Shell has signed separate agreements for four LNG carriers with affiliates of Knutsen LNG, two LNG carriers with Korea Line Corporation and two LNG carriers owned by investors advised by J.P. Morgan Asset Management.

These state-of-the-art 174,000 cbm LNG carriers will be built by Hyundai Heavy Industries and Hyundai Samho Heavy Industries. They will all be equipped with efficient dual-fuel X-DF engines, boil-off management plants, air lubrication systems and shaft generators for auxiliary power. They will be integrated into Shell’s time-chartered trading fleet.

Dr Grahaeme Henderson, Vice President of Shell Shipping & Maritime, said: “These high technology ships deliver significant benefits for the Shell fleet by reducing emissions and improving fuel efficiency, and will support Shell’s trading businesses in safely and reliably delivering LNG to our customers around the world. Improvements in ship hull and machinery design, and the introduction of digital performance management systems, has resulted in up to 40% more fuel efficiency than equivalent ships operating in 2008. We have taken further steps with the addition of energy efficient technologies on these ships, such as air lubrication, making a substantial reduction in the carbon intensity of our operations.”

Mr. S. Y. Park, Chief Operating Officer & Senior Executive Vice President of Hyundai Heavy Industries said: "This project is unique in the sense that its success depends on strong and close partnership among multiple parties. Thus, we are proud of the fact that, through exemplary collaboration between each of the parties, we have successfully brought the project to execution. We are also excited to envision that this project will lead the global LNGC shipbuilding/shipping industry by introducing lower emission vessels which are safer and more efficient than ever. Accordingly, we look forward to successful construction and delivery of the vessels through continued cooperation with the partners.”

Mr. Trygve Seglem, owner of Knutsen OAS Shipping AS, says: “I am proud to be part of this agreement with Shell. This contract further extends our cooperation with Shell, and ensures that we can provide Shell with state of the art transportation services with these safe, efficient, and lower-emission LNG carriers.”

Mr. CB Kim, Vice Chairman at Korea Line Corporation said: “This unique circumstance will strengthen our relationship with global energy company Shell and help us to mutually develop further opportunities on international LNG transportation market, as well as LNG bunkering market actively in due course.”

Mr. Andrian Dacy, Global Head of Transportation at J.P. Morgan Asset Management said: “We are excited and honored to partner with Shell on these groundbreaking, technologically innovative vessels. This project is an important step in our commitment to pursue the long-term environmental sustainability of the global shipping industry.”

Staggered delivery of the vessels is expected to take place from mid-2022.

Enquiries:

Shell International Media Relations +44 (0) 20 7934 5550

Royal Dutch Shell plc

Royal Dutch Shell plc is incorporated in England and Wales, has its headquarters in The Hague and is listed on the London, Amsterdam, and New York stock exchanges. Shell companies have operations in more than 70 countries and territories with businesses including oil and gas exploration and production; production and marketing of liquefied natural gas and gas to liquids; manufacturing, marketing and shipping of oil products and chemicals and renewable energy projects. For further information, visit www.shell.com

Cautionary note 

The companies in which Royal Dutch Shell plc directly and indirectly owns investments are separate legal entities. In this media release “Shell”, “Shell Group” and “Royal Dutch Shell” are sometimes used for convenience where references are made to Royal Dutch Shell plc and its subsidiaries in general. Likewise, the words “we”, “us” and “our” are also used to refer to Royal Dutch Shell plc and its subsidiaries in general or to those who work for them. These terms are also used where no useful purpose is served by identifying the particular entity or entities. ‘‘Subsidiaries’’, “Shell subsidiaries” and “Shell companies” as used in this media release refer to entities over which Royal Dutch Shell plc either directly or indirectly has control. Entities and unincorporated arrangements over which Shell has joint control are generally referred to as “joint ventures” and “joint operations”, respectively. Entities over which Shell has significant influence but neither control nor joint control are referred to as “associates”. The term “Shell interest” is used for convenience to indicate the direct and/or indirect ownership interest held by Shell in an entity or unincorporated joint arrangement, after exclusion of all third-party interest.

This media release contains forward-looking statements (within the meaning of the U.S. Private Securities Litigation Reform Act of 1995) concerning the financial condition, results of operations and businesses of Royal Dutch Shell. All statements other than statements of historical fact are, or may be deemed to be, forward-looking statements. Forward-looking statements are statements of future expectations that are based on management’s current expectations and assumptions and involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied in these statements. Forward-looking statements include, among other things, statements concerning the potential exposure of Royal Dutch Shell to market risks and statements expressing management’s expectations, beliefs, estimates, forecasts, projections and assumptions. These forward-looking statements are identified by their use of terms and phrases such as “aim”, “ambition”, ‘‘anticipate’’, ‘‘believe’’, ‘‘could’’, ‘‘estimate’’, ‘‘expect’’, ‘‘goals’’, ‘‘intend’’, ‘‘may’’, ‘‘objectives’’, ‘‘outlook’’, ‘‘plan’’, ‘‘probably’’, ‘‘project’’, ‘‘risks’’, “schedule”, ‘‘seek’’, ‘‘should’’, ‘‘target’’, ‘‘will’’ and similar terms and phrases. There are a number of factors that could affect the future operations of Royal Dutch Shell and could cause those results to differ materially from those expressed in the forward-looking statements included in this media release, including (without limitation): (a) price fluctuations in crude oil and natural gas; (b) changes in demand for Shell’s products; (c) currency fluctuations; (d) drilling and production results; (e) reserves estimates; (f) loss of market share and industry competition; (g) environmental and physical risks; (h) risks associated with the identification of suitable potential acquisition properties and targets, and successful negotiation and completion of such transactions; (i) the risk of doing business in developing countries and countries subject to international sanctions; (j) legislative, fiscal and regulatory developments including regulatory measures addressing climate change; (k) economic and financial market conditions in various countries and regions; (l) political risks, including the risks of expropriation and renegotiation of the terms of contracts with governmental entities, delays or advancements in the approval of projects and delays in the reimbursement for shared costs; and (m) changes in trading conditions. No assurance is provided that future dividend payments will match or exceed previous dividend payments. All forward-looking statements contained in this media release are expressly qualified in their entirety by the cautionary statements contained or referred to in this section. Readers should not place undue reliance on forward-looking statements. Additional risk factors that may affect future results are contained in Royal Dutch Shell’s Form 20-F for the year ended December 31, 2018 (available at www.shell.com/investor and www.sec.gov). These risk factors also expressly qualify all forward-looking statements contained in this media release and should be considered by the reader. Each forward-looking statement speaks only as of the date of this media release, December 20, 2019. Neither Royal Dutch Shell plc nor any of its subsidiaries undertake any obligation to publicly update or revise any forward-looking statement as a result of new information, future events or other information. In light of these risks, results could differ materially from those stated, implied or inferred from the forward-looking statements contained in this media release.

We may have used certain terms, such as resources, in this media release that the United States Securities and Exchange Commission (SEC) strictly prohibits us from including in our filings with the SEC. U.S. investors are urged to consider closely the disclosure in our Form 20-F, File No 1-32575, available on the SEC website www.sec.gov.

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