Höegh Autoliners secures funding for 4 new ammonia-fueled ships

Norway-based shipping company Höegh Autoliners has been granted NOK 109.4 million (about $10.4 million) from government enterprise Enova for four of the company’s ammonia-powered Aurora pure car and truck carriers (PCTCs).

As informed, the funding will ensure that the four Aurora-class newbuilds can run fully on ammonia when they are delivered in 2027.

Combined with the NOK 146 million granted by Enova for two Aurora-class vessels earlier in March this year, the company will receive a total of NOK 255.4 million in Enova funding.

The funding is part of the largest-ever Enova funding round supporting the green maritime transition. The purpose of the funding is to establish the first functioning value chains for ammonia and hydrogen for maritime purposes.

“At Höegh Autoliners, we take leadership by actively collaborating with a wide range of highly qualified and dedicated suppliers to make clean ammonia viable as a zero-emission shipping fuel. We believe it is important for shipping companies to send a clear signal to the rest of the value chain that the technology can be realized in a short time and that there will be demand for carbon-neutral fuel,” Andreas Enger, Chief Executive Officer of Höegh Autoliners, commented.

“Almost all Höegh Autoliners vessels sail under the Norwegian flag and have significant Norwegian content from the Norwegian cluster. The support from Enova, together with our innovative multi-fuel vessel design, significantly helps de-risking the choice of bringing the first zero-carbon vessels to our industry.”

“With this support, Norway as a maritime nation, is sending a strong sustainability message. This is important for the whole Norwegian maritime cluster and for our continuous efforts to lead the way to more sustainable deep-sea transportation and a greener maritime sector. It is visionary and a key component in the green maritime transition becoming a reality,” Sebjørn Dahl, Chief Operations Officer of Höegh Autoliners, said.

“We aim at a net zero emissions future by 2040 and our Aurora Class vessels, the largest and most environmentally friendly PCTC vessels ever built, will be the first zero-carbon vessels in our industry able to run on ammonia by 2027. To get to net zero, we must make clean ammonia, perfect for long-distance transportation with our two-stroke engines, viable as the future shipping fuel, and send a clear signal to the rest of the value chain that the technology can be developed and implemented in a short time. Public-private collaboration is crucial for advancing the maritime green transition, particularly in implementing mechanisms to lower the cost of sustainable fuels until they reach parity with fossil fuels in the years to come”.

With a capacity of up to 9,100 cars, the Aurora-class vessels will be ‘the world’s largest’ car carriers ever built, according to the company. The units are being built at China Merchants Heavy Industry (CMHI) in Jiangsu.

Earlier this week, the first of twelve multi-fuel Aurora-class vessels ordered by Höegh Autoliners left the shipyard for its first sea trial. In the coming days, the newbuilding will be sailing in the ocean east of Shanghai.