Sembmarine unit to design world's first zero-emission fuel tanker

A unit of Sembcorp Marine (Sembmarine), LMG Marin, has clinched a contract to design the world's first green ammonia-fuelled tanker for Grieg Edge, the innovation unit of Norway's Grieg Maritime Group.

The zero-emission vessel will transport and distribute green ammonia fuel from a production facility in Berlevag, Norway, to Svalbard, a Norwegian archipelago between mainland Norway and the North Pole from 2024, replacing coal-fired power.

Sembmarine announced on Friday (Dec 3) that the contract came after the group started rebalancing its product solutions portfolio - with an increasing focus on renewables and other green solutions - from 2015.

A Sembmarine spokesman told The Business Times the contract value could not be disclosed due to market sensitivity.

Green ammonia is produced with hydrogen derived from water electrolysis powered by renewable sources of energy such as wind and solar, making it an environmentally friendly fuel.

In contrast, every tonne of conventional ammonia, or grey ammonia, produced generates two tonnes of carbon dioxide, given the need to mix hydrogen and atmospheric nitrogen under pressure.