Under a 10-year sales and purchase agreement (SPA) with Pavilion Energy Trading & Supply, BP Singapore will supply 0.8M tonnes of LNG per year to Singapore starting 2024
Beyond the SPA, both companies will co-develop and implement a greenhouse gas (GHG) quantification and reporting methodology. The methodology will cover emissions from wellhead-to-discharge terminal and be principled on mutual transparency and the adherence to relevant international standards. Such a methodology, for example, would allow those purchasing LNG from Pavilion Energy to calculate and report their CO2 emissions related to using the fuel. Pavilion Energy is one of three LNG bunker licensees in the Port of Singapore.
Pavilion imported Singapore’s first carbon-neutral cargo of LNG in April.
Pavilion Energy group chief executive Frédéric H Barnaud said the deal would advance “strategies for a lower-carbon future, beginning with GHG emissions quantification, reduction and offsets for Singapore.”
Added BP country president Singapore and chief executive, trading and shipping Asia Pacific and Middle East Eugene Leong, "BP’s ambition is to be a net-zero company by 2050 or sooner and to help the world get to net zero. We are excited to enter into this agreement with Pavilion Energy, not only to supply the Singapore market with LNG but also to co-develop a methodology to quantify the carbon intensity associated with the supply. We look forward to working with Pavilion Energy in implementing this innovative deal using BP’s LNG supply portfolio."
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