Methanol

LR report sees surge in methanol engine retrofits in 2023, calls it a ‘defining trend’

More than 100 retrofitted vessels are due to join only methanol conversion currently in operation, “Stena Germanica”, which converted in 2015; ammonia engine technology moved closer to maturity in 2023.

Published

1 year ago

January 12, 2024

Admin

One of the defining trends of the year was the surge in methanol engine retrofits, according to classification society Lloyd's Register (LR) on Thursday (11 January) on its analysis of vessel ordering, technology and fuel developments.

More than 100 retrofitted vessels are due to join the only methanol conversion currently in operation, Stena Germanica, which converted in 2015. Alternative fuel conversions were explored in detail in LR’s Engine Retrofit Report, which identified a significant gap in potential demand for retrofits and the current capability and capacity of yards to handle them.

With the combination of global emissions reduction targets, carbon pricing and performance measures now in place, the dynamics of ship ordering, LR said technology development and fuel supply are shifting rapidly.

With just 27 methanol-capable vessels currently in service, 143 new construction orders were placed in 2023, which including previous orders will take the methanol-capable fleet to 227, according to data from Clarksons.

Ammonia engine technology moved closer to maturity in 2023, with the commercial launch of Wärtsilä’s first ammonia four-stroke engine, the first full-scale two-stroke engine tests by MAN Energy Solutions and the first approval-in-principle for an ammonia two-stroke engine, granted to WinGD’s X-DF-A engine concept by LR. A key signal of the urgency of shipping’s decarbonisation agenda and the potential of ammonia as a carbon-free energy carrier is the fact that four firm orders have already been placed for ammonia-fuelled vessels, all in 2023 and two classed by LR, with several more orders under discussion or publicly reported.

Orders for vessels powered by fossil-based alternative fuels, which will need to be replaced by synthetic or biomass-derived equivalents to allow zero- or near-zero emissions, also continued to surge in 2023. Orders to the end of the year will increase the LNG-fuelled fleet by 90% to 1,938 vessels and the LPG-fuelled fleet by 78% to 189 vessels. Overall, ordering of alternative fuelled vessels reached its highest volume ever in 2023. Combined with emerging demand for alternative fuel conversions, those orders are an early positive indicator that the global fleet could be technically capable of meeting IMO’s 5-10% target for zero- or near-zero carbon fuel use by 2030.

Onboard carbon capture is also increasing in maturity, with 16 retrofits contracted for in 2023 taking the total orders to 22 vessels on top of an existing fleet of 31. The greater activity reflects the evolving marinisation of the technology, with LR issuing Approvals in Principle to Rotoboost and Erma First last year. Eleven of the retrofits booked in 2023 are for vessels a decade or older, indicating that owners are using carbon capture as a solution to see ageing vessels through their life, complying with regulations for the next decade or so without the need for fuel conversion.

Alternative fuel readiness

Realisation of the IMO’s 2030 target will depend on fuel availability as well as shipboard technology. The Zero Carbon Fuel Monitor from LR’s Maritime Decarbonisation Hub has tracked the technology, investment and community readiness of key candidate zero and near-zero emissions fuels across the supply chain since 2018.

Its latest update in October 2023 – as well as the recent 'Future of Marine Fuels' report – show that despite concrete developments in fuel supply over 2023, including the first orders for ammonia bunkering barges and large-scale green methanol supply contracts, supply needs to be scaled up significantly for many fuel candidates.

Among the general themes behind rising readiness levels is a significant scale-up of renewable energy harvesting, driving increased investment readiness of green fuels resources. Additionally, there has been a notable rise in the number of national hydrogen strategies and establishment of production facilities. The increasing acceptance and deployment of carbon capture, utilisation and storage has also contributed to greater viability of ‘blue’ fuels that offer an alternative to fuels produced entirely by using renewable electricity.

Photo credit: Chris Pagan on Unsplash
Published: 12 January, 2024

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Methanol

Ofiniti to roll out e-BDNs for Golden Island methanol bunkering operations in Singapore

Ofiniti will issue electronic Bunker Delivery Notes, based on the recently published Technical Reference 129 on Methanol Bunkering, across Golden Island’s newbuilds and part of its existing fleet.

Published

1 day ago

April 29, 2025

Admin

Ofiniti to roll out e-BDNs for Golden Island methanol bunkering operations in Singapore

Ofiniti, a provider of digital solutions for maritime bunker operations, on Tuesday (29 April) said Singapore bunker supplier Golden Island Pte Ltd will adopt Ofiniti platforms for its expanding fleet operations.

Ofiniti said the move will lay the foundation for a digital multi-fuel future with Golden Island’s four new chemical tankers on order and Singapore-flagged bunker tanker Golden Antares, which will soon enter service.

As part of the transition, Ofiniti will roll out electronic Bunker Delivery Notes (e-BDNs), based on the recently published Technical Reference (TR) 129 on Methanol Bunkering, across Golden Island’s newbuilds and part of its existing fleet.

The Maritime and Port Authority of Singapore (MPA) and Enterprise Singapore (EnterpriseSG), through the Singapore Standards Council (SSC), on 10 March published TR 129 to provide a comprehensive framework for the safe and efficient use of methanol as an alternative fuel for bunkering operations.

Kenny Yap Song Jin, Low Carbon Solutions, Golden Island, said: “Launching our methanol bunkering operations is a major milestone, not just for Golden Island, but for Singapore’s journey toward multi-fuel readiness.

“By combining innovative low-carbon fuels with digital transparency, we set a new benchmark for safe, efficient, and sustainable marine fuel delivery.”

Ofiniti said it has supported suppliers through every stage of the industry’s transition, from conventional fuels to LNG, biofuels, hydrogen, and now, supporting methanol.

Tue Nielsen, Chief Executive Officer, Ofiniti, said: “I’m proud to welcome Golden Island to Ofiniti’s platforms.

“Their move signals a strong trust in our ability to support next-generation operations, and it reflects a broader shift in the market towards digital solutions built specifically for the realities of maritime fuels today and tomorrow.

“We are customer-obsessed, always trying to build in resilience to the way we are doing business.”

Manifold Times previously reported Golden Island’s plans to start bunkering trials of green methanol with its newbuild Singapore-flagged 7,999 dwt IMO type 2 bunker tanker from July.

Golden Antares was scheduled to depart a Chinese shipyard by late April and will lift green methanol produced by Hong Kong and China Gas Company Limited (Towngas) before returning to Singapore to begin bunkering trials.

In April, Ofiniti welcomed bunkering and marine fuel solutions provider Global Fuel Supply (GFS) to its FuelBoss platform as one of its newest customers.

GFS said it was proud to be the first physical supplier in West Africa to launch fully digitalised bunker operations with electronic bunker delivery note (e-BDN) via the FuelBoss platform.

Photo credit: Ofiniti
Published: 29 April, 2025

Newbuilding

Wan Hai Lines orders four methanol-ready boxships for USD 816 million

Wan Hai Lines, on behalf of Wan Hai Lines (Singapore), announced it has placed an order for four more 16,000 TEU container vessels from South Korea shipbuilders HD Hyundai Samho and Samsung Heavy Industries.

Published

1 day ago

April 29, 2025

Admin

KPI OceanConnect facilitates Wan Hai Lines on its first biofuel delivery in Singapore

Taiwanese operator Wan Hai Lines, on behalf of Wan Hai Lines (Singapore) Pte Ltd, on Thursday (24 April) announced it has placed an order for four more methanol-ready container vessels from two South Korean shipbuilding companies.

According to the company’s stock exchange filings, HD Hyundai Samho, part of HD Hyundai Group, and Samsung Heavy Industries will each build two 16,000 TEU capacity container vessels.

The newbuilding deals amount to a combined value of up to USD 816 million with Wan Hai Lines spending between USD 186.5 million and USD 204 million per unit for the boxships at HD Hyundai, and between USD 187.6 million to USD 204 million for the ones at SHI.

Last year, Wan Hai Lines placed an order with the same South Korean shipbuilders to construct four methanol-fuelled vessels each of the same capacity as the latest order.

Photo credit: Wan Hai Lines
Published: 29 April, 2025

Shipping Corridor

SFOC report proposes green methanol-fuelled Korea-Europe shipping corridor

Corridor will run between Pyeongtaek Port—the largest hub for automobile imports and exports in South Korea—and major European ports of Bremerhaven, Antwerp, Zeebrugge, and Southampton.

Published

5 days ago

April 25, 2025

Admin

SFOC report proposes green methanol-fuelled Korea-Europe green shipping corridor

Korean non-government organisation Solutions for Our Climate (SFOC) on Wednesday (23 April) released a report proposing the establishment of a green methanol-fuelled South Korea-Europe shipping corridor.

The proposed corridor will run between Pyeongtaek Port—the largest hub for automobile imports and exports in South Korea—and major European ports of Bremerhaven, Antwerp, Zeebrugge, and Southampton, presenting strategic pathways for the decarbonization of the maritime sector.

South Korea has announced its “Greenship-K Program” to accelerate the adoption of eco-friendly vessels and set a national goal to achieve a 100% reduction in greenhouse gas (GHG) emissions from shipping by 2050.

Focusing on a green methanol-fuelled Pure Car and Truck Carrier (PCTC) operation model, the report quantitatively assessed the potential for greenhouse gas reduction along key routes. Notably, the Bremerhaven–Pyeongtaek route alone is estimated to reduce more than 1.4 million tonnes of CO₂ emissions annually, given its high cargo volume.

The report proposed the adoption of green methanol as the primary fuel for the corridor, with a long-term goal to transition toward e-methanol. This shift is expected to reduce CO₂ emissions by more than 70% compared to conventional fossil fuel use.

Beyond fuel switching, the report emphasised the importance of securing a stable green fuel supply chain, establishing supportive legal and institutional frameworks, and fostering close public-private cooperation among shipping companies, cargo owners, port operators, and fuel suppliers to make the corridor a viable reality.

“With these foundational elements in place, Pyeongtaek Port is well positioned to become the starting point of Korea’s transition toward a decarbonised maritime sector,” SFOC said.

Note: The full report by SFOC can be viewed here and it is also available in Korean here.

Photo credit: Solutions for Our Climate
Published: 25 April, 2025