Posted on May 29, 2024
AD Ports Group, Transmar, and Orascom Construction have signed a Memorandum of Understanding (MoU) for the development of a green methanol storage and export facility.
This facility will aim to supply low-carbon fuel for maritime transport, presenting an opportunity to establish clean alternative energy storage solutions globally, according to the Group.
Green methanol is a synthetic fuel produced renewably and without polluting emissions, and can be produced from green hydrogen. This chemical compound can be used as a low-carbon liquid fuel and is a promising alternative to fossil fuels in areas where decarbonisation is a major challenge.
The addition of a facility in this area will provide bunkering solutions for those mainliners who have ordered green methanol-powered vessels.
AD Ports anticipates that more than 100 methanol-fuelled ships will be in service from 2026, representing around a million tonnes of additional methanol demand, and according to Drewry and Clarksons, the methanol-fuelled vessel fleet will grow from 2 per cent to 14 per cent of the global fleet based on orders already placed.
Captain Ammar Mubarak Al Shaiba, CEO – Maritime & Shipping Cluster, AD Ports Group, said: “By signing this MoU with Orascom Construction who have vast international experience in bulk liquid terminals for Methanol storage, and Transmar, who have decades of expertise in this region and within terminal operations, AD Ports Group and its subsidiaries are taking a significant step towards the sustainable future of energy.
“This initiative not only aligns with the UAE’s decarbonisation goals but also accelerates the energy transition in shipping, positioning us at the forefront of the green hydrogen revolution and enabling us to contribute to global environmental stewardship and economic diversification.”
