US supermajor Exxon Mobil has made a small splash into the LNG bunkering space with plans to charter two new vessels, as part of a larger plan to invest billions in low-carbon opportunities over the next five years.

While Exxon plans to start offering bunkering services in 2027, it is also “actively developing complementary supply solutions” to support customers who are ready to adopt LNG before that time, the company said in a statement, stopping short of providing details.

It is not clear where the two vessels, chartered respectively from Avenir LNG and Evalend Shipping in the first and fourth quarter of 2027, will be deployed. The ships will be capable of transporting both LNG and biogas-derived bio-LNG.

New Addition

LNG bunkering appears to be a new addition to the $30 billion in “low-carbon opportunities” identified by Exxon during its corporate plan update in December last year — some of which have been facing headwinds. It included low-carbon hydrogen, carbon capture and storage, biofuels, lithium, carbon materials and its patented Proxxima high-performance polymer.

The foray into bunkering marks a key step in supporting the maritime industry’s decarbonization efforts.

“Both LNG and bio-LNG can help reduce lifecycle GHG [greenhouse gas] emissions compared with conventional marine fuels,” Exxon global lower emission fuel manager Amy Wood said.

“As the maritime industry looks for scalable solutions to reduce GHG emissions, Exxon Mobil is leveraging its skills and capabilities to deliver these fuel options,” Wood said.

Exxon’s move follows similar steps by fellow supermajors Shell and TotalEnergies, which have recently expanded their presence in LNG bunkering — Shell through its acquisition of Pavilion Energy, and Total with last year’s final investment decision on Marsa LNG in Oman, the Middle East’s first LNG hub dedicated to bunkering.

Ships, which move close to 90% of global goods, still run overwhelmingly on oil products, but mounting climate pressure, technological breakthroughs and shifting capital are converging to reshape the industry’s fuel choices toward low-carbon fuels.

Regulatory Push

Exxon’s foray into LNG bunkering comes as “supportive policies and rising demand for LNG in marine transportation are creating opportunities,” the company said, emphasizing that technology-neutral policies are essential to accelerate the adoption of lower GHG emission marine fuels.

The US major did not specify which policies it was referring to, but International Maritime Organization (IMO) member states are due to decide at a London meeting on Oct. 14-17 whether to approve the Net-Zero Framework (NZF) designed to put shipping on a trajectory to reach net-zero emissions by midcentury.

The NZF consists of a global fuel standard, a GHG pricing mechanism with credit trading and a revenue-recycling scheme that would use the revenues from the pricing regime to fund green fuel initiatives.

The outcome of the vote is hard to predict. At the last IMO meeting, there was heavy opposition from a handful of flag states and oil exporters, and overt pressure from the Trump administration has also complicated the politics. But the NZF requires a majority of member states, rather than full consensus, to pass.

The shipping industry emits more than 1 billion tons of CO2 annually, accounting for approximately 3% of global human-caused emissions, according to Japanese shipping firm NYK Line.

Transition Fuel

LNG-ready ships account for around 7% of the global fleet by tonnage, the largest share among alternative fuel pathways, supported by existing bunkering infrastructure and local air quality benefits over fuel oil.

Some research suggests the NZF will favor the deployment of ammonia in the medium term, while others estimate it could support first-generation biofuels or even LNG in the short term, the International Energy Agency (IEA) said last month in its Global Hydrogen Review.

“A lot will hinge on the guidelines to be developed in the next few months, and in particular on the default emission factors included in the guidelines on life-cycle GHG intensity of marine fuels,” the IEA said.

LNG is viable as an NZF compliance option over the next five to 10 years, experts and shippers say, but it isn’t generally considered a scalable zero-emission fuel because it still emits CO2 and methane.

Some observers argue that with container vessels typically built for 20–25 year lifespans, LNG newbuilds could face stranded asset risk by the mid-2030s as IMO rules tighten and increasingly favor hydrogen-derived fuels.