LNG

Chevron Corp. has said liquefied natural gas was a key component of the energy transition on land and at sea and plans to upgrade its fleet of 10 LNG carriers at the Singapore shipyard of Sembcorp Marine Ltd.

Chevron through its subsidiary Chevron Shipping Company has signed an agreement with Sembcorp Marine Repairs & Upgrades, a unit of Sembcorp Marine, to help reduce the carbon-intensity of its LNG fleet operations.

“Under the agreement, with Sembcorp Marine’s support, Chevron will install new technologies aboard Chevron vessels to support their energy transition goals,” said a statement.

“The changes are also in alignment with decarbonization targets set by the International Maritime Organization,” Chevron added.

Chevron Shipping operates a fleet of around 30 ships from conventional crude and petroleum product carriers to LNG carriers.

In addition to providing marine transportation for the company, Chevron Shipping provides technical, commercial and operational support to projects such as the Gorgon LNG and Wheatstone LNG export plants in Western Australia.

LNG technologies

Chevron said its LNG fleet plans included installing new technologies such as a reliquefication system, hull air lubrication and new gas compressors.

The company expects that all these measure together are expected to reduce cargo boil-off, lower fuel consumption and increase volumes of cargo delivered.

“We are excited to work with Sembcorp Marine to help us advance our lower carbon goals,” said Mark Ross, President of Chevron Shipping.

“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,” added Ross.

Chevron stated that Sembcorp Marine had significant expertise in complex LNG fleet modifications and a proven track record for lower carbon solutions for the maritime industry.

The Singaporean company will provide Chevron with engineering, procurement, installation and commissioning services and expects to complete the work by mid-2025.

“Sembcorp Marine is committed to advancing environmental sustainability through the development of industry-leading solutions,” said Wong Weng Sun, Sembcorp Marine President and Chief Executive.

“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,” added Wong. 

Sea-LNG, the UK-registered non-profit industry foundation committed to furthering the use of LNG as a cleaner and superior maritime fuel, has urged an end to the misrepresentation of the status of methane-slip risks delaying the build-out of a cleaner LNG-powered fleet.