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ExxonMobil and four other parties to collaborate in the Caledonia LNG project

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LNG Industry,

ExxonMobil, Babcock International Group, Bernhard Schulte Shipmanagement (BSM), Calor and Orkney Islands Council have announced that they have signed an agreement to collaborate in the Caledonia LNG project.

The companies aim to develop the infrastructure, storage and technical support necessary to ensure safe LNG operations (including bunkering) for customers located in the north of the UK and the North Sea.

All five parties signed a memorandum of understanding (MoU) on 22 November to study opportunities to provide LNG for both land and marine applications.

ExxonMobil claims that it will look into the potential of its global marine network to deliver LNG bunker fuel to customers in the region. It will also provide technical support and expertise to help ensure safe bunkering operations.

Babcock will provide experience in the storage, handling and distribution of LNG. BSM, meanwhile, will take responsibility for supervising the construction, management and operation of the marine craft and related assets for the project. Calor will investigate opportunities to supply LNG to customers in the automotive and industrial sectors, whilst Orkney Islands Council will provide port services and security.

Luca Volta, LNG Venture Manager at ExxonMobil Marine Fuels, said: “The Memorandum of Understanding is a clear indicator that ExxonMobil, Babcock International Group, Bernhard Schulte Shipmanagement (BSM) and Calor are determined to leverage their history and expertise with LNG to work with Orkney Islands Council to maximise the possibilities for customers.

“We will also draw upon our extensive global marine network to provide our customers in northern UK and the North Sea with LNG bunker fuel.”

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