The CMA CGM Group and ENGIE announced plans to co-invest in the Salamander project – the first industrial and commercial unit for second-generation biomethane production. The site is being considered to be located in Le Havre, in northern France, backed by the support of the Havre Seine Métropole urban community via the investment program “Le Havre, Ville portuaire intelligente” (Le Havre, a smart port city). This is the first concrete project under the strategic partnership that ENGIE and the CMA CGM Group signed in November 2021.
The unit will be fueled by dry biomass from local wood-waste sources, along with solid recovered fuel, and will produce the biomethane via pyrogasification process. The site will aim to produce 11,000 tons of biomethane annually, starting in 2026, backed by a total investment of €150 million.
The two groups plan to finalize their investment decision in late 2022. A funding request has been submitted to the European Commission’s Innovation Fund. By developing the renewable gas industry and the Salamander project, both CMA CGM and ENGIE will help achieve the energy independence and energy transition goals set forth by the European Commission in the RepowerEU plan.
The CMA CGM Group and ENGIE have taken this opportunity to state their intention to produce together, up to 200,000 tons of annual production of renewable gas in Europe and worldwide by 2028, both to meet CMA CGM’s needs and those of the shipping industry. The Salamander project will help reach that target.
The CMA CGM Group, which aims to achieve net-zero carbon by 2050, already has a fleet of 30 dual-fuel “e-methane ready” ships in operation – a figure that will rise to 77 by the end of 2026. This dual-fuel technology developed by CMA CGM, which currently runs on LNG, is already capable of using bio-LNG, as well as synthetic methane. This fuel reduces greenhouse gas emissions by up to 67% compared with Very Low Sulphur Fuel Oil (VLSFO) from well to wake (the complete value chain). Against this backdrop, CMA CGM and ENGIE are pledging their commitment to promoting the development of the renewable gas sector at an industrial scale.
“To reach our target of net-zero carbon by 2050, the CMA CGM Group is seeking to form solid industrial partnerships, led by this initiative with ENGIE that aims to produce up to 200,000 tons of renewable gas annually by 2028. Salamander is the first industrial ramp-up to emerge from the partnership, an advanced pilot helping to develop the renewable gas sector, in keeping with the goals of energy independence and the energy transition set forth by the European Commission in the RepowerEU plan,” said Christine Cabau Woehrel, Executive Vice President Assets and Operations at CMA CGM.
“ENGIE is innovating with a new local production method for second-generation biomethane using wood waste, underpinned by an energy production technology involving pyrogasification process. The scale of the project reflects our ambitions and accelerated development in renewable gas production. It demonstrates our ability to support leading companies in their transition to net zero. We are delighted and proud to be carrying out this initiative in partnership with CMA CGM, moving forward together in this important milestone in our efforts to promote the energies of the future,” commented Edouard Sauvage, Executive Vice President Infrastructure at ENGIE.
Source: Engie/CMA CGM
