Methanol

Methanol Institute: Progress in methanol integration across shipping and energy sectors (Week 47, 18 to 24 Nov 2024)

Plans for new fuel production across multiple global sites will feed expanded bunkering facilities with fuels able to be supplied to new global standards and for new dual fuel vessels built or retrofitted.

Published

4 days ago

November 28, 2024

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:

We know that the transition of the maritime industry to net zero carbon emissions requires an end to end approach across the value chain. This week provided evidence of the need to collaborate and co-ordinate in the supply chain from fuel production to cargo transport.

Plans for new fuel production across multiple global sites will feed expanded bunkering facilities with fuels able to be supplied to new global standards and consumed on new dual fuel vessels built or retrofitted for the purpose.

Methanol marine fuel related developments for Week 47 of 2024:

Maersk Completes First Methanol Retrofit of Large Containership, Expands Green Fleet

Date: November 18, 2024

Key Points:

AP Moller-Maersk has completed its first retrofit of a large containership, the Maersk Halifax, to dual-fuel methanol propulsion. The retrofit, carried out at the Zhoushan Xinya Shipyard in China, lasted 88 days and included expanding the vessel's hull to accommodate larger fuel tanks, increasing its capacity from 15,000 TEU to 15,690 TEU.

The vessel successfully underwent sea trials and has resumed operations on the Trans-Pacific trade route. Maersk highlighted that retrofitting existing ships can complement newbuilds in transitioning to low-emission fuels, advancing the company’s goal of achieving net-zero emissions by 2040. This retrofit serves as a pilot project, with Maersk planning to integrate lessons learned into future conversions of its fleet.

Chimbusco Pan Nation Partners with Towngas for Methanol Bunker Fuel Distribution in Hong Kong

Date: November 19, 2024

Key Points:

Chimbusco Pan Nation Petro-Chemical Co, a leading marine fuel supplier, has signed a memorandum of understanding (MOU) with Hong Kong and China Gas Company (Towngas) to develop the distribution of green methanol as a bunker fuel in Hong Kong. This collaboration will focus on supplying methanol produced by Towngas, which is certified under ISCC EU and ISCC Plus standards. The biomethanol is derived from biomass and municipal waste at a production facility in Ordos, Inner Mongolia.

This agreement aligns with Chimbusco Pan Nation's long-term strategy to promote alternative marine fuels and enhance Hong Kong's position as a green maritime hub. Calvin Chung Dik-hong, the company’s director, highlighted the importance of this partnership in advancing sustainable maritime initiatives.

Hong Kong Unveils Green Bunkering Action Plan with Methanol and LNG Initiatives

Date: November 19, 2024

Key Points:

Hong Kong has launched its "Action Plan on Green Maritime Fuel Bunkering," targeting the development and adoption of alternative fuels, including methanol and LNG, as part of its maritime decarbonization efforts. The plan includes several key initiatives:

A pilot ship-to-ship LNG bunkering demonstration scheduled for early 2025.
A target for green fuels, including methanol and LNG, to constitute at least 200,000 metric tons of its annual fuel demand by 2030.
Reducing carbon emissions from Hong Kong-registered ships by at least 11% compared to 2019 levels.
Ensuring 55% of diesel-powered government vessels transition to green fuels by 2026.
Achieving a 30% reduction in carbon emissions from the Kwai Tsing Container Terminals compared to 2021 levels.
Encouraging 7% of Hong Kong-registered ships to use green fuels by 2030.

The government will facilitate collaboration between mainland Chinese green fuel suppliers and shipping companies to establish a robust supply chain. This initiative aligns with global emission reduction targets set by the IMO, aiming to maintain Hong Kong as a centre for sustainable maritime practice.

ISO Introduces First International Standards for Methanol as Marine Fuel

Date: November 20, 2024

Key Points:

The International Organisation for Standardisation (ISO) has launched ISO 6853:2024, the first global standards for methanol used as a marine fuel. These specifications provide comprehensive guidelines for three methanol grades—MMA, MMB, and MMC—each tailored to meet the operational needs of maritime applications.

The standards address requirements for properties like lubricity, cleanliness, and tolerances. MMA includes stricter cleanliness requirements, while MMC offers broader tolerances to meet varied operational demands. Developed using International Methanol Producers and Consumers Association (IMPCA) guidelines as a baseline, the ISO 6853:2024 fills a critical gap in ensuring consistency and reliability for methanol in marine applications.

This milestone, led by ISO's working group convened by Chevron's Monique Vermeire, reflects the growing role of methanol in the decarbonization of maritime shipping. The standards aim to provide clarity for the industry as the adoption of methanol as an alternative fuel accelerates.

Methanol-Ready Vessel AAL Antwerp, Embarks on Maiden Voyage for AAL Shipping

Date: November 21, 2024

Key Points:

AAL Shipping’s newest methanol-ready vessel, AAL Antwerp, has set sail on its maiden voyage following a formal naming ceremony at the CSSC Huangpu-Wenchong Shipyard in Guangzhou, China. The 32,000 DWT multipurpose heavy-lift vessel is part of AAL’s third-generation Super B-Class fleet, which includes eight ships designed to meet the demands of the multipurpose (MPP) heavy lift shipping sector.

The vessel joins sister ships AAL Limassol, AAL Hamburg, and AAL Houston in providing project cargo services across Asia, Europe, the Middle East, and the Americas. As AAL celebrates the halfway point of its latest fleet expansion program, the remaining four Super B-Class vessels, including AAL Newcastle and AAL Mumbai, will be delivered by 2026, offering increased heavy-lift capabilities of up to 800 tonnes

Liquid Wind Secures €44 Million to Advance eFuel Facility Development Worldwide

Date: November 21, 2024

Key Points:

Swedish eFuel developer Liquid Wind has raised €44 million in Series C financing, marking the largest investment in its history. The funding round, led by Uniper, HYCAP Fund I SCSp (HYCAP), and Samsung Ventures, will support the construction of 10 eFuel production facilities by 2027. This initiative is part of Liquid Wind's broader vision of establishing 500 facilities globally by 2050.

Each standardized facility will produce up to 100,000 tons of eFuel annually by recycling 150,000 tons of carbon dioxide, aligning with the maritime industry's demand for low-carbon fuels. This investment bolsters Liquid Wind’s capacity to accelerate production, address sustainability targets, and comply with new maritime fuel regulations.

Uniper, a key partner, highlighted their ongoing collaboration with Liquid Wind, including the NorthStarH2 eMethanol project in Östersund, Sweden. This project aims to produce 100,000 tons of eMethanol annually for the shipping and chemical industries. The partnership emphasizes Uniper’s commitment to achieving carbon neutrality by 2040.

Earlier this year, Liquid Wind collaborated with Alfa Laval, Carbon Clean, Siemens Energy, and Topsoe to establish an eFuel Design and Performance Centre in Denmark. This center focuses on innovating and streamlining the deployment of eFuel production plants, furthering Liquid Wind's goal to reduce global dependence on fossil fuels.

CSL Partnership Orders Two Methanol-Fueled Vessels for Offshore Wind Projects

Date: November 22, 2024

Key Points:

CSL OWL SRI, a new partnership between CSL and OWL, has placed an order for two subsea rock installation (SRI) vessels powered by dual-fuel methanol engines. These vessels, each with a capacity of 17,500 m³, are specifically designed to support the offshore wind energy sector.

Scheduled for delivery in August and November 2026, the vessels are engineered for efficiency and versatility, capable of performing subsea rock installations at depths of up to 100 meters. This development marks a significant step forward in integrating sustainable fuel technology into specialized maritime operations.

Photo credit: Methanol Institute
Published: 28 November, 2024

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Methanol

PLAGEN to produce and supply green methanol bunker fuel with Latvia plant

Korean firm’s MoU with AE Risinājumi will see construction of Latvia’s first commercial-scale green methanol production plant, which will supply green methanol to ships in EU’s maritime fleet.

Published

7 hours ago

December 2, 2024

Admin

PLAGEN to produce and supply green methanol bunker fuel with Latvia plant

South Korean clean energy firm PLAGEN on Friday (29 November) signed an MOU with Latvian company, AE Risinājumi, for the production of green methanol in Latvia at the “2024 Latvia-Korea Business Forum” hosted by the President of Latvia.

The agreement will result in the construction of Latvia's first commercial-scale green methanol production plant, which will supply green methanol to ships in the EU's maritime fleet, contributing to the reduction of greenhouse gas emissions from maritime transportation.

PLAGEN's MoU aims to produce 20,000 metric tonnes (mt) of green methanol per year and will begin feasibility studies in the first half of 2025, and full-scale production will begin in 2028.

With 53% of Latvia's land area covered by forests, timber production and wood processing make a significant contribution to Latvia’s economic production, which generates a large amount of forest residues and wood wastes. In addition, Latvia also has an abundance and low price of renewable electricity from wind power.

Latvia is one of the most competitive countries in the European Union, as it can produce clean methanol at a competitive price by using abundant wood waste as a raw material and renewable electricity from cheap wind power.

The use of abundant forest residues and wood wastes as a feedstock and cheap renewable electricity from wind power makes it possible to produce green methanol with a competitive price, making Latvia is one of the most competitive countries in the EU.

In the European Union, the European Emissions Trading Scheme (EU-ETS) will come into effect in 2025, requiring shipping companies to purchase carbon credits for their greenhouse gas emissions.

In addition, the EU is implementing FuelEU Maritime, which aims to reduce greenhouse gas emissions by 2% below the 2020 average by 2025 and 80% by 2050. This is expected to result in an energy transition to green methanol.

In July 2023, the International Maritime Organization (IMO) adopted a revised strategy that calls for reducing greenhouse gas (GHG) emissions from ships to net-zero by or around 2050, and plans to introduce full-scale regulations from 2027, and shipping companies have begun ordering methanol-powered ships fueled by green methanol, a carbon-neutral fuel.

“We expect to start producing green methanol in Latvia in 2028, which will reduce greenhouse gas emissions from EU maritime transport vessels and contribute significantly to the revitalization of the Latvian economy and national energy security,” said John Kyung, CEO of PLAGEN.

In November 2024, PLAGEN completed the purchase of an industrial complex and received a government permit for the construction of the country's first green methanol plant in Dongjeom Industrial Complex in Taebaek City, Gangwon-do.

The project, which will produce 10,000 mt per year, is scheduled to begin construction in the first half of 2025 and begin production in the second half of 2027.

Photo credit: PLAGEN
Published: 2 December, 2024

Methanol

GENA Solutions: Total renewable and low-carbon methanol project pipeline rises from 38.6 to 39.9 Mt by 2030

Information shared by the Methanol Institute meant to assist the maritime industry in the adoption of methanol as a mainstream marine fuel heading into IMO 2030/2050.

Published

7 hours ago

December 2, 2024

Admin

GENA Solutions: Total renewable and low-carbon methanol project pipeline rises from 38.6 to 39.9 Mt by 2030

The Methanol Institute recently shared with Manifold Times the renewable and low-carbon methanol project pipeline November 2024 release produced by Finland-based GENA Solutions Oy (Green Energy Analytics).

Information from the release is meant to provide the bunkering publication’s readers with insight on renewable methanol availability, and to assist the maritime industry in the adoption of methanol as a mainstream marine fuel heading into IMO 2030/2050.

Key highlights of the November 2024 release are as follows:

The renewable methanol project pipeline increased from 30.5 Mt in October to 31.8 Mt in November (+1.3 Mt). The total renewable and low-carbon methanol project pipeline grew from 38.6 Mt to 39.9 Mt.
As of November 2024, GENA tracks 113 e-methanol plants and projects with total capacity of 18.7 Mt (+0.6 Mt), 77 biomethanol plants and projects with total capacity of 13.1 Mt (+0.7 Mt), and 14 low-carbon methanol plants and projects with total capacity of 8.1 Mt.
Eight projects were added in the November release: four in China, three in Europe and one in Africa. One project was excluded from the Project Navigator due to a change in the final product.
One e-methanol project has started construction in the last month. One small-scale e-methanol plant has started production. Currently, 2.6 Mt of renewable methanol facilities are either operational or under construction.
We estimate that renewable methanol capacity by 2030 could reach 7–14 Mt (22–44% of the project pipeline). However, a lack of long-term off-take agreements and insufficient state support may result in a lower capacity range of 3–7 Mt.

Renewable project pipeline

Renewable methanol by feedstock

Renewable methanol by region

Methanol projects status

Renewable methanol scenarios

Photo credits: GENA Solutions
Published: 2 December, 2024

Methanol

Malaysia: Port of Tanjung Pelepas achieves milestone with first methanol bunkering op

Successful operation demonstrates PTP’s readiness and capability to handle alternative marine fuels, paving the way for future trials and pilots, says Tan Sri Che Khalib Mohamad Noh.

Published

3 days ago

November 29, 2024

Admin

Malaysia: Port of Tanjung Pelepas achieves milestone with first methanol bunkering op

Port of Tanjung Pelepas (PTP), a joint venture between MMC Group and APM Terminals, recently successfully completed the first methanol bunkering operation for a Maersk dual-fuel methanol container vessel.

PTP did not disclose the bunkering vessel involved in the operation and the volume bunkered by Antonia Maersk.

The container vessel is the third in a series of 18 large dual-fuel newbuilds by the Danish shipping giant, capable of sailing on reduced emission methanol.

PTP’s Chairman, Tan Sri Che Khalib Mohamad Noh, highlighted that this milestone marks PTP’s first-ever ship-to-containership methanol bunkering operation.

“This step is pivotal in PTP’s mission to deliver top-quality services to our customers and solidify our position as a preferred port of choice in the region. This successful methanol bunkering operation demonstrates PTP’s readiness and capability to handle alternative marine fuels, paving the way for future trials and pilots of diverse and emerging fuel solutions,” he said.

PTP’s CEO, Mark Hardiman commended the collaboration among PTP, Maersk and the Malaysian Government, which sets a promising standard for future partnerships on infrastructure development, fuel bunkering capabilities and knowledge sharing.

“In preparation for this methanol bunkering operation, PTP worked closely with Maersk, Maersk Oil Trading, Malaysia Marine Department, Johor Port Authority, and various government agencies. Together, we conducted tabletop exercises and workshops, establishing rigorous safety procedures through comprehensive operational and risk assessments, modelling and validation; leading up to the deployment exercise.”

“This development underscores PTP’s dedication to safety and customer satisfaction, enabling us to offer shippers and consignees reliable, timely services through enhanced terminal efficiency and expanded capacity,” he said.

Photo credit: Port of Tanjung Pelepas
Published: 29 November, 2024