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Hong Kong: Towngas and Sinopec subsidiaries team up on green methanol and hydrogen

Towngas, Sinopec (Hong Kong) and Sinopec Star will collaborate extensively on clean energy solutions, including hydrogen, green methanol shipping applications and SAF.

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Towngas and Sinopec subsidiaries team up on green methanol and hydrogen

The Hong Kong and China Gas Company Limited (Towngas), Sinopec (Hong Kong) Limited, and Sinopec Star Company Limited (Sinopec Star) have signed a memorandum of understanding to establish a strategic partnership. 

The three parties will collaborate extensively on clean energy solutions, including hydrogen, green methanol and sustainable aviation fuel (SAF), injecting fresh momentum into the country’s “dual carbon” strategy and Hong Kong’s energy transition.

Under the memorandum, the partnership will span key areas including hydrogen business development, construction of a hydrogen refuelling station, liquid hydrogen storage and transport technology, hydrogen charging stations, green methanol shipping applications, and SAF development. 

The parties will also explore establishing a joint venture aimed at pooling resources, accelerating hydrogen project delivery, improving Hong Kong’s hydrogen infrastructure, and building a competitive industrial ecosystem.

Hong Kong has ample local hydrogen supply to support the hydrogen collaboration. Towngas, as a major gas and hydrogen supplier in the city, produces gas that is half hydrogen by composition. 

Towngas currently has an annual hydrogen production capacity exceeding 12,000 tonnes. 

With its biogas-to-hydrogen facility at the Tseung Kwan O landfill adding to the supply of Hong Kong-made green hydrogen, the partnership will actively prioritise locally produced hydrogen at competitive prices, diversifying hydrogen sources.

Sinopec (Hong Kong) Limited operates a leading retail network with an extensive customer base across Hong Kong, covering the full range of petroleum retail, wholesale, aviation and marine refuelling operations. It also runs Hong Kong’s first public hydrogen refuelling station. 

Meanwhile, Sinopec Star, as Sinopec’s specialist new energy arm, focuses on wind and solar generation, green electricity transmission, and green hydrogen production, storage, transport and applications. The collaboration will harness each party’s strengths to jointly develop the downstream hydrogen market and accelerate hydrogen adoption in Hong Kong.

Mr Peter Wong Wai-yee, Managing Director of Towngas, said: “Towngas operates an underground gas network spanning 3,700 kilometres across Hong Kong, giving us ready access to local hydrogen sources. Combined with our years of experience handling hydrogen-rich town gas safely and rigorously, this partnership should help drive the hydrogen economy forward, particularly practical applications in green transport and on-site hydrogen power generation.”

Mr Wu Qinggao, Director and General Manager of Sinopec (Hong Kong) Limited, commented: “Sinopec (Hong Kong) Limited has been deeply rooted in Hong Kong for over three decades, with a comprehensive oil and gas storage, transport and sales network and substantial customer base covering the entire supply chain from depots and retail stations to marine refueling and airport jet fuel supply. 

“This cooperation represents a partnership among three parties with complementary strengths and aligned objectives. We will leverage our respective advantages in resources, technology and markets to expedite key projects, including hydrogen refuelling stations, hydrogen vehicle promotion, green methanol shipping applications and SAF supply. 

“This will accelerate the commercialisation of hydrogen and low-carbon fuels, providing reliable support for Hong Kong’s green transport, maritime and aviation energy transition, actively responding to the HKSAR Government’s energy policies and national dual carbon goals, and working together towards Hong Kong’s 2050 carbon neutrality vision.”

Ms Zhang Mingming, Chief Accountant, General Counsel and Chief Compliance Officer of Sinopec Star, said: “Sinopec Star is Sinopec Corp’s specialist new energy company. We have completed and commissioned the world’s largest green electricity-to-green hydrogen project, which has been running safely and stably for over two years. The project has successfully integrated the entire industrial chain from green electricity production to hydrogen generation and refining applications, driving coordinated development of the hydrogen industry ecosystem. 

“We are currently advancing the large-scale green hydrogen production base in Ulanqab, Inner Mongolia, and a long-distance hydrogen pipeline project. Under the tripartite cooperation framework, we will draw on our core technologies and resources to focus on key areas, including transoceanic liquid hydrogen transport, hydrogen blending in natural gas, and green hydrogen power generation. 

“We will participate deeply in Hong Kong’s hydrogen industry development, helping the sector transform towards greener, lower-carbon and more diversified operations, positioning Hong Kong as a global green and low-carbon hydrogen trading hub, and building an exemplar of green energy cooperation to optimise and upgrade the regional energy mix.”

 

Photo credit: Hong Kong and China Gas Company
Published: 5 February, 2026

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Alternative Fuels

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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