French oil giant Total announced Tuesday that the company and Singapore's Pavilion Energy would jointly develop a liquefied natural gas (LNG) bunker chain in the southeast Asian country.
The Heads of Agreement (HoA) signed between Total Marine Fuels Global Solutions and Pavilion Gas covers the shared long-term time charter of a new generation LNG bunker vessel (LNGBV) to be commissioned by Pavilion Gas by 2020.
It also includes an LNG supply arrangement between the two companies enabling Total to deliver LNG bunker to its customers.
According to Total's statement, the HoA, which was signed on the sidelines of the World Gas Conference 2018, follows a Memorandum of Understanding concluded by both companies in April 2017 on LNG bunkering cooperation in Singapore.
'The HoA is a significant step forward and contributes to the development of Singapore as an LNG bunkering hub,' it said.
Patrick Pouyanne, chairman and CEO of Total, said the development of infrastructure was 'one of the key drivers for the take-off of LNG as a marine fuel'.
'For the past few months, Total has been very active in that direction. The agreement signed with Pavilion Energy marks a new step in our commitment to provide our customers with fuels that are more environmentally friendly, particularly in Singapore which is the leading bunkering hub in the world,' Pouyanne added.
By Huseyin Erdogan
Anadolu Agency
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