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Carnival backs LNG to further decarbonisation effort

  • Market: Emissions, Natural gas, Oil products
  • 15/07/22

Cruise line operator Carnival Corporation has said it will continue to focus on LNG to further its decarbonisation efforts.

In its latest sustainability report the firm said it was on track to meet its 20pc carbon intensity reduction target, relative to a 2019 baseline, by 2030. One of the main ways of meeting its target is through use of LNG as a marine fuel. This is becoming increasingly popular in the maritime sector, as a transition option to lower carbon emissions.

Carnival operates six LNG-fuelled ships. Two of these, the AIDAcosma and Costa Toscana, went into service this year.

Some of Carnival's Mediterranean-based vessels operate from the Port of Barcelona, where in 2021 four of its LNG-powered ships carried out 18 ship-to-ship bunkering operations, with a total 38,000m³ loaded. In the US, Carnival signed an agreement with Shell in 2017 for fuel supply to Carnival's North American LNG operation, and its sustainability report said this partnership is ongoing.

Carnival is looking into the possibility of bio-LNG and liquified bio-methane, with Shell and other suppliers. By 2025, Carnival expects to have 11 LNG-powered vessels, which would represent 20pc of its capacity.

It also said it was on track to reduce particulate-matter emissions such sulphur oxide (SOx) and nitrous oxide (NOx) by 50pc, relative to 2015 levels, by 2030. It has fitted 90pc of its fleet of 91 ships with exhaust scrubbers, which reduce SOx and NOx emissions. Scrubbers have been required if an operator chooses to burn high sulphur fuel oil (HSFO) since the International Maritime Organisation introduced a cap on sulphur emissions from 2020. Last year, just over 51pc of the fuel that Carnival burned was HSFO, 44.5pc was marine gasoil or diesel oil, and the remainder was LNG.

Carnival aspires to achieve carbon-neutral shipping operations by 2050.


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07/04/25

US producers look overseas as shale stalls

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UK considers import tariffs on US oil products


04/04/25
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04/04/25

UK considers import tariffs on US oil products

London, 4 April (Argus) — The UK government has included refined oil products from the US in a list of goods that could be subject to retaliatory tariffs. The government said it was considering "potential tariff measures on US goods, should this be deemed necessary" in response to a 10pc US import tariff on UK goods and services — excluding energy — due to take effect on 5 April. The consultation will last until 1 May. Light oils, gasoils, jet fuel, fuel oils, lubricants and bitumen all feature in the list of products possibly subject to retaliatory tariffs. The UK could be particularly exposed to any tariff impact on US middle distillate imports in the event of retaliation. The UK sourced over a quarter of its 14.37mn t of 10ppm diesel and gasoil from the US last year, according to Vortexa, while 3pc of its 10.15mn t of jet and kerosine imports were sourced from the US. It is not clear what tariff rate the UK is targeting in its potential retaliation. For other oil products, any potential import tariff impact would become more muted as US refined product imports become less significant. The UK received just 6pc of its 1.92mn t total fuel oil imports from the US last year, while the UK was the fourth largest gasoline supplier to the US and received none of the product from its trade partner. European refined product values have collapsed as a result of the escalating trade war which saw China retaliate today against the US' latest tariff action. Eurobob non-oxy gasoline barge prices dropped by 4pc to $700.75/t on 3 April at a time when trading activity typically picks up ahead of the US summer driving season. Indicated non-oxy barge values were set to drop further in the trading session today. The EU is similarly preparing countermeasures against US import tariffs, which Washington set at 20pc from 9 April in addition to existing rates. Ice gasoil futures had dropped by 10pc since President Trump announced the new tariff regime on 2 April to $615.75/t by the close today. Ice gasoil futures are used as the pricing basis against which diesel, gasoil and jet fuel grades are assessed in the European middle distillates markets. European refined products market participants have pointed to a darker global economic outlook triggered by the US import tariffs as the driving force behind the drop-off in European product values. By George Maher-Bonnett Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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EU sees no credibility issue in 2040 GHG target delay


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04/04/25

EU sees no credibility issue in 2040 GHG target delay

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South Africa Natref to end bitumen production from Sep


04/04/25
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04/04/25

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London, 4 April (Argus) — Bitumen production at Natref's 107,000 b/d Sasolburg refinery in South Africa will cease from September, ending all the country's output of the heavy oil product. Several South African bitumen market participants, including buyers from the refinery and suppliers of imported bitumen into the domestic and regional southern African markets, said officials from majority Natref shareholder Sasol had been informing customers of the planned move over the past week. Customers were told that final bitumen supply from stocks held at the refinery would be supplied to them into October, with all supplies ending thereafter. Market participants said the Natref plan is linked to a wider move of switching to sweeter crudes aimed at maximising output of light and middle distillates, which would also hit output of heavy products other than bitumen, notably high-sulphur fuel oil (HSFO). Officials at Sasol, which owns 63.3pc of Natref alongside UK energy firm Prax with 36.4pc, have so far not responded to Argus' requests for comment. South African market participant said the move had been under consideration for some time, even before Prax agreed to buy TotalEnergies' Natref stake in December 2023. South Africa turned from a major net exporter of bitumen, mainly to its southern African neighbours, to becoming increasingly dependent on imports after several of the country's refineries were either shut down or ended their bitumen production since 2020. South African cargo imports in bitumen tankers surged to nearly 200,000t in 2024, according to Vortexa data, mostly into Durban and some into Cape Town. Mediterranean supplies, mainly from Greece and Turkey, made up just over half of these, with Rubis and Continental supplying most. Mideast Gulf storage points, along with Bahraini state-owned Bapco's refinery and export terminal at Sitra, supplied around a third, while emerging exporter Pakistan shipped 8pc. According to a South African bitumen supplier, the Natref refinery's bitumen production fell last year to 45,000-50,000t — from an Argus estimate of 140,000t in 2023 — because of numerous plant halts and interruptions. The market effect of Natref ending its bitumen output will therefore be limited, with another leading South African participant saying truck flows from the inland refinery had become increasingly unreliable. The halt will nevertheless trigger more South African import requirements that are anyway likely to rise sharply in the coming years because of much-enhanced government infrastructure budgets. The Natref refinery was forced to stop all production for about two months following a fire in early January this year. French construction and bitumen supply firm Colas recently became the latest company to take a South African import asset position, agreeing a long-term deal with local firm FFS Refiners to operate four of five new bitumen tanks at an existing Durban facility once an FFS expansion there is completed, likely in the second half of this year. By Keyvan Hedvat and Fenella Rhodes Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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