Connect with us
DNV Decarbonization Insight Series August 2026 - What maritime professionals should know about AI Training

Methanol

LR: Total cost of ownership a potential barrier for methanol propulsion on passenger ships

Report shows TCO for passenger ships retrofitted with methanol dual-fuel engines to be more than double the cost of blended fuel (Blend B30), HFO and HFO with carbon capture technology.

Admin

Published

on

Stena Germanica

A new report from Lloyd’s Register (LR), released recently, found that the total cost of ownership (TCO) for passenger ships retrofitted with methanol dual-fuel engines to be more than double the cost of blended fuel (Blend B30), heavy fuel oil (HFO) and HFO with Onboard Carbon Capture and Storage technologies (oCCS).

LR’s Fuel for thought: Methanol for Passenger Ships examined the TCO for operators over a 15-year period and based results on a calculation that 65% of voyage time would be spent in EU waters. 

Overall findings identified in the report, based on analysis by the LR Business Advisory team, show the bunkering price of methanol to be the main commercial barrier for its adoption, with the use of less environmentally friendly fossil based (grey) methanol a more commercially attractive proposition for passenger shipowners than a blend of 50% grey, 25% bio- and 25% e-methanol, even when EU emissions taxes are taken into account.

However, the study highlights that methanol is a technically viable fuel for ship operators looking to reduce the carbon emissions of passenger ship newbuilds, owing to the similar characteristics of methanol to existing fuels. 

Viable retrofit paths have also been taken to the sector, such as the pioneer LR project for the Stena Germanica back in 2015. This technical viability is reflected in the global orderbook with passenger ships ranging from small inland vessels to the largest cruise ships awaiting delivery.

The report also outlined that greater investment is needed in green and bio-methanol production along with improved bunkering infrastructure to increase fuel availability and reduce costs to a commercially viable level.

Natasha Pritchard, VP Strategic Key Accounts (Cruise), Lloyd’s Register, said: “Our latest Fuel for thought report brings some much-needed insights for passenger ship owners evaluating methanol as part of their energy transition pathway.”

“Whilst methanol as marine fuel holds considerable promise as a low carbon solution for passenger ship propulsion, the total cost of ownership (TCO) compared to other fuels may represent an obstacle to its widespread take-up in the segment.”

“It is therefore vital that renewable and low-carbon production of methanol is prioritised in order to drive down these costs.”

 

Photo credit: Stena Line
Published: 14 March 2024

Continue Reading

Alternative Fuels

China: CIMC Enric and Sinopec to team up on LNG, methanol bunker fuels in new deal

Under the new agreement, the companies will deepen cooperation across the LNG value chain and develop bunkering solutions including truck-to-ship bunkering services.

Admin

Published

on

By

China: CIMC Enric and Sinopec to team up on LNG, methanol bunker fuels in new deal

Clean energy equipment and services provider CIMC Enric on Monday (17 August) said it has signed a strategic cooperation agreement with Sinopec Fuel Oil Sales Co Ltd, covering LNG, green methanol, shipbuilding and new energy for marine applications.

Under the new agreement, the companies will deepen cooperation across the LNG value chain and develop bunkering solutions including truck-to-ship bunkering services. They also plan to expand into emerging marine fuels and energy solutions, including green methanol and sustainable aviation fuel (SAF).

The partnership will focus on five areas: energy-resource cooperation, shipbuilding, marine-fuel bunkering, vehicle-related services and integrated services.

The agreement was signed in Shenzhen on 14 August by Yang Xiaohu, executive director and president of CIMC Enric, and Xu Tao, deputy general manager and Party committee member of Sinopec Fuel Oil.

The cooperation will span commercial implementation, industry development and technology innovation.

The partnership comes as the shipping industry accelerates its transition towards lower-carbon fuels amid tightening International Maritime Organization emissions regulations and China’s carbon-reduction goals.

CIMC Enric specialises in equipment for the clean-energy sector, while Sinopec Fuel Oil leverages the resource and supply network of China Petroleum & Chemical Corporation (Sinopec). Both said their complementary capabilities provide a basis for moving beyond a conventional equipment-supply relationship towards broader cooperation integrating equipment, fuels, applications and technology.

The two companies began working together in October 2022, initially focusing on LNG and CNG storage and transportation equipment. Their cooperation has since expanded into marine equipment, green methanol bunkering, storage and transportation equipment, and external gas-source procurement.

The companies said they will establish a regular cooperation mechanism and develop detailed projects to accelerate implementation. The partnership is intended to strengthen collaboration between energy-equipment and energy-supply companies and support the maritime industry’s transition towards lower-carbon fuels.

 

Photo credit: CIMC Enric
Published: 21 August, 2026

Continue Reading

Alternative Fuels

ClassNK updates safety guidelines for alternative-fuelled ships

The classification society says it has revised the safety requirements within its guidelines for ships using methanol, ethanol and hydrogen as marine fuels.

Admin

Published

on

By

RESIZED Venti Views on Unsplash

Classification society ClassNK on Tuesday (18 August) said it has revised the safety requirements within its guidelines for ships using methanol, ethanol and hydrogen as marine fuels. 

In Part D of the guidelines, covering hydrogen-fuelled ships, the revision incorporates the Interim Guidelines for the Safety of Ships Using Hydrogen as Fuel (MSC.1/Circ.1701) issued by the IMO this year, and additionally introduces a hydrogen leak frequency table that can be used for the safety assessments required under the IMO guidelines. 

In Part A, covering methanol and ethanol-fuelled ships, new structural strength requirements for methanol/ethanol fuel tanks—which are not addressed in the IMO guidelines—have been established. 

“Through this revision, shipyards, designers, and shipowners can carry out design and safety assessments in line with the latest international standards, and by utilizing ClassNK’s own leak frequency estimates and the relevant requirements, they can proceed the development of alternative-fuelled ships in a more rationally,” ClassNK said in a statement. 

As the building of alternative-fuelled ships advances in response to the global challenge of reducing GHG emissions, ClassNK has comprehensively compiled the safety requirements for ships using methanol, ethanol, LPG, ammonia, and hydrogen—fuels regarded as promising alternatives—and has issued the guidelines. 

“Taking into account the risks that the use of alternative fuels poses to the environment, seafarers, and ships, the guidelines set out requirements for equipment, controls, and safety devices to minimize such risks,” it added. 

With the issuance of the IMO guidelines for hydrogen-fueled ships (MSC.1/Circ.1701), ClassNK said it has fully incorporated the IMO guidelines to make the guidelines more user-friendly for shipyards, designers, and shipowners, while also enhancing the requirements serving as design and assessment guidance for other alternative fuels. 

In the development of the IMO guidelines, now reflected in Part D, ClassNK participated as a member of the Japanese delegation to the IMO Sub-Committee CCC 11 and contributed to the discussions.

Note: The Guidelines for Ships Using Alternative Fuels (Edition 3.1)  can be viewed under “Guidelines” on My Page by registering as a user on the ClassNK website. 

 

Photo credit: Venti Views on Unsplash
Published: 20 August, 2026

Continue Reading

Alternative Fuels

CMA CGM boxship takes on record 8,016 mt of biomethanol bunker fuel in Shanghai

“CMA CGM OSMIUM” completes the world’s largest single-batch biomethanol bunkering operation, with enough volume to cover its entire voyage from Shanghai to East Coast of South America.

Admin

Published

on

By

CMA CGM boxship takes on record 8,016 mt of biomethanol bunker fuel in Shanghai

French shipping giant CMA CGM on Tuesday (18 August) said its 13,000 TEU dual‑fuel containership completed the world’s largest single-batch biomethanol bunkering operation at Shanghai Port.

CMA CGM OSMIUM was supplied with 8,016 metric tonnes (mt) of biomethanol in a single operation.

“This volume is enough to cover the vessel’s entire voyage from Shanghai to the East Coast of South America, with an estimated emissions reduction equivalent to 10,000 tonnes of CO₂,” the company said in a social media post. 

Carried out in partnership with Shanghai Electric Group Co Ltd and Shanghai International Port (Group) Co Ltd, CMA CGM said the operation demonstrates the potential of biomethanol for large-scale maritime applications and contributes to the development of lower-carbon fuel solutions for shipping.

Manifold Times previously reported SIPG Energy (Shanghai) Co Ltd (SIPG Energy) completing what it described as China’s first simultaneous two-vessel bunkering operation involving two different green marine fuels at anchorage, supplying LNG and bio-methanol to two vessels.

The company’s LNG bunkering vessel Hai Gang Wei Lai supplied LNG to PIL’s KOTA ELAN, while methanol bunkering vessel Hai Gang Zhi Yuan supplied domestically produced biomass-based methanol to CMA CGM’s dual-fuel container ship CMA CGM OSMIUM.

Related: China: SIPG Energy completes first simultaneous two-vessel, two-fuel green bunkering operation

 

Photo credit: CMA CGM
Published: 19 August, 2026

Continue Reading

Trending