Japan’s Mitsui O.S.K. Lines, (MOL) has signed two Heads of Agreements with JERA Co. (JERA) for a time charter securing two very large gas carriers (VLGCs) created for ammonia shipping.
The vessels will carry low-carbon ammonia from JERA’s Blue Point Complex in Louisiana, U.S., to the Hekinan Thermal Power Station in Aichi Prefecture, highlighting the beginning of Japan’s first large-scale low-carbon ammonia delivery initiative.
Since November 2022, MOL has been in active talks with JERA on fuel ammonia transport. This current agreement construct on those discussions, targeting to “establish a industrial-scale low-carbon ammonia value chain.”
Ammonia, broadly used as a raw material for fertilizers and chemicals, is also identified as a next-generation clean energy source that releases no carbon dioxide while burned. It can serve as fuel for power plants and ships and act as a hydrogen carrier, with requirement anticipated to grow substantially in the coming years.
The MOL Group has put environmental strategy at the heart heart of its management plan, BLUE ACTION 2035, putting a aim to gain net-zero greenhouse fuel emissions by 2050 under its “MOL Group Environmental Vision 2.2.” The corporation says it looks to “contribute to the realization of a decarbonized society via constructing a comprehensive ammonia value chain,” leveraging anticipated large-scale requirement while improving its expertise in safe and dependable ammonia transport.
“Leveraging experience and expertise as one of the world’s largest shipping corporations, MOL will enlarge its varied social infrastructure businesses, technologies, and services targeted on marine transport.
“As a group, it’s going to reply to the wide-ranging requires of its customers and strengthen as a global social infrastructure corporation—supporting people’s each day lives from the blue oceans, making sure a booming future, and provide new price to all stakeholders.”
