Korean Register and Ulsan Port Authority signed a Memorandum of Understanding (MOU) to support methanol-fueled ships, and establish the port as a low-carbon energy hub.

The MoU is a response to the low-carbon energy transition happening in the shipping and port industries, stimulated by International Maritime Organization (IMO) regulation. Used as a marine fuel, methanol produces 99% less sulphur oxides (SOx), 80% less nitrogen oxides (NOx), and 25% less greenhouse gases compared to conventional marine fuels.

An increasing number of dual-fuel methanol vessels are being ordered by international shipping companies. For example, the South Korean shipping company KSS Marine took delivery of the country’s first methanol-powered vessel, the Savonetta Sun in October. Built this year, this chemical and oil product tanker, which sails under the flag of Panama, has a gross tonnage of 30,873 tonnes.

Korean Register and Ulsan Port Authority will collaborate on regulatory reform, deregulation of methanol-fueled ships and methanol bunkering, utilising independent tank terminals in Ulsan as methanol storage facilities, testing methanol bunkering at Ulsan port and building methanol supply infrastructure in Korean ports.

Jeong Chang-gyu, Vice President of Ulsan Port Authority (UPA), stated: “UPA is actively working to make eco-friendly, and low-carbon fuels become more of a universal feature in shipping and port markets. We will support the widespread use of methanol-fueled ships and methanol bunkering in cooperation with KR using Ulsan port, one of the key energy hubs of North-East Asia.”