Unique partnership offers the first fully integrated LNG solution to ship owners
IRVINE, CA: October 6, 2014: WesPac Midstream LLC (WesPac), a leading provider of energy infrastructure and LNG solutions, is pleased to announce a partnership agreement with Clean Marine Energy LLC (CME), the global facilitator of finance mechanisms for LNG conversion and Emission Control Area (ECA) compliance.
This strategic partnership will ensure the supply and delivery of LNG to ship owners utilizing CME’s Emissions Compliance Service Agreement (ECSA) to convert to cleaner fueling.
The WesPac/CME integrated solution represents a significant step in the evolution of LNG as a marine fuel. The partnership is able to provide both the funding required for LNG conversion as well as the infrastructure for LNG supply and delivery. Conversion to LNG while financing the up- front investment provides the economic benefit of LNG fueling to ship owners without capital deployment, and ensures compliance with ECA regulations taking effect on January 1, 2015.
Pace Ralli, CEO and Co-Founder of CME, explained: “The first question every ship owner asks is ‘Where will I get the LNG?’ because if they cannot ensure the future delivery of LNG then they will not see the investment payback. CME’s partnership with WesPac provides the answer to this question and greatly simplifies the decision to convert to clean, lower-cost LNG fuel.”
Ship owners have a window of opportunity to act as early movers and lead the U.S. domestic shipping industry into the next era of low-emissions shipping. As partners in the emerging LNG fueling market, WesPac and CME aim to help reduce the barriers to LNG adoption and assist the early movers in the marine industry and other high horsepower industries such as rail, mining and E&P. Funds managed by Oaktree Capital Management, L.P. (Oaktree), a leading global investment manager, are supporting both WesPac’s LNG infrastructure projects and CME’s ship upgrade projects.
About WesPac Midstream LLC
WesPac Midstream LLC is a private energy infrastructure company founded in 1998 to develop, build, own and operate midstream assets in North America. WesPac’s primary focus is on infrastructure for the emerging transportation sector for marine vessels, trains and vehicles switching to liquefied natural gas (LNG) from diesel or other oil-based fuels. WesPac provides turnkey solutions that are designed and engineered by WesPac for the specific needs of its customers. Please visit the WesPac’s website at http://www.wespac.com/.
About Clean Marine Energy LLC
CME offers ship owners tailored solutions for emissions compliance, utilizing a proprietary financing mechanism to retrofit their vessels with LNG fueling technology or scrubbers, without a large upfront capital requirement. CME’s comprehensive offering is built on strategic partnerships between industry leaders that combine technology, engineering expertise, capabilities and track record. Please visit CME’s website at http://www.cleanmarineenergy.com/.
About Oaktree
Oaktree is a leader among global investment managers specializing in alternative investments, with $91.1 billion in assets under management as of June 30, 2014. The firm emphasizes an opportunistic, value-oriented and risk-controlled approach to investments in distressed debt, corporate debt (including high yield debt and senior loans), control investing, convertible securities, real estate and listed equities. Headquartered in Los Angeles, the firm has over 850 employees and offices in 17 cities worldwide. For additional information, please visit Oaktree’s website at http://www.oaktreecapital.com/.
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