Maersk signs bio-methanol deal with China’s LONGi Green Energy

A.P. Moller-Maersk signed a long-term bio-methanol agreement with China’s LONGi Green Energy Technology Co. Ltd to reduce greenhouse gas emissions from Maersk’s expanding fleet of dual-fuel methanol container vessels.

With the addition of LONGi volumes, Maersk is expanding its methanol supply for its dual-fuel methanol fleet, of which 7 vessels are already in operation, it said in a statement on Wednesday. The move brings Maersk closer to meeting over 50 per cent of its fleet’s methanol demand in 2027.

The agreement is part of Maersk’s strategy to diversify its alternative fuels portfolio, with other methanol projects also progressing well.

Maersk signed the agreement with LONGi to receive bio-methanol from a facility in Xu Chang, Central China. The bio-methanol is made from residues such as straw and fruit tree cuttings, meeting Maersk’s sustainability standards with at least 65 per cent lower greenhouse gas emissions compared to fossil fuels.

Attribution: A.P. Moller-Maersk report

Subediting: Y.Yasser