Latest news with #MEPC83
Sustainability Times
03-07-2025
- Business
- Sustainability Times
'Zero Carbon Ships Are Coming': Wärtsilä Unveils Bold Masterplan to Eliminate Emissions From Global Maritime Industry
IN A NUTSHELL 🌊 Wärtsilä unveils a comprehensive strategy to decarbonize the heavy marine industry by 2050, leveraging cutting-edge technology and regulatory efforts. unveils a comprehensive strategy to decarbonize the heavy marine industry by 2050, leveraging cutting-edge technology and regulatory efforts. 🔋 The company emphasizes the importance of multi-fuel engines and methanol as transitional fuels, paving the way for cleaner energy options. and as transitional fuels, paving the way for cleaner energy options. 📉 Digital schedule optimization could dramatically reduce emissions by syncing shipping and port operations, leading to significant fuel savings. could dramatically reduce emissions by syncing shipping and port operations, leading to significant fuel savings. 🌱 Onboard carbon capture technology offers a practical retrofit solution, capturing up to 70% of emissions and providing a path toward sustainability. The marine industry faces a monumental challenge as it navigates the path to zero carbon by 2050. Wärtsilä, a leader in the field, is taking bold steps to address this issue. Known for its powerful engines, the Finnish company is now channeling its expertise towards reducing emissions in the heavy marine sector. With a strategy centered on decarbonization, Wärtsilä's CEO, Håkan Agnevall, has outlined an ambitious plan that combines new technologies, innovative fuels, and regulatory measures to clean up one of the world's most polluting industries. This initiative is crucial, as the scale of marine emissions is vast, with large cargo ships burning enormous quantities of bunker fuel daily. MEPC 83: A Milestone in Global Marine Emissions Regulation The International Maritime Organization (IMO) is spearheading efforts to tackle shipping emissions on a global scale, introducing a groundbreaking carbon and emissions tax through the proposed MEPC 83 legislation. This initiative, set for formal adoption, represents one of the first global carbon fees, designed to accelerate the marine industry's decarbonization journey. With 108 parties already signed up, representing 97% of the world's merchant shipping fleet by tonnage, this legislation could significantly reduce emissions by imposing financial penalties on high emitters while rewarding low-carbon operators. The anticipated results of this initiative could create a new financial landscape, incentivizing innovation and investment in greener technologies. This approach aligns with Wärtsilä's vision of a multi-faceted strategy to combat marine pollution. By implementing a combination of carbon taxes and incentives, the industry aims to foster a competitive environment that encourages the adoption of sustainable practices. As the world watches, the success of MEPC 83 could serve as a template for other industries grappling with similar environmental challenges. The European CBAM : an attempt to regulate carbon imports Digital Schedule Optimization: A Simple Yet Effective Solution One of the most intriguing solutions proposed by Wärtsilä is digital schedule optimization. This innovative approach could lead to a reduction in fuel consumption and greenhouse emissions by up to 30% overnight, simply by improving coordination between shipping and port operations. The concept is straightforward: by synchronizing schedules, ships can reduce speed without disrupting delivery timelines, thus conserving fuel and cutting emissions. The Blue Visby Consortium is actively working on a global scheduling and operations system to achieve this synchronization. Early tests have shown promising results, suggesting that this method could significantly enhance efficiency and reduce waste. By sharing the benefits and costs of these optimizations, all stakeholders—shipowners, port authorities, and crews—stand to gain. This initiative highlights the importance of collaboration across the industry to achieve meaningful environmental progress. 'Wall of Death for Birds': Saudi Arabia's 105-Mile Mirror Megastructure Will Obliterate Wildlife Along Vital Migration Routes Onboard Carbon Capture: Retrofitting for a Greener Future Wärtsilä is at the forefront of onboard carbon capture technology, offering a practical retrofit solution for existing vessels. By capturing up to 70% of carbon emissions directly from ship exhausts, Wärtsilä's system provides an immediate means to reduce the environmental impact of marine operations. This technology extends from the company's existing scrubber business, leveraging expertise in emissions control to create a viable pathway toward sustainability. Despite the energy penalty associated with carbon capture, the potential to sell captured CO2 for industrial uses offers a financial incentive for adoption. However, the broader ecosystem for handling and utilizing captured carbon is still developing. As the industry moves towards widespread implementation, Wärtsilä's technology could play a crucial role in bridging the gap between current emissions levels and future carbon-neutral goals. 'Built From Trash, Born to Roam': New 3D-Printed Off-Road Robot Conquers Rough Terrain Using Only Recycled Materials Advancements in Marine Fuels: From Multi-Fuel Engines to Methanol The transition to multi-fuel engines is a key component of Wärtsilä's strategy. These engines are designed to operate on a range of fuels, from natural gas to future zero-carbon options, providing flexibility as the industry evolves. Natural gas, with its higher energy density and lower carbon emissions compared to heavy fuel oil, is a promising short-term solution. However, prices can fluctuate, necessitating adaptive strategies. Methanol, a potential carbon-neutral fuel, is gaining traction as a sustainable alternative. When produced renewably, it can significantly reduce emissions, making it an attractive option for the shipping industry. Wärtsilä and other companies are developing methanol-ready engines, paving the way for broader adoption as greener methanol production methods become more prevalent. This adaptability is essential as the sector navigates the complex transition to cleaner energy sources. The journey to a zero carbon marine industry is fraught with challenges, yet Wärtsilä's comprehensive approach offers a roadmap for success. By combining regulatory measures, technological innovations, and collaborative efforts, the industry can move towards a more sustainable future. However, the path is long and requires significant investment and cooperation. As we look to the future, the question remains: how can stakeholders across the marine ecosystem work together to accelerate this vital transformation? Our author used artificial intelligence to enhance this article. 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Yahoo
22-05-2025
- Business
- Yahoo
CMB.Tech NV (CMBT) Q1 2025 Earnings Call Highlights: Strategic Moves and Market Challenges
Release Date: May 21, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. NV (NYSE:CMBT) reported a Q1 2025 profit of $40 million, excluding capital gains. The company has a strong contract backlog nearing $3 billion, with $1 billion added in Q1. NV (NYSE:CMBT) is pursuing a merger with Golden Ocean, which would expand their fleet to 250 vessels. The company is focusing on decarbonization, with a significant portion of their fleet to be powered by ammonia or hydrogen. NV (NYSE:CMBT) has secured long-term contracts for ammonia-powered vessels, indicating strong future demand. Without capital gains, NV (NYSE:CMBT) would have reported a net income loss of $6 million for Q1 2025. The company decided not to declare a dividend for Q1 2025, which may disappoint investors. The dry bulk market experienced a weaker first quarter, with earnings below P&L break-even. There is uncertainty regarding the impact of new regulations (MEPC 83) on fuel costs and compliance. NV (NYSE:CMBT) faces challenges in the container market due to high order books and geopolitical issues. Warning! GuruFocus has detected 11 Warning Signs with CMBT. Q: Can you discuss your ammonia solution and the potential for dual fuel ships in light of the IMO 2028 regulations? A: (CEO) We are very positive about the IMO's decision, which pushes for dual fuel engines. Ammonia is the preferred choice for new ships and existing ones by 2032 if the alternative is diesel, and by 2038 if it's LNG. We are seeing competitive prices for green ammonia, which could advance these timelines. We are engaging with customers for ammonia-ready vessels and retrofitting existing ships to comply with IMO 2028. Q: Does the pro forma free cash flow include debt repayments? A: (CFO) Yes, it includes debt repayments but excludes capital commitments to the yards. We have a significant order book, and approximately $250 million per year needs to be funded from operational cash flow or vessel sales. Even in a bearish scenario, we expect to generate $250 million in excess cash flow, matching our unfunded CapEx. Q: Can you provide an update on your hydrogen and ammonia project in Namibia? A: (CEO) We are completing a hydrogen production station and plan to start production soon. We are also working on a small-scale ammonia plant and an ammonia terminal in Walvis Bay. These projects are progressing, with detailed engineering underway. The merger with Golden Ocean will enhance our balance sheet and support these projects. Q: What are your plans to improve revenue in the dry bulk sector? A: (CEO) Revenue in dry bulk is market-dependent, but we focus on building efficient ships to outperform older vessels. We believe in the medium to long-term outlook for dry bulk and are expanding our fleet through the Golden Ocean merger. This will provide more flexibility to optimize vessel positioning and capture market opportunities. Q: Are you comfortable with the fleet positioning post-merger, and is there an appetite for further industry consolidation? A: (CEO) We are comfortable with our spot exposure in dry bulk, as we believe in positive supply-demand dynamics. We balance spot exposure with time charter cover and are open to further consolidation if it aligns with our strategic goals. Our diversified asset base allows us to manage risk and capitalize on market opportunities. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Sign in to access your portfolio
Yahoo
02-05-2025
- Business
- Yahoo
S&P Global Commodity Insights Launches Low-carbon Methanol Marine Fuel Price Assessments for Shanghai and Rotterdam
Price Points Guide Trading and Investment Decisions for Shipping and Decarbonization Industries SINGAPORE and LONDON and NEW YORK, May 2, 2025 /PRNewswire/ -- Platts, part of S&P Global Commodity Insights, the leading independent provider of information, data, analysis, benchmark prices and workflow solutions for commodities and energy transition markets, today announced the launch of Shanghai low-carbon methanol marine fuel (MMF) assessments, the first in Asia, effective May 2. Platts has also launched Rotterdam low-carbon methanol marine fuel assessment on May 2, adding to the depth and coverage of Platts alternative marine fuels markets. The two new Shanghai low-carbon MMF assessments come six months after Platts debuted the first-ever in Asia, Singapore low-carbon methanol marine fuel price assessments. Esther Ng, Platts Global Methanol Pricing Lead, S&P Global Commodity Insights said, "We are pleased to announce the launch of Platts first-ever low-carbon methanol marine fuel assessments for China. Shanghai is the world's busiest container port, and sustainable methanol has already been supplied and bunkered in the port. These assessments aim to provide price transparency for shipowners as the maritime industry marches towards net zero in 2050. Similarly, the publication of Rotterdam low-carbon MMF assessments by Platts will offer the shipping and decarbonization industries valuable price points to guide their trading and investment decisions." Olivier Maronneaud, Global Research Lead for Methanol and Plastic Circularity, S&P Global Commodity Insights said, "Legislation supporting low carbon bunker fuel has been implemented in Europe and has achieved substantial progress at the global level with the latest IMO MEPC 83 meeting in April. Combined with initiatives from stakeholders including governments, port authorities and ship owners, liquidity for low carbon methanol as bunker fuel is anticipated to increase in the coming months and years." The International Maritime Organization's Marine Environment Protection Committee in April voted to charge shipowners penalties for maritime greenhouse gas emissions starting from 2028. Just like FuelEU Maritime regulations, IMO's proposed measures are wide-reaching as they will impact the cost of transporting fuel, chemicals, and consumer goods. ShanghaiChina is estimated to have 200,000 mt/year of biomethanol and eMethanol capacity in 2025 and will have 1.5 million mt/year by 2028, according to data from S&P Global Commodity Insights Analytics. The first Chinese molecules for spot trading are expected to be available in mid-2025, with the Shanghai port shaping up as a leading Chinese low-carbon methanol trading hub. The Platts Shanghai low-carbon MMF assessments will aid shipowners, low-carbon methanol producers, bunker traders and investors with price transparency in an important and emerging production center of low-carbon methanol. RotterdamThe Port of Rotterdam is Europe's largest port and bunker hub. In 2022, it set up the Green and Digital Shipping Corridor with Singapore to reduce emissions from large container vessels on the 15,000-kilometer route by at least 20% by 2030, by enabling the use of low- and zero-carbon shipping fuels. From January 2025 to 2029, under the FuelEU Maritime regulation, the shipping industry will need to deliver a 2% GHG intensity saving against the FuelEU Maritime fossil fuel comparator, with targets stepping up every five years to 80% GHG savings in 2050. Platts' publication of Rotterdam low-carbon MMF assessments will provide the maritime and low-carbon methanol industry useful price points for trading, procurement and investment decisions. The assessments are as follows: Platts Low-carbon methanol FOB Shanghai Platts Low-carbon methanol marine fuel Delivered Shanghai Platts Low-carbon methanol marine fuel Delivered Rotterdam ($/mt) Platts Low-carbon methanol marine fuel Delivered Rotterdam (Euro/mt) The assessments reflect market prices of the product with sustainability documentation stating a carbon intensity or an equivalent greenhouse gas saving when compared with the fossil fuel comparator, as per the prevailing Renewable Energy Directive. The subscriber note can be accessed here while a full description of the Platts assessment methodology can be found here. Platts at S&P Global Commodity Insights has been covering the chemicals market for more than 40 years and has an extended suite of aromatics, olefins, polymers, solvents and intermediates price assessments regionally and globally. Platts provides an in-depth coverage and analysis of alternative marine fuels, including LNG, ammonia and bio-bunkers. Media Contacts: Americas/ EMEA: Kathleen Tanzy + 1 917-331-4607, Asia/ EMEA: Melissa Tan + 65-6597-6241, About S&P Global Commodity Insights At S&P Global Commodity Insights, our complete view of global energy and commodity markets enables our customers to make decisions with conviction and create long-term, sustainable value. We're a trusted connector that brings together thought leaders, market participants, governments, and regulators and we create solutions that lead to progress. Vital to navigating commodity markets, our coverage includes oil and gas, power, chemicals, metals, agriculture, shipping and energy transition. Platts® products and services, including leading benchmark price assessments in the physical commodity markets, are offered through S&P Global Commodity Insights. S&P Global Commodity Insights maintains clear structural and operational separation between its price assessment activities and the other activities carried out by S&P Global Commodity Insights and the other business divisions of S&P Global. S&P Global Commodity Insights is a division of S&P Global (NYSE: SPGI). S&P Global is the world's foremost provider of credit ratings, benchmarks, analytics and workflow solutions in the global capital, commodity and automotive markets. With every one of our offerings, we help many of the world's leading organizations navigate the economic landscape so they can plan for tomorrow, today. For more information visit View original content to download multimedia: SOURCE S&P Global Commodity Insights Sign in to access your portfolio
