Mabanaft and HIF Global ink preliminary agreement for e-methanol supply

German bunker supplier Mabanaft has signed a preliminary agreement with US-based renewable fuel producer HIF Global (HIF) to initially procure up to 100,000 mt/yr of e-methanol.

PHOTO: Getty Images

E-methanol, or synthetic methanol, is produced using 100% biogenic carbon dioxide (CO2) and green hydrogen. The biogenic CO2 is typically sourced through bioenergy with carbon capture and storage (BECCS) or direct air capture (DAC). This results in a fuel that is nearly free of greenhouse gas emissions and can be used alone or blended with grey methanol as a drop-in fuel.

The agreement marks the beginning of negotiations to define the terms of a potential offtake contract, Mabanaft said.

“This agreement is a further step forward in providing our shipping customers with a viable, alternative fuel,” said Volker Ebeling, Mabanaft’s senior vice president.

“In parallel we are now in the process of making methanol storage available at our Hamburg tank terminal and possibly further global locations,” he added.

By Tuhin Roy

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