Carnival Corporation signs LNG fuel agreement with Shell
October 3, 2016
Carnival Corporation today signed a framework agreement with Shell to be its supplier of LNG to power the first fully LNG-powered cruise ships. Under this framework agreement, Shell will initially supply Carnival Corporation’s AIDA Cruises and Costa Cruises brands with fuel for two new LNG-powered ships expected to launch in 2019 with itineraries visiting northwest European and Mediterranean ports. As part of the agreement, these two ships will utilize Shell’s infrastructure in cruise ports to refuel with LNG throughout their itineraries. The vessels, equipped with dual-fuel engines, are the first of a new generation of cruise ships fully powered by LNG both while in port and at sea.
This agreement builds on the partnership established between Carnival Corporation’s AIDA Cruises brand and Shell in April of this year to supply its AIDAprima ship with LNG to power the vessel while docked. Additionally, the agreement furthers the realization of Carnival Corporation’s LNG efforts that began in 2015 with AIDAsol becoming the first cruise ship to be supplied with power by an LNG hybrid barge.
In September Carnival Corporation ordered three additional next-generation cruise ships that will be fully powered by LNG, bringing its fully LNG-powered ship orders total to seven across 4 of its 10 global cruise lines. Two of the new LNG-powered ships are designated for Carnival Cruise Line, with delivery dates expected in 2020 and 2022, and one is designated for P&O Cruises UK with an expected delivery date in 2020. The remaining two vessels will also be built for the Costa Cruises and AIDA Cruises brands and are expected to enter service in 2021.
As part of the framework agreement, Carnival Corporation and Shell have the opportunity to partner together on supplying marine LNG fuel to future LNG-powered vessels or additional itineraries. The overarching agreement enables each Carnival Corporation brand to negotiate individual LNG supply contracts with Shell as new LNG-powered cruise ships begin to launch in coming years.
Edited from press release.
