NVDA gained a massive 197% since our AI first added it in November - is it time to sell? 🤔Read more

Shipping rivals CMA CGM, Maersk to collaborate on green fuels

Published 19/09/2023, 09:54
© Reuters. FILE PHOTO-The world's first methanol-fueled container vessel Laura Maersk, owned by shipping company Maersk, is seen in Copenhagen, Denmark September 14, 2023. REUTERS/Jacob Gronholt-Pedersen/File Photo
MAERSKb
-
MAERSKa
-
NG
-
AMKBY
-

PARIS (Reuters) - Container shipping giants CMA CGM and Maersk said on Tuesday they will cooperate in efforts to reduce emissions in the sector, including by supporting the use of methanol and aiding research into potential fuels like ammonia.

The shipping industry is grappling with which fuels and vessel technology to adopt on a large scale to meet an objective of net zero emissions by around the middle of the century.

Danish group Maersk has focused on so-called green methanol and last week announced the creation a new company to produce fuel.

French-based CMA CGM has turned to gas-powered vessels while also ordering ships that can use methanol.

"While these two fuel streams appear now as the most mature among existing solutions, both companies expect the future fuel mix of shipping will include other streams that should be developed in the coming years," CMA CGM and Maersk said in a statement.

Their partnership would notably involve work to develop standards for operating green methanol vessels and accelerating the readiness of ports to refuel ships with methanol.

The firms would also explore research on other potential fuel solutions like ammonia, or new technology for vessels, they added.

© Reuters. FILE PHOTO-The world's first methanol-fueled container vessel Laura Maersk, owned by shipping company Maersk, is seen in Copenhagen, Denmark September 14, 2023. REUTERS/Jacob Gronholt-Pedersen/File Photo

Shipping firms say low-carbon fuels still lack the scale to sharply cut the footprint of an industry that contributes about 3% of global emissions.

CMA CGM led the adoption of gas-powered ships as an alternative to traditional fuel oil and is now trying to develop biogas supply to achieve greater emissions savings compared with conventional gas.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.