Shell Signs Deal with SIEM

Shell NA LNG and Shell Western LNG have signed an agreement with SIEM Car Carriers for the supply of liquefied natural gas (LNG) for two new car carriers.

The vessels are scheduled to be delivered in 2019 and will be among the first car carriers powered by LNG. The ships will transport Volkswagen Group vehicles from Europe to North America, something never done before by an LNG-powered carrier.

Shell plans to refuel the vessels in Northwest Europe as well as in the United States.

“This agreement is an important development for Shell’s growing LNG fuels business. We are pleased to be working with SIEM Car Carriers to provide a cleaner burning fuel and look forward to future opportunities for collaboration,” Shell stated.

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Smaller Operating Costs In Shipping Industry

Shipping adviser Moore Stephens has reported that the total operating costs for the tanker, bulker and container ship sectors were down in 2016.

The tanker index was down by 1.7%, the bulker index fell by 1.9% and the container ship index saw a decrease of 0.6%. 

“This is the fifth successive year-on-year reduction in overall ship operating costs, although the reduction this time is less than . . . [in] 2015,” Richard Greiner, Shipping & Transport Partner, said.

Although 2016 was a challenging year for shipping, according to the Moore Stephens Shipping Confidence Survey, the owners are more confident in making new investments, which “should logically lead to greater activity, which will mean higher operating costs.”

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