Chevron Corporation (NYSE:CVX) shares are trading higher on Friday. Chevron Shipping teamed up with Mitsui O.S.K. Lines (MOL) to install the Wind Challenger, a wind-assisted propulsion system, on a new LNG carrier.
This vessel will be the world's first LNG carrier with wind-assisted propulsion, supporting Chevron's efforts to lower carbon intensity.
The vessel is being built at the Geoje Shipyard of Hanwha Ocean Co., Ltd., with delivery scheduled for 2026.
In August 2024, MOL received approval in principle (AiP) from Nippon Kaiji Kyokai (Class NK), marking the first approval for an LNG carrier with a Wind-Assisted Ship Propulsion System. The Chevron-chartered vessel will be the first to implement this technology.
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Takeshi Hashimoto, President, and CEO of Mitsui O.S.K. Lines, said, "With the understanding and cooperation of Chevron, we are delighted to be able to expand the Wind Challenger Project to LNG carriers in addition to the two delivered Wind Challenger-equipped bulkers and other ongoing projects."
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"Achieving GHG reduction in the maritime transport of LNG, which is increasingly in demand worldwide as a transition fuel, is a very important mission for us. This project will undoubtedly be a significant milestone towards achieving 'net-zero emissions by 2050', a medium to long-term goal of the Mitsui O.S.K. Lines Group."
This month, Chevron disclosed that it had started water injection operations at its Jack/St. Malo and Tahiti facilities in the deepwater U.S. Gulf of Mexico.
Investors can gain exposure to the stock via EA Series Trust Strive U.S. Energy ETF (NYSE:DRLL) and SPDR Select Sector Fund – Energy Select Sector (NYSE:XLE).
Price Action: CVX shares are up 1.17% at $140.84 at the last check Friday.
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