EPS to order ammonia carrier from Hyundai Heavy

Singapore-based shipping company Eastern Pacific Shipping (EPS) intends to order an ammonia dual-fuel gas carrier which will be built at the Korean shipyard Hyundai Heavy Industries.

Eastern Pacific Shipping, the Maritime and Port Authority of Singapore (MPA), Hyundai Heavy Industries (HHI), and the American Bureau of Shipping (ABS) signed a memorandum of understanding for this ocean-going ammonia dual-fuel gas tanker.

The vessel will be registered under the Singapore flag. ABS will class it, and it will be the first vessel with MAN Energy Solutions G60 two-stroke dual-fuel ammonia engine.

The use of ammonia as an alternative marine fuel shows great promise as it eliminates CO2 emissions, which make up the vast majority of overall GHG emissions. However, there is no engine commercially available in the market today that can use ammonia as a marine fuel.

Ammonia-ready vessels currently on order will be able to switch from other alternative marine fuels but will still require a major engine retrofit once ammonia engines become commercially accessible. 

This MoU demonstrates that a commitment from various partner organisations is needed to accelerate decarbonisation efforts.

EPS CEO Cyril Ducau said: “We believe that our industry will need to rely on multiple solutions to steadily lower and eventually eliminate emissions. That’s why it is critical for us to constantly invest and develop various alternative marine fuels in order to offer the right solution to the right segment at the right time. The use of ammonia as a marine fuel is the next logical step for EPS and the industry. I am pleased that EPS, MPA, HHI, and ABS have come together on what will certainly be a pivotal moment in our energy transition.”

MPA chief executive Quah Ley Hoon added: “EPS’ decision to register their new ammonia fuelled gas carriers under the Singapore flag signifies an important milestone in our journey towards green shipping.”

The MoU states the dual-fuel ammonia tanker could be either midsize gas carrier(s), large gas carrier(s), or very large gas carrier(s). It could be delivered as early as 2025.