6 minute read
News bulletin – tanker shipping
NEWS BULLETIN
TANKER SHIPPING
MOL CUTS EMISSIONS
Mitsui OSK Lines (MOL) has strengthened its focus on sustainable shipping operations across its sectors, recently announcing further use of LNG propulsion in bulkers and car carriers, and also reaching agreement with Methanex Corp to take a 40 per cent interest in its Waterfront Shipping (WFS) subsidiary for $145m. WFS operates some 30 modern tankers dedicated to the transport of methanol.
MOL and Methanex have had a strategic partnership for more than 30 years and were instrumental in developing tankers capable of running on methanol as fuel. Now, with the position of Methanex as the world’s largest producer of methanol, WFS as the largest specialist methanol shipper and MOL’s extensive shipping experience, the various parties aim to promote the uptake of methanol, including renewable methanol, as a viable marine fuel.
“We are pleased to expand our relationship with MOL, a world leading shipping company, which will enable Waterfront Shipping to enhance its capabilities by leveraging MOL’s extensive global shipping experience,” says John Floren, president/CEO of Methanex. “We have worked with MOL for over 30 years on methanol shipping since the era of Cape Horn Methanol, a predecessor to Methanex’s Chile operations, and we are confident that our new strategic relationship will help develop the market for methanol as a lower emission marine fuel.”
Takeshi Hashimoto, president of MOL, says: “MOL is pleased to partner and deepen our long-standing relationship with Methanex, the leader in the methanol industry. This transaction is consistent with MOL’s Environmental Vision 2.1, which regards our active involvement in methanol-fuelled ships as one of the measures for adopting clean alternative fuels.”
In addition, MOL unit Phoenix Tankers has ordered an 87,000-m3 VLGC from Namura Shipbuilding, with an option for a second vessel, with delivery slated for 2023. The new ships, designed by Namura and Mitsubishi Shipbuilding, will be used to carry both LPG and ammonia; they will be fitted with engines capable of running on LPG, with the potential to be converted to run on ammonia.
“Ammonia is drawing attention as a next-generation clean fuel that does not emit carbon dioxide when burned, and as a ‘hydrogen carrier’ that can be used to transport hydrogen,” states MOL. “The newly ordered vessels are also designed to transport ammonia and are presently the world’s largest-scale ammonia carriers. Furthermore, the vessels will be built with an eye toward conversion to ammonia fuelled in the future because LPG and ammonia fuels have similar characteristics.” www.mol.co.jp
CONCORDIA’S SHALLOW DRAFT
Concordia Damen has launched the first of 40 inland waterway barges being built by Casco in Serbia. The Parsifal-class tankers will be chartered to Shell and operated by VT Group carrying mineral oil between the ARA ports and on the Rhine network. The new barges (pictured left, en route) feature LNG propulsion and are designed for extremely shallow water operation.
“We are pleased to have reached this milestone in this important project. The Parsifal Tankers represent a new generation of eco-conscious vessels that will play a significant role in the maritime energy transition,” says Chris Kornet, CEO of Concordia Damen. “We are looking forward to continuing to develop this project in the coming months.” www.concordiadamen.com
STOLT SEES SIGNS OF UPTURN
Stolt Tankers has reported operating revenue of $547.8m for the first six months of its financial year, to end May 2021, down from $574.6m a year ago, though operating profit edged ahead from $24.7m to $25.5m. The decrease in freight revenue was due to lower volumes, partially due to severe winter weather disrupting operations in the port of Houston in February and March and to a weak spot market for the deepsea fleet.
“During the second quarter we saw an increase in activity across the board, although this is not fully reflected in the financial results,” says Niels G Stolt-Nielsen, CEO of parent Stolt-Nielsen Ltd. “At Stolt Tankers we saw an increase in overall volume following the delivery of the CTG ships. However, a reduction in contract volumes resulting from the Houston freeze in February and reduced acid nominations, required us to fill capacity with lower-paying spot business while bunker prices continued to rise, which resulted in a slightly lower time-charter equivalent.”
Looking ahead, Stolt-Nielsen notes: “I remain positive about the market outlook for Stolt Tankers, where we have seen a recovery in COA volumes.” www.stolt-nielsen.com
FCC GOES TO MARKET
Fairfield Chemical Carriers has ordered two 26,300-dwt stainless steel chemical tankers from Fukuoka Shipbuilding, with options for four more of the same type. The two firm orders are due for delivery in second half 2023. All will be equipped with dual-fuel LNG propulsion and a smart ship platform to optimise performance and safety.
“Our customers are increasingly conscious of the necessity to move quickly to reduce CO2 emissions across supply chains and we have been receiving encouragement to bring these next generation ships to market as soon as practical,” says Jacob de Vries, COO. “Of course, a greater investment in the ships is required as we add new propulsion technology, additional tanks, and other operational/design improvements. LNG pricing and bunkering infrastructure on our trade lanes, increased trading flexibility from the new tank layout, cost saving benefits from the new design, and strong demand from our customers will allow FCC to trade the vessels competitively despite the additional initial cost.” fairfieldchemical.com
EXMAR GOES FOR GREEN
Exmar and Nutrien have signed an agreement to jointly develop and build a low-carbon ammonia-fuelled vessel. Nutrien, one of the world’s largest producers of low-carbon ammonia, has been a customer of Exmar’s shipping services for more than 30 years.
The agreement aims to significantly reduce Nutrien’s greenhouse gas emissions from maritime transport and open up a clear path for wide adoption of low-carbon ammonia as a clean fuel for the maritime industry. The partners aim to deploy an ammonia-fuelled vessel by 2025, with low-carbon ammonia sourced from Nutrien’s plant in Geismar, Louisiana.
“Nutrien is excited to partner with Exmar on our shared journey to drive transformative reductions in maritime emissions,” says Raef Sully, Nutrien’s executive vice-president and CEO of Nitrogen and Phosphate. “This initiative demonstrates how we are taking action to achieve our Feeding the Future Plan’s 2030 sustainability commitments, which include investing in low-carbon ammonia innovations.”
“Exmar has always strived to contribute to innovations and increase efficiencies in gas logistics and transportation. The development of an ammonia-fuelled vessel together with our long-standing partner Nutrien is an exciting and logical next step for us,” adds Jens Ismar, Exmar’s executive director of shipping.
Exmar has meanwhile taken delivery of the 88,000-m3 VLGC Flanders Innovation from Jiangnan Shipyard. The new ship is the largest dual-fuel LPG carrier in the world and will offer a significant reduction in CO2 emissions to well below IMO reference lines for VLGCs. The design of the new ship also contains features to increase energy efficiency and minimise environmental impact.
Flanders Innovation now goes onto a five-year charter to Equinor. A sistership is due for delivery later in the summer. exmar.be
