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ABEL Energy plans to build facility to supply Singapore with green methanol bunker fuel

Firm said it is finalising a feasibility assessment of the potential construction of a USD 1.7 billion methanol manufacturing plant, which will supply green methanol to MPA for bunkering.

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Port of Townsville

Abel Energy on Thursday (14 March) said it was finalising a feasibility assessment of the potential construction of a USD 1.7 billion methanol manufacturing plant, which will supply green methanol to Maritime and Port Authority of Singapore (MPA) for bunkering. 

The project will be on 16 to 22 hectares of land at the Cleveland Bay Industrial Park located in the Townsville State Development Area to produce 400,000 metric tonnes per annum of green methanol.

Abel Energy signed a Memorandum of Understanding (MOU) with Port of Townsville to undertake investigations required to assess the feasibility of the Townsville Project. 

Under the MoU, they will assess and analyse the green methanol market including customer segments  such as identification of bunkering customers, market leading customers with alternate fuel strategies, high level vessel fuel conversion studies and suitability assessment to local vessel fleet.

A final investment decision for the Townsville Project would be by the end of 2027, with operations commencing in 2029.

Abel Energy and the Port of Townsville signed a Memorandum of Understanding (MOU)

Abel Energy and the Port of Townsville signed a Memorandum of Understand ing (MOU)

A Green and Digital Shipping Corridor is being established, which will help decarbonise and digitalise shipping routes between Singapore and Australia. Both countries formalised their cooperation on establishing a Green and Digital Shipping Corridor by signing a Memorandum of Understanding (MoU) on 5 March 2024.

ABEL Energy is seeking to export green methanol through the Port of Townsville and provide green methanol marine bunkering facilities on Port land. This would also include supporting infrastructure such as storage tanks, loading and unloading facilities, and pipelines.

ABEL Energy’s current flagship project is Bell Bay in Tasmania. A MoU has been signed between Port of Melbourne, Maersk, ANL, Svitzer, Stolthaven Terminals, HAMR Energy and ABEL Energy to explore the commercial feasibility of establishing a green methanol storage and bunkering hub at the Port of Melbourne. 

ABEL Energy CEO Michael van Baarle, said: “The Townsville project would seek to replicate the company’s flagship project, Bell Bay Powerfuels in Tasmania.”

“ABEL Energy’s green methanol production process uses 100 per cent renewable power, fresh water and biomass residues. Our production site in Bell Bay – and the one planned for Townsville – is clean in operation with virtually zero greenhouse gas emissions, water emissions or waste discharge.

“Townsville poses an ideal location for our second green methanol production facility due to the availability of wind and solar energy, along with the large amount of readily available biomass in the forms of sugar cane waste, invasive pest species prickly acacia and woodchip.”

 

Photo credit: MarineTraffic / Albert North and Abel Energy
Published: 18 March 2024

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Western Baltic Engineering unveils green methanol bunkering vessel design for Klaipėda

Designed for flexible operations in shallow waters and local bunkering routes, the concept features an 800-metric-tonne green methanol capacity and the potential to supply up to 250,000 mt annually.

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Western Baltic Engineering unveils green methanol bunkering vessel design for Klaipėda

Ship design and engineering service provider Western Baltic Engineering on Thursday (16 July) showcased its latest concept design for a green methanol bunkering vessel, developed for the operational needs of the Port of Klaipėda.

Designed for flexible operations in shallow waters and local bunkering routes, the concept features an 800-metric-tonne green methanol capacity and the potential to supply up to 250,000 metric tonnes (mt) annually. 

“It is Western Baltic Engineering’s first concept dedicated exclusively to green methanol bunkering, expanding our portfolio of alternative-fuel vessel solutions,” the company said in a social media post.

“Building on our experience in methanol-ready vessel design, it reflects our continued focus on enabling the industry’s transition to cleaner fuels.”

“As the maritime sector evolves, engineering companies have a responsibility not only to respond to market needs but also to anticipate future challenges,” said Marius Arkusauskas, Director at Western Baltic Engineering.

“By exploring emerging technologies and alternative fuel applications, we help our partners prepare for the next generation of maritime operations while contributing to a more sustainable future.”

 

Photo credit: Western Baltic Engineering
Published: 20 July, 2026

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China launches methanol shipping supply chain alliance to accelerate green transition

Marine fuel suppliers in the alliance include Sinopec Fuel Oil Sales, China Marine Bunker (PetroChina), SIPG Energy (Shanghai), and Shenzhen Port Energy Development.

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China Waterborne Transport Research Institute under the Ministry of Transport and China Transport News recently jointly launched a Methanol Fuel Shipping Supply Chain Innovation Alliance with 20 organisations spanning the shipping, port, energy, equipment, research and industry association sectors.

The alliance was officially announced during the main event of China Maritime Day 2026 on 11 July, where members also released a joint initiative to develop a collaborative methanol-fuelled shipping supply chain.

The alliance aims to implement China’s national strategy for green economic transformation and support the Ministry of Transport’s “One Network, Four Modernisations” initiative by building a safe, efficient, economical and reliable methanol marine fuel supply chain

Under the joint initiative, alliance members pledged to align with China’s national decarbonisation strategy by promoting methanol as a key pathway for the shipping sector’s green transition and optimising the industry’s energy mix.

The members also pledged to strengthen collaboration across the supply chain to improve coordination between bunker fuel production, transportation and end users while advancing technological innovation.

Lastly, the alliance will support the development of policies, planning and technical standards, promote resource sharing and joint research, and accelerate the large-scale adoption of methanol as a marine fuel.

The alliance brings together companies and organisations representing the entire methanol shipping supply chain.

Members include shipping and port members such as China Changjiang National Shipping (Group) Corporation, COSCO Shipping Bulk Co., Ltd., Shandong Port Group, and Wuhan Chuangxin Jianghai Shipping Co., Ltd.

Energy companies in the alliance include Sinopec Chemical Commercial Holding Company Limited and Methanex Corporation.

Marine fuel suppliers including Sinopec Fuel Oil Sales, China Marine Bunker (PetroChina), SIPG Energy (Shanghai) Co Ltd and Shenzhen Port Energy Development Co Ltd are also part of the alliance. 

Equipment manufacturers in the alliance are CSSC 711th Research Institute, CSSC Power (Group) Corporation Ltd and Chongqing Hongjiang Machinery Co Ltd.

Research, media and industry organisations participating in the alliance include the China Waterborne Transport Research Institute, China Transport News, and the Methanol Institute.

The Methanol Institute said methanol is moving beyond individual projects towards coordinated action across the entire value chain. 

“And China continues to play a leading role in advancing methanol as a marine fuel,” it said in a social media post.  

“We’re proud to work alongside our fellow alliance members to help strengthen the methanol supply chain and support the continued growth of methanol as a marine fuel.”

 

Photo credit: David Yu from Pixabay
Published: 17 July, 2026

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MTF releases new safety guidelines for methanol-fuelled ships

Recognising that methanol as a marine fuel remains at an early stage of adoption, the guidelines place particular emphasis on risk-based decision-making, continuous improvement and organisational agility.

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The Maritime Technologies Forum (MTF) recently announced the publication of new guidelines to support companies in developing new Safety Management Systems (SMS) and strengthening existing SMS for ships using methanol as marine fuel.

As the maritime industry accelerates its decarbonisation efforts, low-carbon methanol has emerged as one of the most scalable alternative fuel options. 

Its liquid state under ambient conditions, compatibility with existing fuel infrastructure, and increasing industry adoption make methanol an attractive near-term solution. However, its toxicity, low flashpoint and invisible vapour and flame characteristics introduce new safety challenges for the maritime industry that require enhanced procedural controls and risk management measures for safe operations.

“Developed collaboratively by MTF members and industry stakeholders with expertise in methanol fuel technologies and the International Safety Management (ISM) Code, the guidelines provide methanol-specific recommendations across all functional areas of an SMS,” MTF said in a statement. 

Recognising that methanol as a marine fuel remains at an early stage of adoption, the guidelines place particular emphasis on risk-based decision-making, continuous improvement and organisational agility. 

The guidelines emphasised the importance of learning from hazardous occurrences, near-misses and accidents involving methanol fuel.

The report also highlighted the importance of developing versatile SMS frameworks capable of supporting mixed-fuel operations during the transition period, where both conventional fuels and methanol may be carried and used onboard.

Human factors are identified as a critical element in ensuring safe methanol operations. The guidelines recommend that companies assess competency, training, familiarisation and resource requirements based on individual roles and responsibilities.

By providing clear, practical recommendations aligned with the ISM Code, the new MTF guidelines aim to support the safe and effective adoption of methanol as fuel while enabling the maritime industry’s transition towards lower-carbon shipping.

Note: The new guidelines can be viewed here.

 

Photo credit: CHUTTERSNAP on Unsplash
Published: 17 July, 2026

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