Shell to Supply Carbon-Neutral LNG to Cnooc
Cnooc Gas & Power, a unit of Chinese state-run Cnooc, has signed an agreement with Shell Eastern Trading for delivery of two cargoes of carbon-neutral LNG to mainland China, Shell said on June 22 in a statement.
The cargoes will provide enough carbon-neutral energy to power nearly 300,000 homes for a full year. These cargoes are carbon neutral which means that all emissions from exploring for and producing the natural gas, up to its use by the final consumers, are offset by credits from a variety of nature-based projects including Shell-supported afforestation projects from Qinghai and Xinjiang provinces in China, Shell said.
Cnooc also plans to auction these two carbon-neutral LNG cargoes through the Shanghai Petroleum and Gas Exchange, Shell added.
Earlier this year, Shell supplied carbon-neutral LNG cargo to Taiwan’s CPC Corporation. Last year, it shipped carbon-neutral LNG cargoes to Tokyo Gas in Japan and GS Energy in Korea.