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Methanol Institute: Methanol takes another step forward as China shipping giants signal support

‘China is already a leader in production of renewable energy and shift towards methanol long term is in step with its decarbonisation ambitions,’ says Chris Chatterton, COO.

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The Methanol Institute on Monday (5 September) has welcomed comments made by the chairmen of China Merchants Energy Shipping and COSCO Shipping Bulk, that the two companies will focus on methanol marine fuel as their primary area of research in the future.

CMES chairman Xie Chunlin and Gu Jinsong, Chairman of COSCO Shipping Bulk made the comments in a meeting held in late August, during which the two reviewed the co-operation between their companies and exchanged views on the shipping industry’s low-carbon transformation.

At the end of May 2022, the shipping business of China Merchants Group had a fleet of 315 ships (including newbuilding orders) equivalent to 44.6m dwt, ranking second among non-financial shipowners worldwide. COSCO Shipping Bulk operates a fleet comprising some 400 bulk carriers, equivalent to nearly 40m dwt.

“China has set a target to achieve peak carbon and ultimately carbon neutrality and several government ministries have referenced low carbon and renewable methanol development from green hydrogen and methanol-fuelled vessels as key enablers for these policies,” says Kai Zhao, Chief China Representative, The Methanol Institute.

 “That places methanol at an entry point on the transition curve where two leading Chinese companies can reduce GHG emissions and achieve carbon neutrality in the longer term.”

The news comes in a year that has already seen some of the industry’s biggest players commit to methanol dual fuel newbuildings as a means to progressively reduce carbon emissions and cut ship-source pollution.

Lines including AP Moller-Maersk, CMA-CGM and X-Press feeders placed orders or increased their commitments for methanol newbuild vessels. Methanol is viewed as an available, practical and affordable alternative marine fuel as natural gas prices spiral and demand grows for a fuel that can offer short term carbon reductions and deliver long term lifecycle benefits as renewable products become available.

Companies including Waterfront Shipping, Stena/Proman, NYK and MOL have built a series of methanol carriers that use a segregated portion of the cargo as fuel.

“China is already a leader in production of renewable energy and the shift towards methanol long term is in step with its decarbonisation ambitions,” said Chris Chatterton, Chief Operating Officer, The Methanol Institute. 

“The shipping industry can’t wait for fuels that may be decades away from approval and availability; shipowners need a place to start in making carbon savings and methanol can provide that transition now.”

With more bulk shipowners exploring methanol as fuel, this year has seen methanol/dual-fuel designs for bulk carriers and tankers coming to market. Main engine makers report full order books for new units and increasing interest in retrofits and conversions of existing engines.

In February this year, COSCO Shipping Energy Transportation unveiled a methanol-fuelled VLCC design developed with CSSC’s Dalian Shipbuilding Industry with Approval in Principle granted by class societies DNV and CCS.

Related: China: Major shipping firms view methanol as main alternative fuel of the future
Related: DSIC and Cosco Shipping Energy Transportation’s green methanol fuelled ship receives AiP from CCS and DNV

 

Photo credit: COSCO Shipping Bulk
Published: 6 September 2022

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Biofuel

BHP and GCMD trial multi-feedstock B100 bio bunker fuel on bulk carrier

Bio-blend in the BHP and GCMD pilot is being used on a BHP-chartered bulk carrier “Berge Lyngor”, which was bunkered in Singapore in early May.

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BHP and GCMD trial multi-feedstock B100 bio bunker fuel on bulk carrier

BHP and the Global Centre for Maritime Decarbonisation (GCMD) on Wednesday (3 June) said they have blended biofuels from two distinct feedstocks—used cooking oil and waste animal fats —and introduced the lower-emissions marine fuel into a BHP-chartered bulk carrier as part of a pilot project.

The bio-blend in the BHP and GCMD pilot is being used on a BHP-chartered bulk carrier Berge Lyngor, owned and operated by Berge Bulk, transporting BHP iron ore from Western Australia to China. When run on bio-blend, the vessel has the potential to reduce well-to-wake greenhouse gas emissions by approximately 79 per cent per voyage compared to sailing on very low sulphur fuel oil (VLSFO).

The vessel bunkered in Singapore in early May with a B100 bio-blend comprising 50 percent tallow-derived biodiesel, sourced and supplied by HAMR Energy, and 50 per cent used cooking oil (UCOME) supplied by Mitsui & Co Energy Trading Singapore (METS).

Mitsui also blended the fuel and Dan-Bunkering coordinated and executed the bunkering operation, which was performed by Global Energy’s barge MT Maple.

The BHP and GCMD pilot will assess how biofuels from multiple feedstocks can be blended, handled, and introduced under real-world operating conditions using existing used cooking oil bunkering infrastructure.

At the same time, insights from this pilot will help identify solutions to challenges related to fuel quality, handling, traceability, and onboard vessel performance.

Biofuels for global shipping today rely heavily on used cooking oil – a feedstock whose availability is approaching its projected limits. Biofuel from waste animal fats presents a promising option to expand the supply of lower-emissions marine fuels.

The outcomes of the pilot are expected to shed light on the practical steps to integrate biofuel blends from different feedstocks into existing supply chains. The diversity of biofuels will provide shipowners and operators with greater flexibility to optimise fuel procurement based on cost, availability, and lifecycle emissions performance.

Biofuels derived from different feedstocks can exhibit varying properties that may impact operations, including potential corrosion from oxidation, fuel system clogging caused by wax formation, which this pilot aims to assess.

The pilot will trace and verify the biofuel blend’s integrity aimed at bolstering confidence in emissions reductions reporting. The pilot will also provide insights into how robust tracing can support future marine fuel supply chains where biofuels from multiple feedstocks with varying lifecycle greenhouse gas emissions footprints are blended together.

This project is co-funded by the Maritime and Port Authority of Singapore under the Maritime Innovation and Technology Fund (MINT).

 

Photo credit: Global Centre for Maritime Decarbonisation
Published: 3 June, 2026

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Biofuel

NYK starts one-year B100 bio bunker fuel trial on car carrier

In this trial, NYK will operate a car carrier continuously on B100 for one year to evaluate the impact on engines, fuel supply systems, and operational practices.

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NYK starts one-year B100 bio bunker fuel trial on car carrier

Japanese shipping firm NYK on Tuesday (2 June) said it has commenced a one-year long-term trial involving the continuous use of 100% biofuel (B100) on an NYK-operated car carrier. 

In this trial, NYK will operate a car carrier continuously on B100 for one year to evaluate the impact on engines, fuel supply systems, and operational practices. High-purity biofuels such as B100 are known to be susceptible to degradation from oxygen, light, and heat, raising concerns about the stability of such fuels during long-term use.

In this trial, the biofuel primarily comprises FAME (Fatty Acid Methyl Ester) derived from used cooking oil and similar feedstocks.

The initiative is designed to evaluate the fuel’s effects on the vessel’s equipment and verify operational safety under real-world conditions. 

Through this effort, NYK seeks to accumulate technical expertise that will support the broader use of high-purity biofuels and further accelerate efforts to reduce greenhouse gas (GHG) emissions.

NYK has been advancing the use of biofuels through various initiatives. In 2024, the company conducted a trial using biofuel blend B24 and subsequently expanded practical usage to B30. However, the company said there remains limited global experience with the long-term continuous use of B100.

“By collecting long-term operational data through this trial, NYK aims to accumulate valuable technical insights to support both the safe operation of vessels and the wider adoption of high-purity biofuels,” it said. 

 

Photo credit: NYK
Published: 3 June, 2026

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Ammonia

AM Green plans to build green ammonia plant at Indian port

Initiative also includes development of green ammonia handling, storage and bunkering infrastructure, pilot bunkering operations, safety procedures and training programmes, says VOC Port Authority.

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VO Chidambaranar (VOC) Port Authority on Friday (29 May) said it has signed a Memorandum of Understanding (MoU) with India’s ammonia producer AM Green Ammonia to collaborate in the development of a green ammonia production plant.

The plant will have a capacity of one million tonnes per annum (MTPA) at Tuticorin.

The initiative also includes development of green ammonia handling, storage and bunkering infrastructure, pilot bunkering operations, safety procedures and training programmes. 

The project is expected to support the development of green fuel corridors connecting VOC Port with major ports in Europe and Asia, thereby strengthening India’s position in the global green fuels value chain.

VOC Port also signed a Memorandum of Understanding (MoU) with Bureau Veritas (India) Pvt. Ltd., to collaborate on Green Port certification, emissions accounting, ESG reporting, safety validation, development of green bunkering practices, and establishment of a Centre of Excellence for green fuels and sustainability.

The port also plans for an upcoming 750 m³ green methanol bunkering facility.

 

Photo credit: Naveed Ahmed on Unsplash
Published: 3 June, 2026

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