Methanol Institute: Expanding market influence and technological advancements (Week 37, 9 to 15 Sept 2024)
- Published
by Admin
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:
The shipping industry’s engagement with alternative fuels and methanol in particular took another step forward with the creation of the Clean Maritime Fuels Platform, a collaboration which seeks to accelerate the development and adoption of clean fuels.
Demand for clean methanol is set to increase as international navies look to adopt alternatives in their support fleets, potentially dramatically increasing demand alongside merchant maritime users who continue to place orders for methanol capable vessels.
Methanol marine fuel related developments for Week 37 of 2024:
Methanex to Acquire OCI Global’s Methanol Business in $2.05 Billion Deal
Date: September 9, 2024
Key Points:
Leading methanol producer and MI member company OCI Global has agreed to sell its methanol business to Methanex for $2.05 billion. The deal includes cash and Methanex shares and is expected to be finalized by mid-2025. The acquisition will significantly strengthen Methanex’s global methanol production capacity, especially in Beaumont, Texas, and the Netherlands, supporting the company’s leadership in the low-carbon methanol market.
Navies Explore Alternative Fuels Amid Growing Decarbonization Efforts
Date: September 9, 2024
Key Points:
International navies are increasingly considering alternative fuels including biofuels, methanol, and hydrogen to lower their carbon emissions. Although combat vessels may not be the first adopters, non-combat support ships are likely to adopt alternative fuels as logistics and fuel availability evolve. Research teams and defense contractors are actively developing technologies for low-carbon fuels, including methanol, to enhance naval operational efficiency while reducing environmental impact.
Leonhardt & Blumberg Orders Four Methanol-Ready MR Tankers for Future Conversion
Date: September 10, 2024
Key Points:
Germany’s Leonhardt & Blumberg has placed an order for four 49,500 DWT methanol-ready MR tankers from Guangzhou Shipyard International in China. The vessels, equipped with open-loop scrubbers and designed for future methanol dual-fuel conversion, are set for delivery starting January 2027. This investment aligns with the shipping industry’s focus on reducing carbon emissions and supporting compliance with NOx Tier III and EEDI Phase 3 standards.
Maritime Industry Confidence Grows Amid Transformative Challenges
Date: September 10, 2024
Key Points:
Despite the challenges of decarbonization, evolving regulations, and geopolitical instability, confidence within the maritime industry is rising. The 2023-2024 ICS Barometer Report reveals increasing investments in low-carbon solutions such as methanol, biofuels, and hydrogen. The sector remains confident in its operational agility despite climate risks and regulatory pressures. Key factors influencing the industry’s future include fuel availability, regulatory clarity, and the rise of alternative fuels like methanol.
Valmet Secures Methanol Retrofit Order for Two CMA CGM Container Ships
Date: September 12, 2024
Key Points:
Valmet has been awarded a contract by CSSC Qingdao Beihai Shipbuilding to provide automation solutions for retrofitting onboard two CMA CGM container ships which are being converted to run on methanol. The retrofit includes a methanol control and safety system, marking Valmet’s first such automation retrofit in the Chinese marine market. This project is part of CMA CGM’s broader strategy to enhance its fleet’s sustainability by adopting low-carbon fuel technologies.
European Shipowners and Fuel Producers Collaborate to Accelerate Clean Fuel Adoption
Date: September 12, 2024
Key Points:
Leading European shipowners and fuel producers have united to form the Clean Maritime Fuels Platform. This collaboration seeks to accelerate the development and adoption of clean fuels including methanol, hydrogen, and biofuels in response to the EU’s Fit for 55 regulation, which aims for net-zero emissions by 2050. The joint platform will enhance industry co-ordination and address challenges related to the supply and use of low-carbon fuels in maritime operations.
Photo credit: Methanol Institute
Published: 18 September, 2024
