Posted on April 12, 2023
Eight industry leaders have signed a Memorandum of Understanding (MoU) to conduct a feasibility study on the potential of green ammonia as a fuel for ships on the US East Coast.
Partners include American Bureau of Shipping, A.P. Moller – Maersk (Maersk), Fleet Management Limited, Georgia Ports Authority, Maersk Mc-Kinney Moller Center for Zero Carbon Shipping, Savage Services, Sumitomo Corporation and TOTE Services.
The study will focus on the development of an end-to-end supply chain for ammonia bunkering, from the production of green ammonia to the design of an Ammonia Bunkering Articulated Tug-Barge (AB-ATB), as well as safety assessments and standardisation of safe operations and regulations.
The study will take place at the Port of Savannah, the third busiest containerised trade gateway in the US.
The companies involved believe that green ammonia is one of the most promising alternative marine fuels to reduce greenhouse gas (GHG) emissions within the shipping industry.
The International Maritime Organization (IMO) strategy aims to halve emissions by 2050, and is currently under revision in the hope of establishing a net zero emissions target by 2050.
Panos Koutsourakis, Vice President, Global Sustainability at American Bureau of Shipping, said: “Ammonia offers shipowners and operators a zero-carbon, tank-to-wake emissions profile. Yet, we also recognise that ammonia presents a specific set of safety and technology challenges”.
Maersk has committed to net zero emissions by 2040 and sees green ammonia as a fuel with potential in the long term for commercial shipping, noting that the short-term challenges of ammonia’s toxicity and the cost of bunkering need to be addressed.
The deal was signed with Mitsubishi Thailand, Chiyoda, and Electricity Generation Authority of Thailand (EGAT), Thailand’s state-owned power generation company.