US natural gas player NextDecade Corporation has inked a 20-year LNG agreement with French oil giant TotalEnergies to provide 1.5 mn mtpa, Reuters reports. The LNG will be supplied from the fourth planned liquefaction facility — Train 4 — at NextDecade’s Rio Grande facility, which is expected to be completed in 2027. The transaction size of the agreement has not been disclosed.

ICYMI: Saudi Aramco recently signed a 20-year LNG sale and purchase agreement with NextDecade for the offtake of Rio Grande LNG facility’s Train 4 output. NextDecade Corporation will supply Aramco with some 1.2 mn mtpa of LNG over 20 years on an FOB basis.

More details emerge on Panama Canal proposed transaction: Italian family-run terminal operator Terminal Investment Ltd (TiL) is emerging as the lead investor in the BlackRock-led group of investors vyingtoacquire a majority stake in CK Hutchinsons from its owner the Hong Kong b’naire Li Ka-shing, Bloomberg reports, citing people familiar with the matter.

The details: TiL will be the sole owner of most of CK Hutchinson’s assets of 43 ports, excluding two ports of Panama, which will see their ownership divided between TiL and Global Infrastructure Partners (GIP) — an investment firm and subsidiary of Blackrock. TiL is expected to retain 49%, while GIP is aiming for a 51% majority.

REFRESHER- An audit last week by Panama's comptroller authority into Hong Kong-based CK Hutchinson has found the company has made “many breaches” of its 25-year ports concessions This comes after China’s top antitrust watchdog blocked Hong Kong-based conglomerate CK Hutchison from selling its two ports in the canal — Balboa and Cristobal ports — to Blackrock.

Big polluters at sea to face new fees: The UN’s International Maritime Organization (IMO) has approved draft amendments to the MARPOL pollution treaty that would — for the first time — force the global shipping industry to reduce and pay for a portion of its GHG emissions, according to a statement issued last week. The new rules — to be adopted in October — will take effect by 2027 and apply to ships over 5k gross tonnes, covering 85% of international shipping’s emissions.

The details: The draft sets two escalating emissions targets, requiring gradual cuts to ships’ GHG fuel intensity. The stricter standard mandates a 17% cut by 2028 from 2008 levels, increasing to 21% by 2030 and 43% by 2035, the Financial Times reported on Friday. Ships that fail to meet this strict target would pay USD 100 per excess tonne of CO2 equivalent. A softer target would see cuts by 4% by 2028 and 8% by 2030, increasing to 30% by 2035, but failure to meet this level would result in steeper fees of up to USD 380 per excess tonne. The system also allows for credit trading, with compliant vessels able to sell credits to those that fall short.

The possible gains: The levies could generate USD 11-13 bn, which would go to a newly proposed net-zero fund aimed at supporting clean fuel adoption, rewarding low-emission ships, and helping developing states decarbonize high-emission fleets, AP reported on Friday, while some delegates told Reuters that the expected revenues by 2030 could be upwards of USD 40 bn.

Some Gulf states opposed the proposal: The draft was passed with support from 63 countries with 16 countries voting against, including Saudi Arabia and the UAE.

ICYMI- The US exited the negotiations over decarbonising global shipping last week, and threatened to take countermeasures to nullify any GHG tax on US-flagged vessels.

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