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Ammonia

Yara and Navigator Holdings invest in Norwegian ammonia bunkering start-up Azane

Investment made by Yara and Navigator is expected to enable Azane to begin construction of its first bunkering unit for ammonia supply in Norway aiming to kickstart zero-carbon marine fuels transition.

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Yara Growth Ventures AS, the venture investment arm of Yara International ASA, and Navigator Holdings Ltd. (Navigator) today announced that they have each successfully acquired a 14.5% interest in the Norwegian startup Azane Fuel Solutions AS (Azane).

They led an investment round of EUR 5.4 million (USD 5.7 million) in Azane to commence construction of the first of 15 bunkering units.

Azane, a joint venture between ECONNECT Energy AS and Amon Maritime AS , both of Norway, was founded in Norway in 2020 as a company that develops proprietary technology and services for ammonia fuel handling, to facilitate the transition to green fuels for shipping. 

Subject to customary conditions, Azane intends to build the world’s first ammonia bunkering network, with Yara Clean Ammonia already pre-ordering 15 units from Azane. The investment made by Yara and Navigator is expected to enable Azane to begin construction of its first bunkering unit for ammonia supply in Norway, aiming to kickstart the transition to zero-carbon fuels for maritime transportation. 

Future value creation for Azane is expected to come through international expansion with its bunkering solutions and broadening of its offerings in ammonia fuel handling technology. 

The parties anticipate that the commencement of operations of the bunkering units will begin in Scandinavia in 2025. The total addressable market for ammonia powered ships is estimated to equal to the entire deep sea shipping fleet of 100,000 vessels worldwide, which over time is expected to transition to zero-carbon fuels. Currently, the world of ocean shipping accounts for approximately 3% of global emissions. 

Azane is a commercial partner of Yara Clean Ammonia, who expects to provide clean ammonia to be stored in Azane’s bunkering units once operational.

Stian Nygaard, Investment Director, Yara Growth Ventures, said: “Currently ammonia fuel bunkering does not exist. With this investment it is expected to become a reality in a year, starting in Scandinavia. This is anticipated to be a huge milestone for reducing emissions from the shipping industry. By enabling Azane to be the first mover on providing this key part of the infrastructure, our goal is to fill a gap in the ammonia chain needed for fueling ships.”

Mads Peter Zacho, Chief Executive Officer, Navigator, said: “Green ammonia is crucial to the future success of carbon free shipping, and Azane is working to provide a solution to a clear and important gap in the ammonia fuel value chain. Global ammonia demand is expected to triple by 2050, with a significant part being for ship fuel.” 

“In an increasingly strong regulatory environment towards greener fuels in the shipping industry, I am very pleased Navigator is not only making efforts to become a more sustainable business itself, but also investing in scale-ups that we believe can support and expedite the transition across our industry. We look forward to strengthening our working relationships with Yara and Azane through this partnership.”

André Risholm, Chairman, Azane, said: “It will be a great strength for our company to partner with two of the leading ammonia players in the world, one from industry and another one from gas shipping, both entering as strategic investors and joining the board to help build the company. The fresh funds will help accelerate the company’s growth ambitions in Scandinavia and internationally. As a first mover, Azane’s bunkering solutions will enable ship owners across the world to make the transition to carbon free shipping by showcasing full scale commercial bunkering projects.”

Photo credit: Yara
Published: 26 October, 2023

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Alternative Fuels

MPA and MOL sign MoU to collaborate in alternative bunker fuels

Both will cooperate to establish a supply system for next-generation alternative bunker fuels such as methanol, ammonia, and hydrogen as well as wind technology, among others.

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MPA and MOL sign MoU to collaborate in alternative bunker fuels

Mitsui OSK Lines, Ltd. (MOL) on Tuesday (26 November) announced it signed a comprehensive memorandum of understanding (MoU) with the Maritime and Port Authority of Singapore (MPA) to deepen cooperation in the fields of decarbonisation, digitalisation, and human resources development including alternative bunker fuels. 

MOL and MPA have been cooperating in various initiatives to decarbonise the maritime industry, the new agreement will further promote these initiatives in a wide range of fields.

Specifically, the scope of the MoU covers the following: 

  • Collaboration in the field of decarbonisation in the maritime industry in general.

Mutual collaboration to establish a supply system for next-generation alternative bunker fuels such as methanol, ammonia, and hydrogen. The collaboration will also include study on the use of wind technology.

  • Digitalisation and maritime innovation.

Improving voyage management and efficiency of transport operations through digitalisation, including development of cybersecurity, collaboration on autonomous vessel trials, and nurturing marine innovation ecosystem that emphasises collaboration with local startups.

  • Joint development of maritime human resources.

Grow and enhance manpower capabilities, including grooming seafarers and shore-based workforce.

MOL will continue its group-wide concerted effort, in close cooperation with MPA and other major maritime sectors, to achieve sustainable GHG net-zero emissions and contribute to the realisation of a decarbonised society.

MPA Chief Executive Teo Eng Dih, said: “This MoU reaffirms MPA and MOL’s longstanding collaboration. As a maritime hub port, supported by our innovation and research ecosystem, MPA is working closely with industry and tripartite partners to support digitalisation, cybersecurity, decarbonisation and manpower capabilities. We look forward to MOL’s expansion of activities, tapping on both our experience and expertise, to develop scalable solutions for the SingaporeJapan Green and Digital Shipping Corridor and the wider maritime community.”

MOL President & CEO Takeshi Hashimoto, said: “We have been focusing on the fields of decarbonisation, digitalisation, and human resources development, which we have decided to deepen cooperation with MPA this time.

MPA is committed to working hard to create a sustainable maritime industry in Singapore, the hub of the maritime industry. We pay our respect to MPA for its enthusiasm and energy. The fields of bilateral cooperation are also a challenge for the maritime industry as a whole, and I hope we can increase the feasibility by working together as like-minded people.

We are confident that the establishment of this comprehensive cooperative relationship will contribute to the maritime industry in general.”

MOL’s recent cooperation with MPA includes joining a MPA-led Green & Digital Shipping Corridors (GDSC) and joining MPA’s initiative in the Maritime Energy Training Facility (METF) to promote training for seafarers involved in next-generation fuel such as ammonia, which reduces carbon emissions.

 

Photo credit: Mitsui OSK Lines
Published: 27 November, 2024 

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Ammonia

China: Headway and Yuchai Marine ink deal on ammonia fuel supply system

Headway’s AFSS system will be used on Yuchai Marine’s ammonia-fuelled low-speed engine test platform and will be delivered as a turnkey solution; firm will handle the entire lifecycle of the project.

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China: Headway and Yuchai Marine ink deal on ammonia fuel supply system

Qingdao-based maritime technology firm Headway Technology Group (Headway) and Yuchai Marine Power Co., Ltd (YCMP) on Thursday (21 November) signed an agreement to collaborate on Headway’s OceanGuard® Ammonia Fuel Supply System (AFSS) project in Zhuhai City, China. 

The AFSS system will be used on YCMP's ammonia-fuelled low-speed engine test platform and will be delivered as a turnkey solution. YCMP develops, designs, produces, and sells low-speed high power marine diesel engines for bulk carriers, container vessels, tankers, and engineering ships. 

YCMP  holds production licences for WIN GD and MAN ES two-stroke engines and is based in Zhuhai, Guangdong.  

Headway's Vice President Cao Xuelei and YCMP's Chief Engineer Feng Deliang signed the agreement on behalf of their respective organisations. YCMP's General Manager Deng Hui, Headway's New Energy Project Manager Zhao Rui, and other key departmental representatives from both sides attended the ceremony. 

Headway will provide a comprehensive system including ammonia storage tanks, supply modules, unloading compressors, pumps, escaped ammonia catching systems, gas detectors, and double-walled pipelines. 

“Supporting both WinGD and MAN engines, this project highlights Headway’s advanced modular design and EPC capabilities. Headway will handle the entire lifecycle of the project, from engineering design, infrastructure construction, equipment manufacturing, installation and commissioning, to deliver a turnkey service,” the firm said. 

The OceanGuard® Ammonia Fuel Supply System is Headway's latest independently developed alternative fuel system, following LNG, LPG, and methanol supply systems. It features modular design, dual redundancy, and customised configurations based on vessel types. 

The system is efficient, reliable, and safe, and supports one-touch operation and fault self-diagnosis. Its unique pressure stabilisation design ensures stability under varying engine loads. The OceanGuard® Ammonia Fuel Supply System has received Approval in Principle (AIP) certifications from CCS, DNV, and RINA classification societies. Additionally, it has successfully integrated multiple key components with WinGD ammonia-fueled engines for onboard applications. 

Simultaneously, Headway successfully delivered another large-capacity Methanol Fuel Supply System module for Dalian Marine Diesel after delivery the first in 2023 and the module is compatible with 65,000 kW methanol dual-fuel low-speed engines. 

Related: Headway unveils innovative carbon cycle value chain in SMM 2024
Related: China: Headway to provide methanol fuel supply systems to Fujian Guohang and Fratelli Cosulich
Related: Fratelli Cosulich orders its first methanol dual-fuelled bunker tanker to serve Singapore
Related: Headway methanol LFSS contributes to successful testing of China’s first methanol DF engine
Related: China: Headway and CEEC Group join forces in green hydrogen, methanol and ammonia integration project
Related: China: Headway gains CCS approval for intelligent energy efficiency management system
Related: Headway Technology Group hosts seminar on low carbon solutions in Singapore

 

Photo credit: Headway Technology Group
Published: 25 November, 2024 

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Methanol

Methanol Institute: Advancing methanol innovations across maritime and shipping sectors (Week 46, 11 to 17 Nov 2024)

Demand from shippers and shipowners is set to grow, with leading retailers inviting carriers to bid on contracts for low emission transport and container lines considering further orders for methanol-powered containerships.

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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:

At a time when the industry conversation around alternative fuels is focussing on supply of renewables and the need for long term agreements to cover their consumption, this week saw agreements for production, offtake, training and last mile delivery all make significant progress.

Demand from shippers and shipowners is also set to grow, with leading retailers inviting carriers to bid on contracts for low emission transport and leading container lines considering further orders for methanol-powered containerships.

Methanol marine fuel related developments for Week 46 of 2024:

Peninsula Expands Fleet with Advanced Tankers to Support Conventional and Alternative Fuel Supply

Date: November 12, 2024

Key Points:

Leading marine fuel supplier Peninsula, has announced plans to enhance its fleet by ordering up to 10 new 7,700 DWT IMO II chemical tankers through its subsidiary, Hercules Tanker Management (HTM). The initial order includes six vessels from Jiangmen Hangtong shipyard in China, with an option for four additional ships to be confirmed later this year. These 'ultra-spec' tankers, designed to supply up to 100% biofuel and various forms of methanol, feature diesel-electric and battery-ready power propulsion. Enhanced hull and propeller designs are expected to reduce emissions by approximately 20% compared to older vessels. 

Seafarer Training Overhaul Planned for Transition to Methanol and Other Green Fuels

Date: November 12, 2024

Key Points:

The Maritime Just Transition Task Force (MJTTF) and Lloyd's Register's Maritime Decarbonisation Hub and the UN Global Compact's Ocean Stewardship Coalition, have developed a comprehensive training framework to prepare seafarers for the use of green fuels like methanol, ammonia, and hydrogen. This initiative follows extensive workshops involving over 100 stakeholders to identify the unique requirements and opportunities these fuels present.

The framework focuses on equipping seafarers with advanced skills and knowledge to manage the innovative technologies and processes associated with green fuels, including updated fire detection systems, enhanced safety equipment protocols, and effective emergency response strategies.

A key tool, the Instructor Handbook, will be introduced by the World Maritime University in May 2025, supported by the IMO and LRF. This effort underscores the industry's proactive approach to ensuring seafarers are well-prepared for the transition to zero-emission fuels, fostering both safety and operational excellence.

Amazon and IKEA Drive Demand for E-Methanol Through Zero-Emission Shipping Initiative

Date: November 13, 2024

Key Points:

Amazon and IKEA, alongside 36 other major companies, have joined the Zero Emissions Maritime Buyers Alliance (ZEMBA) to promote the adoption of near-zero-emission fuels like e-methanol in ocean freight. In January, the alliance will invite shipping firms to bid on contracts for transporting cargo using vessels powered by e-fuels. These three- to five-year contracts are expected to begin in 2027.

The initiative is designed to create demand for renewable e-fuels, combining members’ purchasing power to drive innovation and reduce costs over time. The first contracts are projected to transport approximately 1.4 million TEU from Shanghai to Los Angeles, potentially abating 470,000 metric tons of greenhouse gas emissions.

Key shipping companies, including Maersk and Evergreen, have already ordered methanol-capable ships, signaling industry momentum. ZEMBA’s efforts align with anticipated global regulations, including phased GHG intensity reductions and a carbon pricing mechanism, which aim to incentivize zero-emission fuel adoption. This collective action underscores a critical step toward achieving net-zero emissions in ocean shipping by 2050.

Emvolon Secures Green Methanol Offtake Agreements with Oberon Fuels and SAFE Bulkers

Date: November 14, 2024

Key Points:

Emvolon, an MIT spin-off specialising in converting biogas into methanol, has signed two significant offtake agreements to supply green methanol. The first agreement is a five-year contract with Oberon Fuels, a company focused on renewable dimethyl ether (DME) and methanol production. The second agreement involves supplying green methanol to two vessels operated by SAFE Bulkers, a shipping firm integrating alternative fuels into its fleet.

These agreements follow Emvolon's recent field pilot with Montauk Renewables, highlighting the company's progress in commercialising its proprietary technology for sustainable methanol production.

Additionally, shipping company Dorian LPG has invested in Emvolon, further supporting its development efforts. Emvolon's technology addresses methane emissions from sources like landfills and farms by converting them into valuable green methanol, contributing to environmental sustainability and resource utilisation.

Evergreen Considers 11 Methanol-Fuelled Megamax Boxships to Expand Green Fleet

Date: November 14, 2024

Key Points:

Taiwanese shipping giant Evergreen Marine is evaluating an order for 11 methanol-capable Megamax container ships, each with a capacity of 24,000 TEU. The company has approached six shipbuilders to submit proposals for the vessels, which are estimated to cost between $250 million and $265 million each.

Delivery is projected between 2028 and 2029. This potential order would complement Evergreen's existing fleet of 23 conventionally fueled Megamax ships and its current orderbook of 24 methanol-powered vessels exceeding 16,000 TEU. 

Caterpillar Marine Achieves Milestone with DNV Approval for Methanol-Ready Dual-Fuel Engines

Date: November 15, 2024

Key Points:

Caterpillar Marine has received Approval in Principle (AiP) from DNV for its Cat® 3500E methanol-ready dual-fuel marine engines, marking a significant development in alternative marine fuel technologies. These engines, available in 12- and 16-cylinder configurations, support methanol as a primary fuel and can reduce greenhouse gas emissions across maritime segments, particularly high-load vessels like tugs. Caterpillar offers both methanol-ready new engines and retrofit kits for existing 3500E engines.

 

Photo credit: Methanol Institute
Published: 22 November, 2024

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