Maersk secures long term bio-methanol sourcing deal

A.P. Moller-Maersk (Maersk) has signed a long-term bio-methanol offtake deal with LONGi Green Energy Technology Co., Ltd.

The deal aims to reduce GHG emissions from Maersk’s increasing fleet of dual-fuel methanol container vessels.

With the addition of the LONGi volumes, Maersk is making headway in procuring enough methanol for its own dual-fuel methanol fleet, seven ships which are now operational.

Maersk’s combined methanol offtake agreements now cover more than half of the dual-fuel methanol fleet demand in 2027.

The agreement stems from the company’s increasing global alternative fuels portfolio, which includes several additional methanol projects that are nearing completion.

Rabab Raafat Boulos, Chief Operating Officer at Maersk, said: “We continue to strongly urge the International Maritime Organization’s member states to level the playing field by adopting a global green fuel standard and an ambitious pricing mechanism which the industry urgently needs.”

The Danish shipping giant recently reported preliminary Q3 2024 revenue of $15.8 billion, with an underlying EBITDA of $4.8 billion and EBIT of $3.3 billion.