Japanese conglomerate Marubeni Corporation has concluded a new strategic partnership agreement with Sinopec Fuel Oil Sales, a subsidiary of China Petroleum & Chemical Corporation (Sinopec), under which the parties will further develop their collaboration, both in conventional marine fuels and by exploring the potential to manage new fuels such as biofuel, LNG, and methanol.
As disclosed, Marubeni began collaborating with Sinopec Fuel Oil in the marine fuel business in 2010, and in 2019, the companies signed a memorandum of understanding (MoU) regarding further cooperation in this field.
Reportedly, Marubeni has been the exclusive distributor of Sinopec Fuel Oil’s marine fuels to Japanese shipowners’ vessels calling at major ports in China, and, together, the companies have expanded their cooperation by jointly developing new supply locations.
It is understood that Marubeni and Sinopec are now seeking to build a new fuel supply chain by leveraging the strengths of both companies. The parties aim to explore the global market, including Asia, in anticipation of growing demand for new fuels.
To note, the maritime industry is said to be undergoing significant changes accompanying the global tightening of environmental regulations and the trend toward decarbonization. In 2024, the International Maritime Organization (IMO) announced a target of “net-zero GHG emissions by around 2050,” with demand for new fuels such as biofuels, LNG, and methanol anticipated to grow in the coming years because of this development.
In other recent news, Marubeni entered a green ammonia offtake agreement with Chinese corporation Envision Energy to fast-track the global transition to low-carbon energy solutions. Furthermore, the conglomerate decided to invest in Gearbulk Holding AG, an open hatch shipping operator based in Switzerland.
As for Sinopec, it is worth mentioning that the company-backed China Shipping & Sinopec Suppliers completed China’s “first-ever” ammonia bunkering operation. The company also inked a heads of agreement (HoA) with France’s energy giant TotalEnergies for a multi-year sale of LNG.