• 07 Oct 2016

The Framework Agreement announced on 3 October 3 by US Carnival Corporation and Anglo-Dutch Shell for the supply of LNG to the cruise ships of AIDA Cruises and Costa Crociere is also flying an Italian flag.  Indeed, Carnival was advised by counsel Lorenzo Parola from Paul Hastings Milan.

Lorenzo Parola has also been a speaker at the latest WorkshopGNL organized by ConferenzaGNL at the base of the Italian Navy in the port of Augusta on 13 May regarding the potential development of LNG in the Sicilian Channel. His speech was focused precisely on the contractual aspects for the purchase of LNG as a marine fuel in the Mediterranean Sea. The slides of the speech can be downlaoded here.

http://www.conferenzagnl.com/sito/wp-content/uploads/2016/05/PAROLA-Conferenza-GNL- 13-May-2016.pdf

 The agreement between Carnival and Shell contemplates refueling via a bunker vessel from the LNG terminal in Rotterdam as regards ships cruising in Northern European Seas, whilst in the Southern European Seas refueling is expected to take place from one of the Western Mediterranean harbors. The new vessels under construction are of 180,000 tons, are equipped with dual fuel engines and are expected to commence operations from 2019.

These are the first of the new "green cruising" class of ships capable of being completely powered by LNG both in port and at sea.

This global agreement follows an earlier one entered into last spring for the supply of liquid methane by tanker trucks to the AIDAprima and AIDAperla ships belonging to Aida Cruises, the German subsidiary of Carnival Corporation. The methane is for use of the auxiliary engines when in port.

"We are committed to reducing our emissions and improve the air quality through the evaluation of new solutions such as LNG, a particularly promising option for its environmental benefits and more" said Tom Strang, Senior Vice President for Maritime Affairs of Carnival Corporation.

"We have worked closely with Carnival to get to this point in our business partnership," said Lauran Wetemans, General Manager of the Shell LNG. "Working together from an early stage is essential to facilitate the transition to clean LNG in cruises. It is a unique partnership that will contribute to a prosperous and reliable supply chain of LNG, together with opportunities for future growth."

(Statements gathered by Global LNG - http://www.lngglobal.com/)