China’s COSCO Shipping has signed a memorandum of understanding (MoU) with CP Group and Freepoint Commodities to explore opportunities for green methanol production.
The deal prepares the ground for improvements in green marine fuel production and utilization, the Shanghai-headquartered carrier said. The MoU also calls for the construction of a biomass-based green methanol production facility in Southeast Asia that meets “stringent EU standards.”
“The MoU signing stands as a testament to globalization in the pursuit of greener, low-carbon solutions,” COSCO Shipping said.
“It underscores the commitment of the three parties to deepen their strategic collaborations, contributing significantly to the decarbonization of the international shipping sector. Together, they aspire to set new industry benchmarks, driving forward the green and low-carbon evolution, and collaboratively fostering a future marked by high-quality, sustainable development.”
In late October, COSCO Shipping received approval for the design of a new-generation, ammonia dual-fueled carrier. The 50,000 cubic meter carrier, jointly developed by subsidaries COSCO Shipping Energy and COSCO Shipping Heavy Industry, has been primarily designed for ammonia cargo and liquified petroleum gas (LPG).
“This milestone signifies that COSCO Shipping Energy has successfully achieved ‘full coverage’ in ship type application and technical reserves across three mainstream alternative fuels – LNG, methanol, and ammonia – as well as carbon capture technology,” the company said in a statement.