM access to Total Lubmarine’s products, technical expertise and global distribution network.