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Carnival backs LNG to further decarbonisation effort

  • Spanish 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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08/04/25

Singapore, Chile sign Article 6 carbon credit deal

Singapore, Chile sign Article 6 carbon credit deal

Singapore, 8 April (Argus) — Singapore and Chile signed an implementation agreement on 7 April to collaborate on carbon credits under Article 6 of the Paris Agreement. The countries will begin the ratification process and operationalise the agreement following the signing, according to Singapore's Ministry of Trade and Industry (MTI). The collaboration will involve financing towards unlocking additional mitigation potential in Chile, and "will help Singapore to meet our climate target while bringing climate investments into Chile," said Singapore's minister for sustainability and the environment, Grace Fu. The implementation agreement sets up a framework for the generation and transfer of carbon credits from carbon mitigation projects under Article 6. More information on the authorisation process for the carbon credit projects and eligible carbon crediting methodologies will be published in due course, according to the MTI. Carbon credits traded under Article 6 count towards the buyer's nationally determined contribution (NDC). Singapore submitted its new emissions reduction target in February, aiming to reduce emissions to 45mn-50mn t of CO2 equivalent in 2035 as part of its NDC. This is Singapore's second deal with a Latin American country, following an agreement signed on 1 April with Peru . Singapore has signed similar agreements with Papua New Guinea, Ghana and Bhutan. By Prethika Nair Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

Oil companies far from Paris accord alignment: Report


08/04/25
08/04/25

Oil companies far from Paris accord alignment: Report

London, 8 April (Argus) — None of the 30 oil and gas producers assessed are close to being in line with Paris climate agreement targets "and some have regressed", a report from think-tank Carbon Tracker found today. Carbon Tracker flagged "backsliding, particularly around oil and gas production plans" from the producers assessed in its report, Paris Maligned III . The think-tank assessed 30 of the largest producers — a mixture of corporations and national oil companies — against six metrics. These included production plans, greenhouse gas (GHG) reduction targets and methane reduction targets. It did not assess producers based in countries subject to international sanctions. "Almost all producers are planning to increase oil and gas production in the coming years… Such growth plans are at odds with the Paris Agreement's 1.5˚C target and many are incompatible with a below 2˚C scenario", the report found. The Intergovernmental Panel on Climate Change — seen as the overarching consensus on climate science — notes that a substantial reduction in fossil fuels is needed in order to reach climate goals. The Paris agreement seeks to limit the rise in global temperatures to "well below" 2°C above pre-industrial levels and preferably to 1.5°C. The only producers assessed that are not planning to increase production are London-listed independent Harbour Energy and Spain's Repsol, Carbon Tracker found. Carbon Tracker ranked Repsol highest overall for alignment with Paris agreement goals and Harbour Energy in second place. European companies were ranked more highly in line with Paris goals, with seven of the top 10 places. Three state-owned oil companies — Mexico's Pemex, Algeria's Sonatrach and Kuwait's KPC — and US firms ExxonMobil and ConocoPhillips took the five lowest places in the ranking table. "Despite some political and market headwinds, investor engagement on climate risk remains strong, particularly in Europe", the report noted. Carbon Tracker this year scored companies on the extent to which they planned to cut methane emissions — specifically "near-zero methane by 2030" across upstream activities and "midstream gas assets where applicable", it said. This is in line with the decarbonisation charter which many of the companies assessed signed up to at the UN Cop 28 climate summit in December 2023. Companies' methane reduction plans "are typically more climate-aligned than their overall GHG targets", the report found. But "there is still considerable room for improvement because significant sources of methane emissions are overlooked", it added. By Georgia Gratton Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

Flooding on US rivers mires barge transit


07/04/25
07/04/25

Flooding on US rivers mires barge transit

Houston, 7 April (Argus) — Barge transit slowed across the Arkansas, Ohio and lower Mississippi rivers over the weekend because of flooding, which prompted the US Army Corps of Engineers (Corps) to close locks and issue transit restrictions along the waterways. The Corps advised all small craft to limit or halt transit on the McClellan-Kerr Arkansas River Navigation System (MCKARNS) in Arkansas because flows reached above 200,000 cubic feet per second (cfs), nearly three times the high-water flow. The heavy flow is expected to persist throughout the week, posing risks to those transiting the river system, said the Corps. Some barges have halted movement on the river, temporarily miring fertilizer resupply efforts in Arkansas and Oklahoma in the middle of the urea application season. The Corps forecasts high flows to continue into Friday, and the National Weather Service predicts several locations along the MCKARNS will maintain a moderate to minor flood stage into Friday as well. Both the Arthur V Ormond Lock and the Toad Suck Ferry Lock, upriver from Little Rock, Arkansas, shut on 6 April because of the high flows. Flows along the Little Rock Corps district reached 271,600cfs on 7 April. The Corps forecasts high flows to continue into Friday. Ohio and lower Mississippi rivers The Corps restricted barge transit between Cincinnati, Ohio, and Cairo, Illinois, on the Ohio River to mitigate barge transportation risks, with the Corps closing two locks on the Ohio River on 6 April and potentially four more in the coming days. Major barge carrier American Commercial Barge Line (ACBL) anticipates dock and fleeting operations will be suspended at certain locations along the Mississippi and Ohio rivers as a result of the flooding. NWS forecasters anticipate major flooding levels to persist through the following week. Barge carriers also expect a backlog of up to two weeks in the region. To alleviate flooding at Cairo, Illinois, where the Ohio and Mississippi Rivers meet, the Corps increased water releases at the Barkley Dam on the Cumberland River and the Kentucky Dam on the Tennessee River. The Markland Lock, downriver from Cincinnati, Ohio, and the Newburgh lock near Owensboro, Kentucky, closed on 6 April. The Corps expects the full closure to remain until each location reaches its crest of nearly 57ft, which could occur on 8 or 9 April, according to the National Weather Service (NWS). Around 50 vessels or more are waiting to transit each lock, according to the Lock Status Report published by the Corps on 7 April. The Corps also shut a chamber at both Cannelton and McAlpine locks. The John T Myers and Smithland locks may close on 7 April as well, the Corps said. The Olmsted Lock, the final lock before the Ohio and Mississippi rivers, will require a 3mph limit for any traffic passing through. The NWS expects roughly 10-15 inches of precipitation fell along the Ohio and Mississippi River valleys earlier this month, inducing severe flooding across the Ohio and Mississippi River valleys. A preliminary estimate from AccuWeather stated an estimated loss of $80-90bn in damages from the extreme flooding. By Meghan Yoyotte Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

US producers look overseas as shale stalls


07/04/25
07/04/25

US producers look overseas as shale stalls

New York, 7 April (Argus) — US shale producers are seeking to deploy their expertise around hydraulic fracturing in international markets, in a marked departure from their recent strategy and one that is set to accelerate as domestic output slows. Continental Resources — whose billionaire founder and executive chairman Harold Hamm was one of the driving forces behind the shale revolution after figuring out how to unlock the vast resources of North Dakota's Bakken basin with horizontal drilling — recently announced plans to explore for unconventional resources in Turkey. And EOG Resources aims to kick-start a drilling campaign in Bahrain. Early successes could prompt a scramble by peers to follow suit, which would be a reversal of the trend seen in the early days of the shale boom when the industry largely retrenched from overseas investments to concentrate on exploiting domestic plays. And while decisions to venture abroad have been mainly based on individual company strategies up until now — and investors have been lukewarm at best — forecasts for shale to start plateauing in the coming years could lend them greater impetus. "Maybe, as they have success, that will draw others in," energy investment firm Bison Interests chief investment officer and founder Josh Young says. "It could be the start of something big." The caveat is that a potential international push at scale is unlikely to happen overnight, and companies such as Murphy Oil and APA — which already have exploration campaigns under way from Vietnam to Ivory Coast and Suriname — have underperformed compared with their rivals. "You are not seeing that market acceptance or market credit for international projects," Young says. That perception may shift if international exploration yields above-average returns for shareholders, boosting the case for producers to seek to build out their inventory further afield as growth in the shale patch slowly grinds to a halt. International exploration may have its own risks, given shale's success story has largely been confined to the US and Argentina to date. But the "cost of entry is relatively low compared to a North American landscape with little room for exploration and high premiums for solid assets in the Permian", consultancy Rystad Energy vice-president for North America oil and gas Matthew Bernstein says. Hamm, who took Continental private more than two years ago after tiring of public markets, recently warned that US shale is beginning to plateau . "What we really need to concentrate on is where we go as we crest right here in America, what the downside looks like," he told the CERAWeek by S&P Global conference in Houston. He also signalled a greater openness to drill outside North America. Talking Turkey Continental recently announced a joint venture with Turkey's national oil company and US-based TransAtlantic Petroleum to develop oil and gas resources in southeast and northwest Turkey. State-owned Turkish Petroleum has pegged initial estimates from the Diyarbakir basin in the southeast that could reach 6bn bl of oil and 12 trillion-20 trillion ft³ (340bn-570bn m³) of gas. The Thrace basin in northwest Turkey may hold up to 20 trillion-45 trillion ft³. "We see immense potential in Turkey's untapped resources," Continental's chief executive, Doug Lawler, says. And in February, EOG Resources announced a tie-in with state-owned Bapco Energies to evaluate a gas prospect in Bahrain. EOG will take on the role of operator, and the venture is awaiting further government approvals. "The formation has previously been tested using horizontal technology, delivering positive results," EOG chief executive Ezra Yacob says. By deploying its existing skillset around horizontal drilling and completions, EOG is confident of achieving results that are competitive with projects in its domestic portfolio. By Stephen Cunningham Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

Trump shakes global trade order, exempts energy


07/04/25
07/04/25

Trump shakes global trade order, exempts energy

Washington, 7 April (Argus) — The US energy industry may feel relieved after President Donald Trump spared oil and other energy commodities from the punitive taxes he announced on nearly all US trading partners on 2 April. But global economic fallout from a drastic protectionist measure will affect the energy industry indirectly, and countries looking for ways to retaliate against Trump's trade actions may follow China's lead in targeting the US' oil, LNG and LPG exports. Trump on 2 April imposed a minimum 10pc tax on all foreign imports from 5 April, with the tariff as high as 34pc for China and 20pc for the EU after 9 April. Trump's executive order exempts all energy commodities and many metals and critical minerals. The 2 April tariffs will not apply to steel and aluminum, cars, trucks and auto parts, as these are already subject to separate tariffs. A 25pc tariff on all imported cars and trucks came into force on 3 April, while a 25pc tax on auto parts will take effect on 3 May. Trump calls his new tariffs "reciprocal", suggesting that foreign countries —which he alleges have high tariffs on US products — will be forced to negotiate to lower their barriers to trade. But Trump and his key allies in Congress have left little doubt that the tariffs are here to stay. The projected tariff revenue, which Trump's administration claims will be as high as $600bn/yr, is a key metric as Congress is advancing a bill to extend tax cuts and other economic priorities, Senate Republican majority leader John Thune says. Consultancy Oxford Economics is likely to lower its 2025 global economic growth forecast by 0.6 percentage points in the wake of the tariffs. But the Trump administration has dismissed the negative reaction from stock markets as a short-term adjustment. "The gravy train is over for the globalist elites, who have profited on the backs of hard-working Americans, looting us of our industries and hollowing out our heartlands," government agency Small Business Administration head Kelly Loeffler says. Loeffler's pre-Trump administration credentials include senior positions at financial firms with global reach, including the Ice exchange. Negotiate or fight back? China is the biggest casualty of Trump's protectionist turn. Including tariffs Trump imposed in February-March , all US imports from China will now be subject to a 54pc tariff, with some products taxed even higher — electric vehicles face a 154pc tax. The previous bout of Trump's trade war saw some of the bilateral trade shift to other east Asian economies, especially Vietnam — but US imports from that country will now be subject to a 46pc tariff. Conflicting messages — Trump said on 3 April he could make a deal over tariffs if it is "phenomenal", even though his White House is inputting tariff revenue in planned budgetary process — have led many key US trading partners to hope that a major trade war could be averted. The EU is preparing countermeasures, including punitive taxes on US technology giants, but European officials are also weighing concessions before the 20pc tariff starts on 9 April. The UK, which is subject to a 10pc import tax, is hoping to strike an "economic prosperity deal" with Trump, prime minister Keir Starmer says. Beijing on 4 April announced a 34pc retaliatory tax on all US imports, with no exemptions, even though Chinese petrochemicals firms have no ready alternative sources for US LPG supply. Ottawa's similarly strong retaliation seems to have worked — Trump spared Canada and Mexico from additional penalties on 2 April and did not revive the tariffs, imposed briefly last month, that were set to upend a highly integrated North American energy market. By Haik Gugarats Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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