Equinor to supply green methanol to Maersk's methanol-powered vessel

Danish shipping giant A.P. Moller-Maersk has inked a green methanol supply contract with Norway-based energy company Equinor for its methanol-fueled feeder vessel.

PHOTO: Maersk's 2,100 TEU dual-fuelled methanol feeder vessel. A.P. Moller-Maersk

Equinor will supply green methanol to the feeder vessel starting from its initial stage of operation later this month into the first half of next year.

The vessel will be supplied "on a loop from Northern Europe into the Baltic Sea after the name giving ceremony later this month in Copenhagen," Maersk said in a statement.

“Equinor is an established player in the European methanol market through its production plant at Tjeldbergodden and we have ambitions to be a key provider of green methanol in the marine fuel segment,” Equinor’s senior vice president for the liquid commodity segment Alex Grant said.

The company will supply biomethanol produced on a mass-balance basis. Under the process, biogas produced from animal waste and manure will be refurbished into biomethane and injected into the "existing gas grid" to produce methanol from biomethane. “The existing European biogas certificate system is used to trace the attributes of the biomethane to the biomethanol and safeguard against double-claims,” Maersk said.

“This way, green methanol can be produced in existing facilities using existing infrastructure and plants enabling a quick route to market,” Maersk added.

Maersk defines green fuels as fuels with 65-95% GHG emission reductions over their life cycle compared to fossil fuels.

Meanwhile, in the long term, Maersk’s vessel will be fueled with e-methanol from an upcoming production plant in Southern Denmark, operated by Danish renewable energy firm European Energy.

Maersk has also renewed its existing agreement with e-commerce corporation Amazon to transport its goods on vessels running on green methanol and biofuels. Under the deal, Amazon will have the option to ship its goods on Maersk's methanol-powered feeder vessel and its upcoming methanol ships, the company added.

“With more than 100 methanol-enabled vessels on order across the industry, the demand for green fuel production is rising and will continue to do so in the years to come,” said Rabab Boulos, chief infrastructure officer of Maersk.

By Aparupa Mazumder 

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