SIMIC

A company statement said the 10-year agreement will start at the end of the first quarter of 2022.

SIPG will provide Simultaneous Operations (SIMOPS) LNG bunkering service for CMA CGM's 15,000-TEU dual-fuel vessels deployed on its Pearl River Express (PRX) line, which sails from China to the Port of Los Angeles. All the ships will be fully operational by the end of 2022.

The fuel will be supplied to the vessels through SIPG's new 20,000 cubic-metre LNG bunker barge at Yangshan Port. The deal is the first of its kind in Shanghai and in China, the company statement said.

Chairman of SIPG, Gu Jinshan, 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 centre. Today's agreement signing ceremony will further enhance and strengthen our long-term partnership between SIPG and CMA CGM."

Chairman and CEO of the CMA CGM Group, Rodolphe Saade, said: "This agreement marks an important milestone in CMA CGM's energy transition roadmap, as our group will be the first shipping line to bunker LNG in China. We are glad that this premiere Chinese LNG bunkering operation could be made possible thanks to the very positive cooperation and excellent teamwork between CMA CGM and SIPG. It paves the way for further developments to the benefit of our Group and the Shanghai region."

CMA CGM 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.