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Maersk finds another partner for green methanol production



A.P. Moller Maersk has entered a green methanol Letter of Intent with US-based SunGas Renewables, Inc., a spin-out of GTI Energy, and a company providing technology and equipment systems for large-scale production of renewable fuels.


This is Maersks ninth such partnership aiming to drive the acceleration of global production capacity for green methanol.


SunGas joins eight other Maersk partners working to supply the green fuel needed for the 19 methanol-enabled container vessels the Danish shipping company currently has on order. The other partners are Carbon Sink, CIMC ENRIC, Debo, European Energy, Green Technology Bank, Orsted, Proman, and Wastefuel.


The latest Letter of Intent covers the production of green methanol from multiple facilities to be developed by SunGas in the United States from which Maersk intends to offtake full volumes of green methanol.


The first facility is expected to begin operations in 2026 and has an annual production capacity of approximately 390,000 tonnes.


Emma Mazhari, head of green sourcing and portfolio management at A.P. Moller Maersk, commented, "Securing green marine fuels at a global scale within this decade will require rapid scale up of green methanol production capacity using a variety of technology and feedstock pathways. We are very pleased to welcome SunGas Renewables as a strategic partner in our efforts to achieve our goal of net zero greenhouse gas emissions in 2040 across our entire business, and to ensure meaningful progress is made within this decade in line with the Paris Agreement."

The SunGas facilities will utilise its flagship System 1000 platform to convert sustainably sourced residues from the forestry and wood products industries into green methanol.


"Our partnership with Maersk marks an important milestone for SunGas as we continue our mission to make a global impact in the energy transition. We applaud Maersks leadership in catalysing decarbonisation of the entire marine shipping industry and look forward to working together to accelerate growth of production capacity for green methanol marine fuels," said Robert Rigdon, CEO of SunGas.


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