Alternative Fuels

DNV issues AiP to Navigator Gas for a ammonia fuelled gas carrier newbuild

New gas carrier design has been awarded the AiP based on the special features notation (GF NH3) under DNV’s new rules for the use of ammonia as fuel in gas carriers.

Published

4 years ago

September 20, 2021

Admin

Classification society DNV on Friday (17 September) said it has awarded Navigator Gas an Approval in Principle (AiP) for a new ammonia fuelled gas carrier design.

An industry wide consortium, including MAN Energy solutions, Babcock International, and the Norwegian Maritime Authority (NMA), has collaborated with Navigator Gas to achieve the Approval in Principle (AiP) from DNV.

The new gas carrier design has been awarded the AiP based on the special features notation (GF NH3) under DNV’s new rules for the use of ammonia as fuel in gas carriers. DNV, alongside the NMA, reviewed the design and relevant documentation and found no potential showstoppers to its realisation.

“Navigator Gas has been discussing Ammonia as a fuel with our consortium partners since 2018, when this topic was on the fringes of discussions surrounding decarbonisation and the use of alternative fuels,” says Paul Flaherty, Technical Advisor to Navigator Gas.

“Those early discussions on feasibility led to the completion of a comprehensive HAZID in early 2019, which remains as valid today as it was then. This has also been used as the base safety case during our AiP discussions with DNV.

“Since our discussions began, we have witnessed an exponential increase in the number of projects around the globe looking at Hydrogen and Ammonia as carbon free source of energy. We have also been engaging with our customers and business partners to discuss their carbon free shipping requirements for transporting Blue/Green Ammonia to their customers.”

“Obtaining an AiP from DNV for an Ammonia fuelled vessels is the first step in preparing Navigator Gas to meet the future demands of our customers and to reduce our carbon footprint through lower greenhouse gas emissions.

“In the longer term, using Ammonia as fuel is one of Alternative Fuels options we are pursuing, along with CCS, Carbon Offsetting and improved Vessel Optimisation to reduce our carbon footprint and lower greenhouse gas emissions.

“I would like to thank DNV, MAN Energy Solutions, Babcock International and the Norwegian Maritime Authority, for their unwavering support and input during the AiP process,” he ends.

“We are very pleased to be working with Navigator Gas and so many leading companies on this AiP,” says Torgeir Sterri, Senior Vice President, Regional Manager West Europe, DNV Maritime.

“If our industry is going to continue to play a central role in the global economy, we need to be exploring all options that can get us further towards decarbonisation.

“At the same time, we recognise that for our customers, how to tackle the decarbonisation challenge is going to be most challenging and significant decision they are likely to make this decade. This is why we have created class notations and guideline that give them the flexibility to find the path that fits their operations and business.”

Andrew Scott, Business Development Director, Babcock LGE comments:
“This ammonia as a fuel concept design is supported by Babcock LGE’s operational experience of delivering Liquefied Petroleum Gas (LPG) fuel supply systems and carrying ammonia as a cargo on gas carriers, meaning specific issues occurring when utilising ammonia as a fuel are well understood, resulting in an inherently safe design.”

“Babcock LGE is enabling the transition towards a cleaner, sustainable future through innovative technologies, and we are delighted to be working with our partners in this significant project.”

Thomas S. Hansen, Head of Promotion and Customer Support, MAN Energy Solutions explains:
“MAN Energy Solutions is happy to work with industry partners in decarbonising the maritime economy where, for us, the path starts with fuel decarbonisation. Here, several zero-carbon fuels offer significant potential, with ammonia of especial interest.”

“Since large quantities of ammonia are already transported around the world, it is a well-established commodity and using it to power ships would be a natural step.

“In this context, we have already announced that we expect to be make a dual-fuel, two-stroke ammonia engine commercially available for large-scale ocean-going ships by 2024, followed by a retrofit package to make existing maritime vessels capable of running on ammonia by 2025.”

Lars Alvestad, acting Director of Shipping and Navigation, Norwegian Maritime Authority notes:
“We are proud to be a part of this project and it has given us vital input on how to handle the safety concerns when using ammonia as fuel. Ammonia could play an important role in the decarbonisation of shipping and therefore the safety concerns have to be addressed.”

“This project shows that it’s possible to manage some of the challenges within decarbonisation through good cooperation.”

Photo credit: Navigator Gas
Published: 20 September, 2021

LNG Bunkering

New MOL vessel to be supplied LNG bunker fuel in Japan before voyage to Australia

After departing from Saijo Shipyard, LNG fuel will be supplied directly to “Verde Heraldo” through shore-to-ship bunkering at Senboku Terminal of Osaka Gas, and is then scheduled to sail for Australia.

Published

7 hours ago

April 22, 2025

Admin

New MOL vessel to be supplied LNG bunker fuel in Japan before voyage to Australia

Mitsui OSK Lines (MOL) on Friday (18 April) said the naming and delivery ceremony for the LNG-fuelled Capesize bulker, which MOL ordered for JFE Steel Corporation, was held at the Saijo Shipyard of Imabari Shipbuilding.

The vessel was named the Verde Heraldo, which means “Green Pioneer” in Spanish, by JFE Steel President and CEO Masayuki Hirose. MOL executives including President & CEO Hashimoto were also on hand for the ceremony.

After departing from Saijo Shipyard, LNG fuel will be supplied directly to the vessel through shore-to-ship bunkering at the Senboku Terminal of Osaka Gas, and is then scheduled to sail for Australia.

The Verde Heraldo will sail under long-term transport contracts to supply raw materials for JFE Steel's mills, providing both reduced environmental impact and safe and reliable marine transport services.

About Verde Heraldo

LOA: 299.99 m
Breadth: 50.00 m
Draft: 18.436 m
Deadweight tonnage: 210,321 tonnes
Shipyards: Imabari Shipbuilding and Nihon Shipyard

Photo credit: Mitsui OSK Lines
Published: 22 April, 2025

Alternative Fuels

Indonesia and HDF Energy partner to study hydrogen solutions for maritime decarbonisation

Agreement between HDF Energy, Indonesia’s Ministry of Transportation, PLN and ASDP outlined a joint study to decarbonise Indonesia’s maritime sector using locally produced green hydrogen.

Published

7 hours ago

April 22, 2025

Admin

Indonesia and HDF Energy partner to study hydrogen solutions for maritime decarbonisation

PT HDF Energy Indonesia, a subsidiary of French hydrogen infrastructure developer HDF Energy, recently signed a Memorandum of Understanding (MoU) with Indonesia’s Ministry of Transportation (MoT), state-owned electric utility PT PLN (Persero) and ferry operator PT ASDP Indonesia Ferry (Persero).

The agreement outlined a joint study to decarbonise Indonesia's maritime sector using locally produced green hydrogen. The study will be conducted in collaboration with, and co-funded by, the International Maritime Organization (IMO).

The MoU was signed during the Global Hydrogen Ecosystem Summit on April 15, 2025 in Indonesia.

The study will focus on Eastern Indonesia, a region with plenty of sun and home to many of ASDP's strategic ferry routes. HDF Energy is currently developing 23 Renewstable® hydrogen power plants in the region. These facilities combine a solar park with substantial on-site energy storage in the form of green hydrogen to provide non-intermittent, stable and 100% clean electricity to the grid, day and night.

By generating surplus green hydrogen at a competitive marginal cost, Renewstable® plants also pave the way for the supply of green hydrogen to decarbonise maritime transport. The hydrogen produced will be used to power the high-power fuel cells developed and manufactured by HDF Energy in France, a modular, reliable solution tailored to the conversion of maritime fleets.

With this project, HDF Energy is deploying an integrated approach: producing competitive green hydrogen locally and offering a zero-emission maritime vessels' propulsion solution based on its fuel cells.

ASDP, which operates one of the world's largest ferry networks, plays a critical role in connecting Indonesia's remote islands. As a key player in the maritime sector's energy transition, the company will contribute to the study to identify opportunities for converting its fleet and port infrastructures. The aim is to replace traditional diesel engines with solutions based on green hydrogen and renewable electricity, in order to significantly reduce emissions.

PLN has already taken a proactive role in launching hydrogen pilot projects across the country. The company previously signed an MoU with HDF Energy to accelerate the deployment of Renewstable® hydrogen power plants as a green alternative to diesel-based power — a collaboration representing potential investments of up to USD 2.3 billion, supported by international development institutions including the U.S. International Development Finance Corporation (DFC).

On the same occasion, HDF also signed an MoU with PT Pelayaran Bahtera Adhiguna (PT BAg), a national shipping company specialising in sea transportation services for primary energy distribution across Indonesia. The partnership reflects a joint commitment to assessing hydrogen as a clean alternative to power auxiliary systems on large vessels.

Mathieu Geze, HDF Energy's Director for APAC and President Director of PT HDF Energy Indonesia, stated: “We are proud to reaffirm our commitment to a Net Zero emission future through this strategic collaboration. Working together with PLN, ASDP, the Ministry of Transportation, and with PT Bag, we aim to place Indonesia at the forefront of green hydrogen innovation in the Asia-Pacific. Our fuel cells represent a decisive step forward in the decarbonization of maritime transport in the Indonesian archipelago, as well as a formidable showcase for French innovation on the international stage.”

On a regional scale, this partnership in Indonesia is part of HDF Energy's development drive in Southeast Asia.

On 11 April, in the Philippines, HDF signed a MoU with the Department of Transportation to harness green hydrogen—produced by HDF's Renewstable® power plants currently under development—to power the next generation of hydrogen-fuelled maritime vessels.

The following day in Vietnam, HDF entered into a strategic partnership with ACST, an organisation affiliated with the Ministry of Construction, to advance green hydrogen solutions, including the retrofitting of diesel ferries with HDF's hydrogen fuel cells.

Photo credit: HDF Energy
Published: 22 April, 2025

Biofuel

Argus Media: IMO incentive to shape bio-bunker choices

IMO proposal for ship owners who exceed emissions reduction targets to earn surplus credits will play a key role in biofuel bunkering options going forward.

Published

7 hours ago

April 22, 2025

Admin

An International Maritime Organization (IMO) proposal for ship owners who exceed emissions reduction targets to earn surplus credits will play a key role in biofuel bunkering options going forward.

22 April 2025

The price of these credits will help determine whether B30 or B100 becomes the preferred bio-bunker fuel for vessels not powered by LNG or methanol. It will also influence whether biofuel adoption is accelerated or delayed beyond 2032.

At the conclusion of its meeting earlier this month the IMO proposed a dual-incentive mechanism to curb marine GHG emissions starting in 2028. The system combines penalties for non-compliance with financial incentives for over-compliance, aiming to shift ship owner behavior through both "stick" and "carrot" measures. As the "carrot", ship owners whose emissions fall below the IMO's stricter compliance target will receive surplus credits, which can be traded on the open market. The "stick" will introduce a two-tier penalty system. If emissions fall between the base and direct GHG emissions tiers, vessel operators will pay a fixed penalty of $100/t CO2-equivalent. Ship owners whose emissions exceed the looser, tier 2, base target will incur a penalty of $380/t CO2e. Both tiers tighten annually through 2035.

The overcompliance credits will be traded on the open market. It is unlikely that they will exceed the cost of the tier 2 penalty of $380/t CO2e. Argus modeled two surplus credit price scenarios — $70/t and $250/t CO2e — to assess their impact on bunker fuel economics. Assessments from 10-17 April showed Singapore very low-sulphur fuel oil (VLSFO) at $481/t, Singapore B30 at $740/t, and Chinese used cooking oil methyl ester (Ucome), or B100, at $1,143/t (see charts).

If the outright prices remain flat, in both scenarios, VLSFO would incur tier 1 and tier 2 penalties, raising its effective cost to around $563/t in 2028. B30 in both scenarios would receive credits putting its price at $653/t and $715/t respectively. In the high surplus credit scenario, B100 would earn roughly $580/t in credits, bringing its net cost to about $563/t, on par with VLSFO, and more competitive than B30. In the low surplus credit scenario, B100 would earn just $162/t in credits, lowering its cost to approximately $980/t, well above VLSFO.

At these spot prices, and $250/t CO2e surplus credit, B100 would remain the cheapest fuel option through 2035. At $70/t CO2e surplus credit, B30 becomes cost-competitive with VLSFO only after 2032. Ultimately, the market value of IMO over-compliance credits will be a major factor in determining the timing and extent of global biofuel adoption in the marine sector.

By Stefka Wechsler