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Methanol Institute: Potential demand for methanol bunker fuel reaches 17.1 million mt per annum

Current orderbooks show the top five orders for methanol dual fuel vessels coming from Maersk, CMA CGM, Evergreen, X-Press Feeders, COSCO Shipping and HMM, states Chris Chatterton.

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The potential demand for methanol as a bunker fuel has currently risen to 17.1 million metric tonnes (mt) per annum, states the Chief Operating Officer of global methanol industry trade association Methanol Institute.

Chris Chatterton shared the observation with delegates at Session 3: Alternative fuels: Unlocking their potential to transform shipping of the APPEC 2023 conference on Wednesday (8 September) during his session Methanol: The near-term alternative fuel.

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“Global demand and production for methanol in 2020 was 98 million mt and this figure is roughly calculated to reach around 500 million mt by 2050, according to a study by the International Renewable Energy Agency (IRENA),” said Chatterton.

“Broad sub-vertical markets across both chemicals and fuel applications for methanol results in shipowners being subjected to less price volatility, predictable supply, and consistent quality when choosing to use to material as a bunker fuel.

“Additionally, established trading hubs for methanol already mean the product is available for consumption as marine fuel at over 100 ports.”

To date, the 25 methanol-fuel vessels, mainly product/chemical carriers, operating globally will be joined by an additional 165 vessels on order at a future date, he said.

Current orderbooks show the top five orders for methanol dual fuel vessels coming from Maersk, CMA CGM, Evergreen, X-Press Feeders, COSCO Shipping and HMM – mostly purchasing containerships.

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Moving forward, Chatterton expects a total of 1,200 methanol-fuelled vessels of various designs, including containerships, bulk carriers, chemical tankers, ferries, harbourcraft, dredgers, OSV, VLCCs, and car carriers, to be operating by 2030.

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Chatterton in July told Manifold Times he expects a major portion of the methanol-fuelled fleet to be receiving fuel at the Port of Singapore.

The successful completion of Singapore’s first methanol bunkering pilot in late July has given the republic a lead in adopting methanol as a marine fuel.

The Methanol Institute in May published its first comprehensive guide to methanol as a marine fuel.

Singapore’s bunkering sector, meanwhile, is gearing up to receive commercial methanol bunkering operations.

International laboratory testing services firm Eurofins has expanded operations to include surveying, sampling and testing packages for methanol bunker fuel within its product portfolio.

Consort Bunkers Pte Ltd has placed a newbuilding order for six 6,500 dwt IMO Type 2 bunker tankers capable of delivering a wide variety of conventional marine fuels including biofuel and methanol.

During Singapore Maritime Week (SMW 2023), classification society DNV joined a working group on methanol bunkering, managed by the Standards Development Organisation at Singapore Chemical Industry Council (SCIC-SDO).

Golden Island Diesel Oil Trading Pte Ltd, which has already finished the design phase for its methanol bunkering tanker, is planning to start bonded methanol bunkering operations at the republic in 2026.

In 2022, several players including PTT Exploration and Production Public Company Limited, Air Liquide, YTL PowerSeraya Pte. Limited, Oiltanking Asia Pacific Pte. Ltd., Kenoil Marine Services Pte Ltd, and A.P. Moller – Maersk A/S signed a Memorandum of Understanding to start a ‘Green Methanol Value Chain Collaboration’ feasibility study project.

Related: The Methanol Institute: Singapore takes first-mover advantage in Asia with methanol bunkering pilot
RelatedSingapore bunkering sector enters milestone with first methanol marine refuelling op
RelatedMethanol Institute publishes first complete guide to methanol as a marine fuel
RelatedConsort Bunkers receives “Pearl Khaoyai”, prepares for IMO 2030/2050 with IMO Type 2 bunker tanker orders
RelatedSMW 2023: DNV joins Standards working group on methanol bunkering
RelatedSingapore: Golden Island begins fleetwide B30 biofuel bunker trial, starts tests with “Double Happiness”
RelatedSingapore: Golden Island Diesel Oil Trading to start methanol bunkering operations at republic by 2026
RelatedSNIC 2022: Kenoil shares green methanol bunkering endeavour and firm’s contribution to supply value chain
RelatedSingapore: Players in feasibility study for first green e-methanol plant in S.E.A.

Photo credit: The Methanol Institute
Published: 13 September, 2023

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Western Baltic Engineering unveils green methanol bunkering vessel design for Klaipėda

Designed for flexible operations in shallow waters and local bunkering routes, the concept features an 800-metric-tonne green methanol capacity and the potential to supply up to 250,000 mt annually.

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Western Baltic Engineering unveils green methanol bunkering vessel design for Klaipėda

Ship design and engineering service provider Western Baltic Engineering on Thursday (16 July) showcased its latest concept design for a green methanol bunkering vessel, developed for the operational needs of the Port of Klaipėda.

Designed for flexible operations in shallow waters and local bunkering routes, the concept features an 800-metric-tonne green methanol capacity and the potential to supply up to 250,000 metric tonnes (mt) annually. 

“It is Western Baltic Engineering’s first concept dedicated exclusively to green methanol bunkering, expanding our portfolio of alternative-fuel vessel solutions,” the company said in a social media post.

“Building on our experience in methanol-ready vessel design, it reflects our continued focus on enabling the industry’s transition to cleaner fuels.”

“As the maritime sector evolves, engineering companies have a responsibility not only to respond to market needs but also to anticipate future challenges,” said Marius Arkusauskas, Director at Western Baltic Engineering.

“By exploring emerging technologies and alternative fuel applications, we help our partners prepare for the next generation of maritime operations while contributing to a more sustainable future.”

 

Photo credit: Western Baltic Engineering
Published: 20 July, 2026

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China launches methanol shipping supply chain alliance to accelerate green transition

Marine fuel suppliers in the alliance include Sinopec Fuel Oil Sales, China Marine Bunker (PetroChina), SIPG Energy (Shanghai), and Shenzhen Port Energy Development.

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China Waterborne Transport Research Institute under the Ministry of Transport and China Transport News recently jointly launched a Methanol Fuel Shipping Supply Chain Innovation Alliance with 20 organisations spanning the shipping, port, energy, equipment, research and industry association sectors.

The alliance was officially announced during the main event of China Maritime Day 2026 on 11 July, where members also released a joint initiative to develop a collaborative methanol-fuelled shipping supply chain.

The alliance aims to implement China’s national strategy for green economic transformation and support the Ministry of Transport’s “One Network, Four Modernisations” initiative by building a safe, efficient, economical and reliable methanol marine fuel supply chain

Under the joint initiative, alliance members pledged to align with China’s national decarbonisation strategy by promoting methanol as a key pathway for the shipping sector’s green transition and optimising the industry’s energy mix.

The members also pledged to strengthen collaboration across the supply chain to improve coordination between bunker fuel production, transportation and end users while advancing technological innovation.

Lastly, the alliance will support the development of policies, planning and technical standards, promote resource sharing and joint research, and accelerate the large-scale adoption of methanol as a marine fuel.

The alliance brings together companies and organisations representing the entire methanol shipping supply chain.

Members include shipping and port members such as China Changjiang National Shipping (Group) Corporation, COSCO Shipping Bulk Co., Ltd., Shandong Port Group, and Wuhan Chuangxin Jianghai Shipping Co., Ltd.

Energy companies in the alliance include Sinopec Chemical Commercial Holding Company Limited and Methanex Corporation.

Marine fuel suppliers including Sinopec Fuel Oil Sales, China Marine Bunker (PetroChina), SIPG Energy (Shanghai) Co Ltd and Shenzhen Port Energy Development Co Ltd are also part of the alliance. 

Equipment manufacturers in the alliance are CSSC 711th Research Institute, CSSC Power (Group) Corporation Ltd and Chongqing Hongjiang Machinery Co Ltd.

Research, media and industry organisations participating in the alliance include the China Waterborne Transport Research Institute, China Transport News, and the Methanol Institute.

The Methanol Institute said methanol is moving beyond individual projects towards coordinated action across the entire value chain. 

“And China continues to play a leading role in advancing methanol as a marine fuel,” it said in a social media post.  

“We’re proud to work alongside our fellow alliance members to help strengthen the methanol supply chain and support the continued growth of methanol as a marine fuel.”

 

Photo credit: David Yu from Pixabay
Published: 17 July, 2026

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MTF releases new safety guidelines for methanol-fuelled ships

Recognising that methanol as a marine fuel remains at an early stage of adoption, the guidelines place particular emphasis on risk-based decision-making, continuous improvement and organisational agility.

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The Maritime Technologies Forum (MTF) recently announced the publication of new guidelines to support companies in developing new Safety Management Systems (SMS) and strengthening existing SMS for ships using methanol as marine fuel.

As the maritime industry accelerates its decarbonisation efforts, low-carbon methanol has emerged as one of the most scalable alternative fuel options. 

Its liquid state under ambient conditions, compatibility with existing fuel infrastructure, and increasing industry adoption make methanol an attractive near-term solution. However, its toxicity, low flashpoint and invisible vapour and flame characteristics introduce new safety challenges for the maritime industry that require enhanced procedural controls and risk management measures for safe operations.

“Developed collaboratively by MTF members and industry stakeholders with expertise in methanol fuel technologies and the International Safety Management (ISM) Code, the guidelines provide methanol-specific recommendations across all functional areas of an SMS,” MTF said in a statement. 

Recognising that methanol as a marine fuel remains at an early stage of adoption, the guidelines place particular emphasis on risk-based decision-making, continuous improvement and organisational agility. 

The guidelines emphasised the importance of learning from hazardous occurrences, near-misses and accidents involving methanol fuel.

The report also highlighted the importance of developing versatile SMS frameworks capable of supporting mixed-fuel operations during the transition period, where both conventional fuels and methanol may be carried and used onboard.

Human factors are identified as a critical element in ensuring safe methanol operations. The guidelines recommend that companies assess competency, training, familiarisation and resource requirements based on individual roles and responsibilities.

By providing clear, practical recommendations aligned with the ISM Code, the new MTF guidelines aim to support the safe and effective adoption of methanol as fuel while enabling the maritime industry’s transition towards lower-carbon shipping.

Note: The new guidelines can be viewed here.

 

Photo credit: CHUTTERSNAP on Unsplash
Published: 17 July, 2026

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