Hapag-Lloyd and Shell Western LNG B.V. (Shell) have signed a multi-year agreement for the supply of liquefied biomethane, effective immediately, according to the company's release.
The deal builds on a collaboration launched in 2023 to advance the decarbonization of alternative marine fuels. Biomethane, also referred to as Bio-LNG, is part of Hapag-Lloyd’s strategy to reach net-zero fleet operations by 2045.
The company said the fuel enables emissions reductions across its fleet and supports customers aiming to decarbonize their supply chains. Since 2024, Shell has offered liquefied biomethane at 22 locations in its global LNG bunkering network.
“This agreement helps secure the fuel certainty and supply reliability we need to further expand the use of waste-based renewable fuels across our fleet – cutting emissions without compromising the quality and reliability our customers expect,” said Jan Christensen, Senior Director Global Fuel Purchasing at Hapag-Lloyd AG.
Dexter Belmar, Shell’s Vice President Global Downstream LNG, stated: “Bio-LNG is no longer a concept – it’s here, and it’s fueling the next chapter of shipping decarbonization. These long-term deals help build the confidence needed to scale renewable fuels.”
The liquefied biomethane supplied under the agreement is ISCC EU certified, confirming sustainability of the feedstock, traceability through the supply chain, and verified reductions of life cycle emissions. Biomethane, produced from organic waste such as crop residues, livestock manure and food waste, is upgraded from biogas by removing CO₂ and impurities. It is then liquefied and supplied to ships on a mass-balanced basis. Hapag-Lloyd’s LNG dual-fuel vessels can use it without equipment modifications.
Hapag-Lloyd AG is a publicly listed company headquartered in Hamburg, Germany. It operates in two segments: Liner Shipping and Terminal & Infrastructure. In liner shipping, it manages a fleet of container vessels serving global trade routes, while in terminal operations it holds equity stakes in ports across multiple regions.
Shell plc is a publicly listed company incorporated in England and Wales with headquarters in London. It is active in oil and gas exploration and production, liquefied natural gas and gas-to-liquids, refining and marketing of oil products and chemicals, and renewable energy development.