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Methanol

Unifeeder inks time-charter deal for up to four methanol powered vessels 

Unifeeder Group plans to deploy the new vessels on its European network, where the new vessels will give a significant contribution to lower the emissions of the network.

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International logistics company Unifeeder Group on Tuesday (3 October) said it has signed a long-term time-charter agreement for two new methanol-capable container feeder vessels and has an option for additional two similar vessels.

German-based ship owning group Elbdeich Reederei will build and manage the 1250 twenty-foot equivalent unit (TEU) vessels which will be delivered in 2026. 

Unifeeder Group plans to deploy the new vessels on its European network, where the new vessels will give a significant contribution to lower the emissions of the network.

Alongside parent company, DP World, Unifeeder is working with partners across the industry to find solutions to the challenge of renewable-methanol supply, which needs off-take commitments to build production at the scale that the industry needs to replace conventional fossil fuels.

In parallel to the delivery of the methanol capable vessels, Unifeeder will continue to improve the fuel efficiency of the entire fleet deployed and increase the use of biofuels on the conventional vessels in the fleet. 

Jesper Kristensen, Group CEO of Unifeeder Group, said: “This is another significant step towards the green transformation of our fleet and our operations. These new vessels can be deployed across our current and future networks, offering a flexible, greener solution to our customers.

“As the number of methanol-capable vessels increases in both our operations and those of our customers, my hope is that this drives an increase in innovation and production amongst methanol producers. This will then complete a virtuous circle and ensure we can operate more and more methanol capable vessels with the right colour of methanol fuels in our networks.

“Ultimately though, the greenest fuel is the fuel that is not burned. We strive to offer our customers solutions that support their own sustainability journeys and whilst these new vessels are part of the answer, efficient routing, securing high levels of vessel utilisation and dedicated capacity management across all of our offerings have major roles to play as well.”

The investment in these new ships supports Unifeeder Group’s decarbonisation plan. Putting its targets well above that of the industry average, Unifeeder has committed to a 25% reduction of emissions by 2030, carbon neutrality by 2040 and net zero emissions by 2050. It aims to achieve this by emphasising fuel-efficient practices, regular maintenance and refitting processes of the existing fleet and fostering a culture of learning and collaboration, sharing best practices across markets to drive effective carbon reduction strategies.

Robert Frese, Managing Director at Elbdeich Reederei, said: “We believe in methanol-capable vessels as part of a suite of solutions being deployed to reduce carbon emissions in our sector and are happy to contribute with this project to a greener future in shipping. We really look forward to operating these modern state-of-the-art container feeder vessels in our partnership with Unifeeder and hope other market participants will follow this example.”

The newbuilding project is the latest step in a series of efforts that have been undertaken between Unifeeder and Elbdeich Reederei to reduce emissions within the jointly-operated Unifeeder fleet. This includes the first test of Synthetic Natural Gas as a fuel on a commercial vessel, the continuous use of biofuels and various vessel modifications made to reduce the fuel consumption of existing tonnage.

Photo credit: Unifeeder
Published: 5 October, 2023

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Bunker Fuel

Fratelli Cosulich acquires 62% controlling stake in FEMO Bunker

Firm announced the strengthening of its stake in FEMO Bunker shares, a company specialising in bunker trading for the yachting sector.

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Fratelli Cosulich acquires 62% controlling stake in FEMO Bunker

The Fratelli Cosulich Group on Monday (17 February) announced the strengthening of its stake in FEMO Bunker shares, a company specialising in bunker trading for the yachting sector. 

The operation brings the Group's controlling stake to 62% of the share capital.

FEMO Bunker, established in 2000 and led by its CEO and shareholder Ugo Pastorino, offers fuel supply services for yachts and ships.

With a turnover over EUR 70 million (USD 73.2 million) and a team of 9 professionals, Fratelli Cosulich said FEMO Bunker is positioned as a leading player in the market. 

“This operation fits perfectly into the Group's strategy of expanding and consolidating services in the Yachting sector,” said Tomaso Moreno, CEO of Yachting for the Group. 

“In a constantly evolving market like that of Yachting, it is essential to be able to count on reliable and competent partners like FEMO Bunker is.”

This corporate development will allow FEMO Bunker to benefit from increased synergies with the Group's other companies. To date, the company has successfully integrated its commercial offer with Pesto SEA Group and Catalano activities in the Mediterranean and global markets, thereby strengthening its offer and market positioning. 

"We strongly believe in the potential of FEMO Bunker and its key role in the energy transition of the maritime sector,” said Timothy Cosulich, CEO of Marine Energy for the Fratelli Cosulich Group. 

“With this operation, we confirm our commitment to investing in solutions for the future of the Group”.

In line with its dedication to innovation and sustainability, the company has expanded its activities in the supply of alternative fuels. Following the first HVO delivery, several others have taken place, with sales to yachts in multiple countries worldwide. In addition to Italy, FEMO Bunker has supplied HVO in Spain, France, and Florida in recent years. 

Furthermore, the company is actively engaged in the supply of another alternative fuel. With methanol delivery that already happened in La Spezia, FEMO Bunker is now developing procedures to extend methanol supply to other ports across Italy. In this area, the company is refining strategic collaborations with key players in the yachting industry.

 

Photo credit: FEMO Bunker
Published: 18 February, 2025

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Alternative Fuels

Singapore-based ONE names methanol and ammonia-ready container vessel

Firm announced the naming of “ONE Sparkle”, its first owned and operated newbuilding container vessel, which was built at Hyundai Heavy Industries in Ulsan, South Korea.

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Singapore-based ONE names methanol and ammonia-ready container vessel

Singapore-based Ocean Network Express (ONE) on Friday (24 February) announced a significant milestone in its corporate history with the naming of ONE Sparkle, the company's first owned and operated newbuilding container vessel.

Jeremy Nixon, CEO, said: "The naming of ONE Sparkle represents another important milestone for ONE. This vessel is our first owned newbuilding, and it also showcases our commitment to sustainable shipping with its innovative design and alternative fuel capabilities.”

“As we expand our owned fleet, these advanced vessels will play a crucial role in meeting our environmental targets while enhancing our service reliability.”

The ship showcases advanced environmental features including:

  • Methanol and ammonia-ready fuel capability, enabling future conversion to these alternative fuels;
  • Advanced hull design optimized for improved energy efficiency;
  • Latest generation energy-saving devices;
  • Smart technology integration for optimal vessel performance; and
  • Shore power connection capabilities for zero-emission port stays

Once delivered, the vessel will strengthen ONE's competitive position in the service it is deployed to, and showcase the company’s commitment to sustainable shipping practices.

ONE Sparkle was built at Hyundai Heavy Industries in Ulsan, South Korea, and she can carry about 13,800 twenty feet equivalent (TEU) containers. 

ONE Sparkle is classed ABS, flagged Singapore, and is managed by OneSea Solutions Pte. Ltd, a ship management company jointly owned by ONE and Seaspan Corporation. 

The vessel is part of a series of 20 large ammonia/ methanol ready vessels that will be built in Korea and Japan and scheduled for delivery in 2025 and 2026. 

 

Photo credit: Hyundai Heavy Industries
Published: 17 February, 2025

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Ammonia

ENGINE on The Week in Alt Fuels: Ammonia gains ground for 2030 entry

Recent developments in propulsion technologies and bunkering infrastructure suggest that ammonia could be included in the commercial bunker fuel mix before the decade is over.

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ENGINE on The Week in Alt Fuels: Ammonia gains ground for 2030 entry

Recent developments in propulsion technologies and bunkering infrastructure suggest that ammonia could be included in the commercial bunker fuel mix before the decade is over.

Japanese shipbuilder Mitsui Engineering & Shipbuilding (Mitsui E&S) has started prototype testing of German engine maker MAN Energy Solutions’ (MAN ES) two-stroke ammonia dual-fuel engine at its Tamano Factory in Japan. Theoretically, prototype testing bridges the gap between concept and real-world application and shows whether an engine is commercially viable before large-scale deployment.

MAN ES and Mitsui E&S have not yet specified a timeline for project completion, but successful prototype testing could suggest that commercial deployment may be expected soon.

Swiss engine-maker Winterthur Gas & Diesel (WinGD) also confirmed that it will launch its ammonia dual-fuel engine by June 2025, while Finland’s Wärtsilä already introduced its ammonia dual-fuel internal combustion engine (ICE) last year.

WinGD has already secured 30 orders for its ammonia-capable engines across bulk carriers, container ships, tankers and LPG/ammonia carriers. Interestingly, classification society DNV reports that 30 ammonia-capable newbuilds are currently on order for delivery towards 2027, but it remains unclear whether all of them will be equipped with WinGD’s engines.

While ammonia ICEs mark a significant step toward its potential adoption as a commercial marine fuel, they come with one caveat – the need for pilot fuel, typically diesel, to ignite ammonia due to its high auto-ignition temperature. Diesel pilot introduces a carbon footprint, which undermines green ammonia’s zero-emission potential.

To address this issue, South Korea’s Hanwha Ocean is developing an ammonia gas turbine that could eliminate the need for pilot fuel altogether. The company aims to debut an ammonia gas turbine-powered LNG carrier by 2028, potentially opening the door to 100% ammonia-based propulsion.

Bunkering infrastructure is also a critical factor in enabling ammonia’s commercial adoption.

South Korea has committed $410 million to establish LNG, methanol and ammonia storage facilities at its major ports by 2030. In addition, the country has allocated $270 million to construct four bunkering-only vessels, designed specifically for LNG and ammonia refueling.

Bunker supplier China Shipping & Sinopec successfully bunkered an ammonia-powered tugboat at the COSCO Shipping Heavy Industry dockyard in China, demonstrating that safe and efficient ammonia bunkering can be carried out with the right infrastructure and handling procedures.

“The successful bunkering has effectively tested the integrity and efficiency of the company’s bunkering equipment system, gathered valuable knowledge and experience for the deployment of ammonia fuel in large vessels,” COSCO Shipping said.

Meanwhile, Norwegian ammonia producer Yara Clean Ammonia has signed the world’s first time-charter agreement for an ammonia-capable medium gas carrier with Japanese firm NYK. The vessel is set for delivery this November.

Despite these advancements, ammonia's high toxicity presents significant safety challenges during bunkering operations and storage. Stringent safety protocols must be followed to mitigate the risk of exposure, especially given ammonia’s potential hazards to human health.

Ammonia bunkering and transfer pilots can help identify the key steps involved in safe fuel handling, Lynn Loo, chief executive of the Global Centre for Maritime Decarbonisation (GCMD), told ENGINE. Both operations require specialised equipment, robust containment measures, and strict handling procedures to minimise the risk of ammonia leaks during fuel transfers between vessels.

In other news this week, Swedish e-fuel company Liquid Wind plans to develop another 100,000 mt/year e-methanol production plant in Sweden. Liquid Wind has partnered with Swedish power utility company Övik Energi to set up renewable electricity input to power e-methanol and green hydrogen production.

South Korean shipping firm H-Line Shipping has placed an order with shipbuilding company HJ Shipbuilding & Construction (HJSC) for an LNG dual-fuel bunkering vessel. The 18,000-cbm capacity vessel will feature a dual-fuel propulsion system, allowing it to run on both LNG and conventional fuel oil. 

Danish pump manufacturer Svanehøj will supply deepwell CO2 cargo pumps for both the onshore storage facility and the first liquefied CO2 carrier in the UK-based energy company INEOS Energy-led Project Greensand. The deepwell CO2 cargo pumps for both the LCO2 carrier and the onshore facility at Port Esbjerg are set for delivery in the third quarter of 2025.

Related: South Korea’s HJSC scores LNG bunkering vessel order from H-Line Shipping

 

Photo credit: Yara
Source: ENGINE
Published: 17 February, 2025

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