Sumitomo Corporation - Acceleration of Study on establishing ammonia supply chain for bunkering in Singapore and Receipt of Approval in Principle for Ammonia bunkering vessel
May 16, 2022 at 04:28 am EDT
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The Consortium, consisting of A.P. Moller - Maersk A/S, Fleet Management Limited, Keppel Offshore & Marine, Maersk Mc-Kinney Moller Center for Zero Carbon Shipping, Sumitomo Corporation and American Bureau of Shipping ('ABS') (collectively the 'Consortium'), is pleased to announce the addition of Kawasaki Kisen Kaisha, Ltd.('K'LINE) and Maritime and Port Authority of Singapore ('MPA') to the Consortium, and the receipt of Approval in Principle ('AiP') from ABS for the design of an ammonia bunkering vessel.
During the Singapore Maritime Week on 6 April, a memorandum of understanding ('MOU') was signed by the Consortium with 'K' LINE and MPA to develop the ammonia bunkering ecosystem at the Port of Singapore, the largest bunkering port in the world.
This follows a feasibility study jointly launched by the Consortium in March 2021 to develop an ammonia bunker supply chain in Singapore. In the past year, the Consortium identified potential ammonia supply sources and indicative costs, as well as undertook the preliminary design and cost estimation for critical infrastructure, such as ammonia storage tanks and bunkering vessels, leading to the AiP from ABS for the bunker vessel design.
With the addition of 'K' LINE and MPA as new members, the parties will build on the current findings and begin development works to establish an integrated supply chain, with the goal to commence ammonia bunkering by 2030.
The parties will continue to seek cooperation with various stakeholders of the maritime industry and relevant Singaporean ministries and agencies to realize the world's first ammonia fuel supply chain.
These developments are in line with the International Maritime Organization's (IMO) initial strategy to halve greenhouse gas (GHG) emissions within the shipping industry by 2050 compared to 2008 levels. Ammonia, which does not emit CO2 when burned, is expected to be one of the most promising alternative marine fuel that has the potential to make significant contributions to reducing GHG emissions in the shipping industry.
Sumitomo Corporation is a diversified group organized around 7 areas of activity:
- retail distribution of consumer goods (24.4% of net sales): food products, apparel and accessories, pharmaceuticals, building materials, household and decorative items, etc. The group is also developing a real estate business;
- trading of hydrocarbon, mining, chemicals and electronics products (24%): oil, natural gas, copper, gold, silver, zinc, lead, nickel, coal, iron ore, resins, pesticides, petrochemical products, etc.;
- trading of steel products and non ferrous metals (20%): flat and long steel products, tubular products, aluminum products, titanium, etc.;
- distribution of transportation and construction systems and equipments (15.1%): spatial equipments, landing fields, forest machines, motorcycles, mining operating vehicles, etc.;
- telecommunications and multimedia products and services supplies (8.8%): TV wiring, data communication solutions, film distribution services, mobile telephony, Internet access and computing services;
- development and implementation of civil engineering infrastructures (7.6%): power plants, wastewater treatment units, industrial plants, telecommunications centers, etc. The group is also providing logistics services;
- other (0.1%).
Sumitomo Corporation - Acceleration of Study on establishing ammonia supply chain for bunkering in Singapore and Receipt of Approval in Principle for Ammonia bunkering vessel
SUMITOMO CORPORATION 
