Factbox: Growing interest in methanol bunkering by global players

HJ ShipBuilding & Construction Co

13/06/2023 05:15

By Carman Chew and Jeslyn Lerh
       SINGAPORE, June 13 (Reuters) - Denmark's Maersk
 MAERSKb.CO  said on Monday it has secured fuel for the world's
first container vessel able to run on carbon-neutral methanol
for its inaugural journey.
    Interest in methanol as an alternative fuel for bunkering
has grown in the shipping industry, which seeks to achieve
net-zero emissions by 2050. 
    Below is a list of key upcoming methanol bunkering-related
projects by companies and ports: 
    
    COMPANIES: 
    *A.P. Moller-Maersk
    Maersk has ordered 19 methanol-enabled ships to work towards
a goal of transporting 25% of its ocean cargo using green fuels
by 2030. The world's first such ship will arrive in Copenhagen
on its maiden voyage this year and be christened on Sept. 14.
    Also, a dozen methanol-fuelled 16,000-twenty-foot equivalent
unit (TEU) vessels, to be built by Hyundai Heavy Industries
 329180.KS , will be delivered to Maersk in 2024, and six
17,000-TEU ships are planned for 2025 delivery. 
    
    *CMA CGM  CMACG.UL  
    CMA has ordered at least 18 methanol-fuelled vessels. It
ordered six 15,000-TEU containers from China State Shipbuilding
Corporation (CSSC)  SASACN.UL  last June, with delivery planned
for 2025, and another 12 such vessels in April this year, as
part of a record $3 billion deal with CSSC. 

    *COSCO Shipping Holdings  601919.SS 
    The company ordered 12 methanol-powered 24,000-TEU ships
last October, worth nearly $2.9 billion, that will be delivered
between the third quarter of 2026 and the third quarter of 2028.
This month, the Chinese boxship giant added four more 16,000-TEU
ships to be built in Yangzhou. 
    
    *HMM Company Limited  011200.KS 
    Nine 9,000-TEU dual-fuelled ships will be delivered to HMM
between 2025 and 2026. They will be built at Hyundai Samho Heavy
Industries (HSHI) and HJ Shipbuilding & Construction  097230.KS 
(HJSC) in the port of Yeongnam. 
    
    *STENA BULK  STENA.UL  
    The tanker company has partnered with methanol producer
Proman and completed its first U.S. Gulf Coast barge-to-ship
methanol bunkering at Houston port in April.     

    PORTS:     
    *China
    COSCO, CMA CGM and Shanghai International Port Group (SIPG)
 600018.SS  inked a memorandum of understanding (MoU) in April
to procure, supply and deliver green methanol fuel at major
ports in China. 
    In March, Maersk signed an MoU with SIPG to explore green
methanol bunkering for its container vessels coming in 2024. 
    
    *Singapore
    The first methanol bunkering pilot at the world's largest
bunkering hub will be conducted by Maersk Oil Trading, Mitsui &
Co  8031.T , Mitsui & Co Energy Trading Singapore, and American
Bureau of Shipping in the third quarter of 2023.
    
    *Melbourne
    The port in April signed an MoU with Maersk, Svitzer
Australia, CMA-CGM subsidiary ANL, Stolthaven Terminals, as well
as fuel producers HAMR Energy and ABEL Energy, to explore
commercial feasibility of establishing a green methanol
bunkering hub in Australia's largest container port.
    
    *Sweden
    The port of Gothenburg in January completed the world's
first ship-to-ship methanol bunkering on Stena Germanica, the
world’s first methanol-powered ferry. The port will team up with
Inter Terminals Sweden (ITS) to develop a methanol storage
facility by end-2023. 
    
    *Egypt
    Alexandria National Refining and Petrochemicals (ANRPC)
signed a $450 million agreement in May with Norway's Scatec
 SCATC.OL  to produce Egypt's first green methanol. 

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UPDATE 1-Maersk secures fuel for first methanol container ship
journey     urn:newsml:reuters.com:*:nL1N38503W
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 (Reporting by Carman Chew and Jeslyn Lerh; Editing by Tom
Hogue)
 ((carman.chew@thomsonreuters.com;
jeslyn.lerh@thomsonreuters.com))