South Korean flagship HMM is looking to enter the ammonia trades. The company has signed a memorandum of understanding(MoU) with compatriot. LOTTE Fine Chemical for the marine transportation of ammonia. The MoU also covers the bunkering of ammonia and methanol fuel.
In 2021, HMM launched a consortium with five Korean partners to seek feasible solutions to form the end-to-end supply chain for green ammonia. LOTTE Fine Chemical was one of the five members.
HMM and LOTTE Fine Chemical have now extended their cooperation. Based on the MoU signed today, HMM will carry ammonia fuel secured by LOTTE Fine Chemical and take charge of overall vessel operation during transportation. LOTTE Fine Chemical, which has Korea’s largest ammonia storage facility, plans to procure ammonia and methanol fuel for the supply to HMM’s vessel.
According to the Net Zero by 2050 scenario reported by the International Energy Agency (IEA), ammonia attracts attention as one of the next-generation energy sources ad is expected to account for around 45% of the demand for marine fuels in 2050.
An HMM official said, “We are generating enterprise-wide efforts to accelerate our environmental initiatives for a carbon-free future. We will continue to explore sustainable and clean energies and find a way to go green.”