French energy group ENGIE and shipping company CMA CGM have signed a framework agreement to develop a biomethane production facility in the Le Havre industrial-port area of France. The proposed plant is expected to produce 7,000 tonnes of biomethane annually, equivalent to approximately 100 GWh, from 2029/2030. The companies estimate that the renewable fuel could avoid around 23,000 tonnes of CO2 emissions each year, supporting the decarbonisation of CMA CGM's maritime fleet.
ENGIE will lead the project's technical development and permitting process and, subject to a final investment decision, oversee construction and operations. CMA CGM will participate as a minority shareholder through PULSE, its energy investment fund dedicated to decarbonising transport and logistics. The agreement builds on a partnership established between the companies in 2021 to develop lower-carbon energy solutions.
Biomethane Will Replace Fossil-Based Marine Fuel
The facility will convert livestock waste, household biowaste and agricultural residues into biomethane through anaerobic digestion. The renewable gas will be supplied to CMA CGM's fleet through the European gas network using a certified mass-balance system, allowing the company to support renewable fuel production without requiring physical delivery of the gas to individual vessels.
According to the companies, biomethane can reduce lifecycle greenhouse gas emissions by at least 67% compared with conventional marine fuels. It can also be used in CMA CGM's existing LNG-powered vessels without engine modifications or new bunkering infrastructure, providing a potential pathway for reducing emissions from ships already in operation.
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Project Will Also Produce Fertiliser and Recover Biogenic CO2
Beyond renewable fuel production, the Le Havre facility is expected to generate approximately 100,000 tonnes of digestate, a nutrient-rich by-product that can be used as natural fertiliser by local farmers. The project also plans to recover around 13,000 tonnes of biogenic CO2 annually for commercial use, creating additional value from agricultural and organic waste streams.
The project forms part of ENGIE's wider biomethane expansion strategy. The company aims to increase its annual European biomethane production capacity from approximately 1.2 TWh today to 10 TWh by 2035. The Le Havre facility would contribute to that target while establishing a dedicated renewable fuel supply for the maritime sector.
CMA CGM Is Expanding Its Low-Carbon Shipping Fleet
CMA CGM has committed to achieving net-zero carbon emissions across its operations by 2050. Its strategy includes improving vessel efficiency and increasing access to alternative marine fuels. By 2030, the company expects more than 200 dual-fuel vessels capable of using lower-carbon fuel alternatives to have joined its fleet.
"I am pleased to strengthen our partnership with ENGIE, one of France’s leading energy companies. As we invest together in biomethane production in France’s largest container port, Le Havre, we are pursuing our long-term vision in securing access to renewable fuels, while contributing to the energy sovereignty of France and Europe," said Rodolphe Saadé, Chairman and CEO of CMA CGM Group.
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Renewable Fuel Supply Will Be Critical to Shipping Decarbonisation
The partnership reflects growing efforts by shipping companies to secure alternative fuel supplies directly through investments in production infrastructure. Biomethane offers an option for existing LNG-powered vessels, although its wider adoption will depend on production capacity, feedstock availability, certification and the cost of renewable fuel relative to conventional marine fuels.
The Le Havre project remains subject to investment approval, with production expected to begin in 2029/2030 if development proceeds as planned. ENGIE and CMA CGM are also considering additional initiatives in France and elsewhere in Europe, potentially extending their renewable fuel partnership beyond the initial facility.
Source: Engie
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Ankit Palan is a Canada based writer who has been writing about sustainability for the past four years. He focuses on making topics like climate change, ESG, and responsible business easier to understand and more relatable. His work looks at how sustainability plays out in the real world, across businesses, finance, and everyday decisions, without overcomplicating it.
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