Silverstream partners with Cosco Shipping to propel air lubrication uptake

UK-based cleantech company Silverstream Technologies has signed a high-level memorandum of understanding (MOU) with Chinese shipyard group COSCO Shipping Heavy Industry (CHI) to explore opportunities to install Silverstream’s air lubrication system in CHI shipyards.

As explained, the MoU will foster a deeper level of collaboration between the two organisations and will enable Silverstream to assess how its technology could be licensed to fit within CHI’s technology portfolio.

Furthermore. the agreement will also enable Silverstream to investigate additional options for the fabrication and supply of components of the Silverstream System in China and the Asia-Pacific region.

CHI is headquartered in Shanghai and operates nine shipyards – four for newbuilds and five for ship repairs. The company operates yards for shipowners based around the world, including for its several sister COSCO Shipping firms.

“We are delighted to sign this MOU with CHI, which will enable us to work with the yard to find opportunities to install the Silverstream System on ships built and repaired across its portfolio. Our established technology is fast becoming a standard selection on newbuild vessels…,” Noah Silberschmidt, Founder & CEO, Silverstream Technologies, commented.

“We are in a new era of transformation and development of the shipping industry. In order to meet shipowners’ needs to upgrade the efficiency of their fleets, we pay close attention to the world’s leading energy-saving clean technologies and marine products. We are therefore very pleased to establish the MOU with Silverstream Technologies…,” Xiao Zijian, Commercial Director of CHQ, COSCO Shipping Heavy Industry, said.

In 2023, ship operators have submitted baseline performance statistics for the International Maritime Organization’s Carbon Intensity Indicator (IMO CII) regulations. Ships will receive the first vessel efficiency ratings within the CII ranking framework in 2024.

Additionally, CO₂ emissions from ships above 5,000 GT and transporting cargo or passengers for commercial purposes will be included in the European Union Emissions Trading System (EU ETS) for the first time from 1 January 2024.

With these new regulatory drivers becoming more impactful on vessel operations, the need for improved vessel efficiency, and therefore the need for adopting energy efficiency technologies, is only set to increase.

As of August 2023, 179 vessels are contracted to have the Silverstream System installed across all shipping segments, with 44 of those ships already in service with the system onboard.

In August this year, the cleantech firm received orders to install its air lubrication technology on ten liquefied natural gas (LNG) carriers. Six are for retrofit projects taking place between 2023 and 2025, and four are for newbuilds which will be delivered between 2026 and 2027.