Energy major Total has won an LNG bunker supply licence to work in Singapore.

Total Marine Fuels Private was awarded a five-year licence starting from 1 January 2022 by the Maritime and Port Authority of Singapore (MPA).

The MPA said the major would complement the existing two licensees — the Keppel Offshore & Marine and Shell Eastern Petroleum joint venture FueLNG and Pavilion Energy Singapore — to drive demand and grow bunkering volumes in Singapore.

Total and Pavilion teamed up in a 10-year agreement to share the capacity on a 12,000-cbm LNG bunker vessel (LNGBV) newbuilding.

The unit, which was ordered by Mitsui OSK Lines at Sembcorp Marine, is due to be delivered in the middle of this year to start work in Singapore where it is set to become Asia’s largest LNGBV.

Total has said it believes LNG could grow to reach 10% of Singapore’s 50 million tonne per annum bunker market by 2030

FueLNG debuted this year with its 7,500-cbm LNGBV newbuilding FueLNG Bellina in Singapore. K Line, which is the technical manager for the vessel, said on Wednesday that the LNGBV has become commercially operational and is ready to supply LNG.

The licences for the three companies follow the MPA’s request for proposals which was issued on 28 October. Singapore currently has capacity to supply up to 1 million tonnes per annum of LNG as bunkers.

Total Marine Fuels vice president Jerome Leprince-Ringuet said: “This achievement underscores Total’s goal to be a leading LNG bunker supplier globally, and is in line with our climate ambition to get to net zero by 2050, together with society.”

“LNG is the best, immediately available solution to reduce our shipping customers’ carbon footprint and it paves the way towards carbon-neutral bio-LNG and synthetic methane,” he said, adding that Total will continue to “ramp up its investments” in this sector.

MPA chief executive Quah Ley Hoon said Total’s entry will help bolster the country’s ambition in becoming Asia’s leading LNG bunkering hub.

“We will continue to work with interested parties to grow the bunkering ecosystem in the Port of Singapore and drive the transition to a more sustainable future.”