Qatargas, United Arab Shipping Company and Shell signed a Memorandum of Understanding (MOU) to explore the development of LNG as a marine fuel in the Middle East region, Qatargas said in its press release.
This is the second such agreement signed by Qatargas and Shell in as many months and establishes another core partnership within the shipping industry. The MOU was signed at a ceremony attended by Qatargas Chief Executive Officer, Khalid Bin Khalifa Al-Thani, United Arab Shipping Company Chief Executive Officer, Jorn Hinge and Managing Director and Chairman of Qatar Shell Companies, Michiel Kool.
Through the joint relationship the partners will explore the development of new markets for LNG to be used as propulsion fuel within the Middle East Region and the conversion of UASC’s existing vessels providing the opportunity to use a cleaner fuel. The MOU envisages LNG supplies for this pioneering initiative to be made available from Qatargas 4, a joint venture between Qatar Petroleum and Shell Gas B.V., with United Arab Shipping Company Line potentially using the fuel for its recently built container ships.
The signing of this agreement reinforces the commitment and innovative approach that is being undertaken by industry leaders Qatargas, Shell and United Arab Shipping Company to identify and develop new market opportunities through collaboration and strategic partnership.
The partners will continue to work diligently to develop LNG as Marine Fuel and fulfil aspirations of supplying the Merchant Fleet with clean burning fuel before the end of the current decade.