Singapore’s Pavilion Energy on Monday said it had chartered its first liquefied natural gas (LNG) vessel to be used in bunkering, or marine refuelling, in the city-state.

That comes ahead of stricter standards to be imposed by the International Maritime Organization on the shipping industry from 2020 which will slash the amount of sulphur allowed in fuel burnt by vessels.

Shipowners are looking at fuelling vessels with LNG as part of a number of options to comply with the new rules. Singapore is the world’s largest bunkering hub.

The 12,000-cubic metre LNG bunker vessel, the biggest such ship set for use in the Port of Singapore, will be owned by Japan’s Mitsui OSK Lines (MOL), built by Sembcorp Marine in Singapore and will be delivered by early 2021, Pavilion Energy said.

MOL will be collaborating with Sinanju, a Singapore-based bunker tanker operator, to manage the vessel, Pavilion Energy added.

It has signed a deal with French oil major Total to share the use of the vessel and enable LNG bunker deliveries to both their marine fuel customers in the port, it said.

Total Marine Fuels Global Solutions, Total’s affiliate in charge of worldwide ship fuelling activities, and Pavilion Gas, a unit of Pavilion Energy, signed a non-binding heads of agreement deal in June last year, which covered the shared long-term time charter of the vessel.

Pavilion Energy was set up in 2013 by Temasek Holdings , Singapore’s sovereign wealth fund, and is focused on LNG investment.