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Methanol Institute: Methanol makes major headway in China (Week 14, 1-7 April 2024)

Two-thirds, or approximately 5 million mtpa, of all global carbon neutral methanol coming online in 2025 will be from China.

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Chris Chatterton, Chief Operating Officer of The Methanol Institute, provides an exclusive weekly commentary on developments related to the adoption of methanol as a bunker fuel, including significant related events recorded during the week, for the readers of bunkering publication Manifold Times:

Newbuilding orders for methanol and ammonia-fuelled vessels continue to overtake placements for LNG-powered ships in February, records a recent DNV survey. This trend says it all for us at The Methanol Institute (MI), that the material is the future bunker fuel of choice chosen by the shipping sector.

Past week, we saw several events implying the above from several members. In Europe, the number of methanol bunkering ports soon be increased by six.

In Asia, two big firms namely HMM and SIPG have agreed to roll out methanol bunkering at Shanghai port. But that is not all happening over in the East; perhaps the mother of all methanol adoption activities took place in China where the world’s first methanol bunker fuel trading platform was created at the Lin-gang Special Area Administration.

Chinese renewable power equipment is considerably less costly, up to a factor of five times, that of North American or European renewable power equipment suppliers. This means China has some very real competitive advantage over production costs for green hydrogen and hydrogen derivatives such as ammonia and methanol.

Considerable “renewable power coupling” (solar and wind) is taking place in China, which extends the efficiency and capacity factors for Chinese e-fuels, ensuring high level of competitiveness.

China’s strong G2G and policy support for “technology neutral” support, renewable power buildup and CCU technology allow it to secure strong, international trading partners, across the value chain.

Two-thirds, or approximately 5 million mtpa, of all global carbon neutral methanol coming online in 2025 will be from China.

Methanol marine fuel related developments for Week 14 of 2024:

X-Press Feeders Signs Green Shipping Corridor Agreements With Six European Ports

Date: April 5, 2024

Key points: X-Press Feeders has entered into agreements with six European ports (Antwerp-Bruges, Tallinn, Helsinki, HaminaKotka, Riga, and Klaipeda) to enhance the infrastructure for alternative fuel provision, specifically green methanol. These agreements aim to develop the supply chains for low-emission fuels, offer training for handling these fuels, and use digital platforms to optimize port operations. This initiative underlines the shipping industry’s move towards renewable energy sources.

Methanol and Ammonia Both Outpaced LNG-Fuelled Ship Orders in March

Date: April 5, 2024

Key points: March witnessed a noteworthy trend in ship orders, with methanol and ammonia-fuelled ships outnumbering LNG-fuelled ones. Two ships ordered in March are to run on methanol, matching the number for ammonia, while only one order was placed for an LNG-fuelled ship. This development signals the shipping industry’s growing interest in alternative fuels, with methanol being a key focus. The first quarter of the year saw a significant increase in orders for ships capable of running on alternative fuels compared to the same period last year.

HMM and SIPG ink MoU for methanol and LNG bunkering in Shanghai Port

Date: April 4, 2024

Key Points: HMM, a Korea-based integrated logistics company, has signed a Memorandum of Understanding (MoU) with Shanghai International Port Group (SIPG) to collaborate on the supply of clean marine fuel, specifically focusing on methanol and LNG at Shanghai Port. HMM aims to achieve net-zero emissions by 2050 and is expanding its sustainable eco supply chain networks. The company has also signed contracts for methanol-powered vessels and plans to operate LNG-powered vessels by the end of the year.

“Ane Maersk” completes its first methanol bunkering op in European waters

Date: April 4, 2024

Key Points: The “Ane Maersk,” recognized as the world’s first large methanol-powered deep-sea vessel, completed its inaugural methanol bunkering operation in European waters at the Port of Antwerp-Bruges. The vessel was refueled with 4,300 metric tonnes of green methanol and 1,375 metric tonnes of biodiesel during its maiden voyage from South Korea to China. This marks a significant milestone in the port’s ambition to become a multi-fuel port, offering a variety of climate-neutral fuels.

Maersk’s Second Large Methanol-Fuelled Boxship Named

Date: April 4, 2024

Key points: AP Moller-Maersk named its second large container ship, Astrid Maersk, designed to operate on green methanol, in Yokohama. This vessel is part of Maersk’s initiative to transition to green energy in ocean transport, emphasizing the need for collaboration across the industry to achieve net-zero emissions.

China: Green Marine to develop world’s first methanol bunker fuel trading platform in Lin-gang

Date: April 4, 2024

Key Points: The Lin-gang Special Area Administration has partnered with Green Marine Group to create the world’s first methanol bunker fuel trading platform. This initiative aims to provide tools for managing price risks and promote physical transactions of green methanol. Additionally, the Green Marine Group will establish the first green methanol training and certification center in Lin-gang to support ship-to-ship methanol bunkering for international sailing ships.

Europe’s largest: Solar developer plans giant 800MW green hydrogen-to-methanol plant

Date: April 3, 2024

Key Points: Ansasol is set to construct an 800MW green hydrogen-to-methanol facility in southern Spain, targeting a production of one million tonnes of renewable methanol by 2029. The initial phase aims for 150,000 tonnes by 2027, scaling significantly by 2029. The project, notable for its scale in Europe, is under development without disclosed funding details or the methanol’s market. The carbon source’s nature for methanol synthesis could affect EU subsidy eligibility.

 

Photo credit: The Methanol Institute
Published: 11 April 2024

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Yang Ming orders six LNG dual-fuel, ammonia-ready containerships from Hanwha Ocean

Each of the six new vessels will have a capacity of up to 13,650 TEU and feature LNG dual-fuel propulsion and Ammonia Fuel Ready specifications.

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Yang Ming orders six LNG dual-fuel, ammonia-ready containerships from Hanwha Ocean

Taiwanese shipping firm Yang Ming Marine Transport Corporation (Yang Ming) and South Korean shipbuilder Hanwha Ocean on Wednesday (2 September) signed a shipbuilding contract for six 13,000 TEU class LNG dual-fuel container vessels. 

The contract was signed by Dr. Chuck Tsai, Chairman of Yang Ming, and Mr. Charles Kim, CEO of Hanwha Ocean. The vessels are scheduled for delivery between 2028 and 2029. 

They will complement Yang Ming’s existing fleet of 10,000+ TEU vessels and serve as key vessels on East-West services, with deployment flexibility across trade lanes connecting Asia with the East and West Coasts of North America, South America, and the Mediterranean. 

Each of the six new vessels will have a capacity of up to 13,650 TEU and feature LNG dual-fuel propulsion and Ammonia Fuel Ready specifications.

“As Yang Ming transitions toward net-zero emissions, LNG provides a relatively mature and economically viable alternative fuel solution, capable of reducing greenhouse gas emissions by approximately 20%,” the company said. 

“At the same time, ammonia can serve as a carbon-free fuel by utilising converted LNG storage facilities, while offering relatively lower conversion costs and comparatively well-developed supply chains and infrastructure. The Ammonia Fuel Ready design will therefore provide Yang Ming with greater flexibility in responding to increasingly stringent international regulations on greenhouse gas emissions.”

In addition, the vessels will be equipped with Type B LNG fuel tanks with a design pressure of 1.0 bar to enhance the safety and efficiency of LNG operations, together with a range of energy-saving technologies, including Wind Shields, Rudder Bulbs, Pre-Swirl Stators, and Shore Power Systems. Smart ship technologies and cybersecurity protection features will also be incorporated to enhance operational efficiency, safety, and reliability while effectively reducing fuel consumption and greenhouse gas emissions.

Deliveries under Yang Ming’s next-generation fleet optimization plan commenced earlier this year. By 2030, a total of 24 new vessels are expected to enter service. 

This includes 18 LNG dual-fuel vessels—comprising five 15,500 TEU, seven 16,000 TEU, and the six 13,000 TEU vessels under this contract—alongside six 8,000 TEU methanol dual-fuel-ready ships. 

 

Photo credit: Yang Ming Marine Transport
Published: 4 September, 2026

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LR, China’s MARIC unveil tanker concept ready for three future bunker fuels

Both secured AiP for a new 114,000 DWT product and crude oil tanker designed to accommodate future conversion to LNG, methanol or ammonia.

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LR, China’s MARIC unveil tanker concept ready for three future bunker fuels

Lloyd’s Register (LR) and the Marine Design and Research Institute of China (MARIC) on Thursday (3 September) have secured Approval in Principle (AiP) for a new 114,000 DWT product and crude oil tanker designed to accommodate future conversion to LNG, methanol or ammonia.

Announced at SMM 2026, the concept addresses one of the biggest investment challenges facing shipping today: the need to develop vessels and capabilities that can support a range of alternative fuel options and pathways as technologies, infrastructure and regulations evolve.

While LNG is already a mature fuel pathway, methanol and ammonia remain at an earlier stage of development, with questions around global fuel availability, infrastructure development, economics and long-term adoption.

The 114,000 DWT tanker concept has been designed as a product and crude oil carrier that can accommodate future conversion to LNG, methanol or ammonia as technologies, regulations and fuel supply chains mature. By incorporating conversion readiness at the design stage, the concept aims to reduce future retrofit complexity and provide owners with greater confidence when planning long-term fleet investments.

The design concept was reviewed against LR’s July 2026 class rules and regulations, including requirements relating to ships using gases and other low-flashpoint fuels, alongside relevant IACS Common Structural Rules for oil tankers. Final classification and statutory approval remain subject to full compliance with all applicable rules and regulations.

Theo Kourmpelis, Global Business Director for Tankers, Lloyd’s Register, said: “Shipowners are being asked to make major investment decisions today despite continued uncertainty around which fuels will dominate in the decades ahead. Alternative fuel solutions each offer potential pathways to compliance, but fuel infrastructure, regulation and economics continue to evolve at different speeds around the world.

“Designs that preserve flexibility will be critical in helping owners manage risk while preparing for multiple future scenarios.”

Si Nan, Marine & Offshore Marketing Department Vice Director, MARIC, said: “As the industry explores different decarbonisation pathways, shipowners need vessel designs that can adapt alongside technological and regulatory developments. This concept was developed specifically to provide greater fuel flexibility and long-term resilience, allowing owners to respond to changing market requirements without being locked into a single fuel strategy.

“Receiving Approval in Principle from Lloyd’s Register is an important milestone that validates the design concept and supports its future development.”

 

Photo credit: Lloyd’s Register
Published: 4 September, 2026

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DNV: Alternative-fuelled vessel orders hit highest monthly level since October 2024

LNG-fuelled vessels accounted for the vast majority of August activity while the strong summer performance marked a significant acceleration in ordering activity after a relatively slow start to the year.

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DNV: Alternative-fuelled vessel orders hit highest monthly level since October 2024

Latest data from classification society DNV’s Alternative Fuels Insight (AFI) platform alternative-fuelled vessel ordering was strong in August, with 52 new vessels added to the platform.

This is the highest monthly total since October 2024 and follows another active month in July, when 47 vessels were added to the database.

LNG-fuelled vessels accounted for the vast majority of August activity, with 46 orders recorded. The container segment led the way with 30 orders, while the car carrier segment contributed a further 12 LNG-fuelled vessels. In addition, four ethanol-fuelled bulk carriers and two hydrogen-powered bulk carriers were added during the month, as well as one LNG bunker vessel.

The strong summer performance marked a significant acceleration in ordering activity after a relatively slow start to the year. In total, 242 alternative-fuelled vessel orders have been placed in the first eight months of 2026, representing a 27% increase compared with the same period in 2025.

LNG remains the dominant fuel choice, accounting for 63% of all alternative-fuelled vessel orders registered so far this year. Container vessels represent the largest share of these LNG orders (59%), followed by car carriers (30%).

Jason Stefanatos, Global Decarbonization Director at DNV Maritime, said: “The past two months have been particularly strong for alternative-fuelled vessel ordering, with August recording the highest monthly total we’ve seen since October 2024. This has helped lift year-to-date orders to a level well above the same period last year.

“LNG remains the leading fuel choice, driven largely by activity in the container and car carrier segments. These sectors have been among the earliest adopters of alternative fuels, supported by predictable liner operations and increasing demand from cargo owners to reduce emissions across supply chains. 

“For many owners, LNG offers a combination of emissions reductions, fuel availability and future flexibility while the longer-term fuel landscape continues to evolve. 

“At the same time, the latest figures include orders for ethanol- and hydrogen-fuelled vessels, highlighting that owners continue to explore a range of decarbonization pathways. Different segments are making different fuel choices, but the overall level of activity demonstrates continued investment in lower-emission shipping.”

Screenshot 2026 09 04 at 12.29.26 PM Screenshot 2026 09 04 at 12.29.36 PM

 

Photo credit: DNV
Published: 4 September, 2026

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