Maersk CEO: 19 out of 25 green methanol-fuelled containerships already in production

Maersk, a pioneering force in the shipping industry, is well on its way to completing its ambitious newbuilding program comprising 25 ships powered by green methanol.

Speaking at today’s historic naming ceremony for its first methanol-powered ship, Vincent Clerc, CEO of A.P. Moller Maersk, revealed that the construction of the lion’s share of these ships has already been kick-started.

“Neither we nor the climate can afford complacency or waiting for other solutions to emerge in the late 2020s. In the past two years, we have locked orders for 25 ships able to operate on green methanol. Nineteen of those are already in production and they will be in the sea by 2025,” Clerc said.

In 2021, Maersk ordered the world’s first methanol-enabled container vessel following a commitment to the principle of only ordering newbuilt vessels that can sail on green fuels.

This ship was named today after completing its maiden voyage from South Korea to Copenhagen running on green methanol.

When running on methanol at sea, the feeder saves up to 100 tons of CO2 on a daily basis when compared to running the vessel on conventional fuel, and when you look at the greenhouse gas impact the fuel that we are currently using provides a reduction of about 65% compared to conventional fuels, according to Maersk.

The potential is to go up to 95% depending on how the methanol is produced.

“Transition in the propulsion of a vessel is very rare. We have seen three major changes in the past 140 years of existence of our company and Maersk has taken part in all three. They were all revolutionary and they all took time,” Clerc said.

“Now, as we embark on the next transition, this time as a first mover, we like to see it as a testament to how when we unite to determine efforts and partnerships a tangible and optimistic path forward to a sustainable future will emerge. This day is a long-awaited culmination of the efforts of many individuals and years of united work. Yet, we are acutely aware that this is just the beginning as even greater challenges lie ahead. But as is the case with all significant advancements, it starts with one.”

Just two years after the first order for a methanol-powered containership, the global orderbook stands at more than 100 methanol-enabled vessels.

The feeder will be followed by 18 large ocean-going vessels of 16,000-17,200 TEU capacity which are scheduled for delivery in 2024 and 2025. South Korea’s Hyundai Heavy Industries is building the ultra-large containerships.

Maersk revealed its latest order in June 2023 announcing a contract for the construction of six mid-sized container vessels at Yangzijiang Shipbuilding Group in China.

The 9,000 TEU vessels will all have dual-fuel engines able to operate on green methanol and fuel oil, and they are slated for delivery in 2026 and 2027. This brings the company’s ordering tally to a total of 25 methanol-powered ships.

Upon delivery, the vessels will replace the existing capacity in the Maersk’s fleet.

By replacing vessels in a similar size segment, Maersk estimates that the new vessels will reduce the company’s annual greenhouse gas emissions by about 450,000 tons CO2e per year on a fuel lifecycle basis when operating on green methanol.

Maersk has also announced plans of retrofitting its existing fleet to run on green methanol as part of its sustainability agenda. The first retrofit is scheduled for 2024 in cooperation with German MAN Energy Solutions (MAN ES).

Maersk aims to achieve net zero greenhouse gas emissions in 2040 across the entire business. To get there in time, the company aims to transport a minimum 25% of Ocean cargo using green fuels by 2030 compared to a 2020 baseline.

By the end of this decade, Maersk anticipates that 25 of their vessels will be sailing on green methanol, saving a remarkable 2.75 million tons of CO2 emissions annually.