shipping

Uniper Energy DMCC, Neutral Fuels to offer maritime biofuel in Fujairah

Business & Finance

Uniper Energy DMCC (UED), a supplier of very low sulphur fuel oil (VLSFO), and Neutral Fuels, a pioneer of net zero biofuels in the UAE, have teamed up to provide maritime biofuel in Fujairah, UAE.

illustration; Image by Offshore Energy

The two companies plan to blend UED’s VLSFO and Neutral Fuels biofuel, creating a maritime fuel that meets the International Maritime Organization (IMO) standard under their ISO8217:2010 RMG380 specification.

“The collaboration is aimed to address climate protection, the predominant social issue in the world today,” Lars Liebig, Managing Director of UED, said. 

“UED is already supplying up to 500,000 tons of VLSFO per month from its processing plant in the Port of Fujairah, the world’s third-largest bunkering hub.

“We will leverage our logistics infrastructure and global customer base, which stretches from the Middle East over South/East Africa, and up to India, Singapore and China. The fuel will be available for large tankers and containers, and for smaller short sea and feeder vessels.”

For Fujairah terminals that are not currently connected to the grid, biofuel can also be used instead of fossil fuel in diesel generators, producing clean, green electricity and contributing to decarbonisation.

 “It is fitting for the UAE to lead the way in making maritime biofuel widely available to the shipping industry. The UAE was quick to adopt the UN’s sustainable development goals and has been particularly active in working to cut emissions of CO2. This is the main culprit that creates the greenhouse gases which cause climate change,” Gary Hubbard, Chief Commercial Officer of Neutral Fuels, said.

Neutral Fuels has been manufacturing and supplying biofuel for 10 years across the GCC.

The company said that its biofuels are made exclusively from used vegetable cooking oil and have no land-use issues, i.e., they are not in competition with food production, and do not cause or support deforestation.

“We started with large vehicle fleets like the McDonald’s logistics operation and grew into the construction industry, working with clients such as Expo 2020. In February this year, a month after the new IMO regulations came into place, we started supplying maritime biofuel and have proven its benefits across all operational, financial and environmental parameters. Partnering with UED now is the natural next step for us,” Hubbard said.