Maersk’s green methanol deal boosts low-emission shipping
A.P. Moller - Maersk, a global logistics leader, has entered into a groundbreaking offtake agreement with Chinese clean energy giant Goldwind. This deal, reaching into the next decade, represents the first large-scale green methanol offtake agreement in the global shipping industry.
Rabab Raafat Boulos, chief infrastructure officer at A.P. Moller - Maersk, emphasised the significance of this agreement, stating, "This milestone enables us to substantially reduce our emissions footprint this decade, aligning with the 1.5-degree Celsius trajectory of the Paris Agreement. It ensures the continued provision of low-carbon shipping services to our customers."
Aiming for net-zero greenhouse gas emissions by 2040, Maersk views this deal as a crucial step in de-risking the initial stages of its net-zero journey. The agreement supports the development of a competitive green methanol market by 2030. The substantial annual volumes of 500KT of green methanol can propel more than half of the methanol-enabled capacity Maersk currently has on order.
Wu Gang, chairman of Goldwind, expressed enthusiasm for the partnership. "We respect Maersk's pioneering role in maritime green fuel and are excited to promote the green transition together. This project will further our exploration of new technologies and the integration of green electricity and green fuel production."
The agreement covers a mix of green bio-methanol and e-methanol, produced using wind energy at a new facility in Hinggan League, Northeast China. Production is slated to begin in 2026, with Goldwind expecting to finalise the investment decision for the facility by year-end.
Boulos added, "This agreement is a testament to the momentum and efforts among developers driving projects across geographies. However, there's still a long way to go in establishing a global green fuels market for decarbonising global shipping."
Maersk will take delivery of its first large ocean-going methanol-enabled vessel in early 2024 and is actively sourcing solutions with various global partners for the entire vessel series scheduled for delivery in 2024-25.
A.P. Moller - Maersk, an integrated logistics company, operates in more than 130 countries and employs more than 100,000 people. The company's commitment to reaching net-zero emissions by 2040 encompasses new technologies, vessels, and green fuels.