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CMA CGM and ENGIE in strategic and industrial partnership to decarbonise shipping

11 Nov 2021

Shipping and logistics group CMA CGM together with renewable and energy solutions provider ENGIE on Wednesday (10 November) said they have entered into a partnership to work in advancing energy transition in the industrial-scale production and distribution of synthetic methane and liquefied biomethane (BioLNG).

The group will establish a long-term strategic and industrial cooperation focused on the production of decarbonised fuels. 

The cooperation has the ambition to support the development of a synthetic methane production and distribution industry that can be used by the shipping sector.

An initial project to produce BioLNG for shipping has already been launched by both groups at the Port of Marseille, in partnership with Métropole Aix-Marseille-Provence and TotalEnergies.

ENGIE is leading further synthetic methane production industrial projects in which CMA CGM will have the possibility to invest, including by means of multi-year purchase commitments. 

The projects will harness various technologies, such as pyro-gasification or methanation using green hydrogen and captured CO2.

A partnership enabling the pooling of expertise and R&D capabilities.

The CMA CGM Group and ENGIE are investing in research and development with their industrial partners in order to find the energy sources of the future to enable the decarbonisation of the shipping sector.

In order to ensure the durability of the industry, the partnership between CMA CGM and ENGIE will facilitate the sharing of both groups’ knowledge and R&D work, most notably in key technologies such as carbon capture and green hydrogen production.

The partnership also covers the analysis of future regulations, as well as efforts to raise awareness of the benefits of BioLNG and synthetic methane for the decarbonisation of the shipping industry.

A non-fossil fuel energy source and a substantive commitment to the energy transition in shipping

liquefied natural gas (LNG) can reduce today’s sulfur oxide emissions by 99%, fine particle emissions by 91% and nitrogen oxide emissions by 92%. 

The CMA CGM Group currently accounts for 20 e-methane ready vessels equipped with dual-fuel engines and running on LNG and will have 44 e-methane vessels by year-end 2024.

The groundbreaking decision helped to cut the CMA CGM Group’s overall carbon emissions by 4% in 2020, following on from a 6% reduction in 2019. The Group has lowered its carbon emissions per container-kilometer by 49% since 2008.

The dual-fuel gas-power technology developed by CMA CGM and currently using LNG is already capable of using BioLNG and synthetic methane. In this context, CMA CGM and ENGIE are joining forces to champion the production and distribution industry. 

Biomethane can reduce greenhouse gas emissions by 67% compared to VLSFO (Very Low Sulfur Fuel Oil) on a well-to-wake basis (entire value chain). Synthetic methane, meanwhile, will eliminate the vast majority of greenhouse gas emissions.

In addition, the CMA CGM Group and ENGIE have been working together for several months as part of the Coalition for the energy of the future launched in late 2019 at the Assises de l’Économie de la Mer conference by Rodolphe Saadé and supported by French President Emmanuel Macron. 

The group will continue to collaborate within the coalition to drive the development of energy sources and technologies of the future, to support new models of sustainable mobility and reduce the shipping and logistics industry’s climate impact.

 

Photo credit: CMA CGM
Published: 11 November, 2021

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