MOL, Sinopec and Marubeni to develop biodiesel supply chain in China

Japanese shipping company Mitsui O.S.K. Lines (MOL), Chinese bunker supplier Sinopec Zhejiang Zhoushan Petroleum and Japanese conglomerate Marubeni Corporation have agreed to work together to develop a long-term marine biodiesel supply chain in China.

IMAGE: An image of biodiesel barrels. ENGINE via ChatGPT

Under this partnership, MOL will promote the use of biodiesel—produced from recycled biomass—within the country, while Sinopec and Marubeni will build the supporting infrastructure, including storage, transport facilities, and supply ports.

China is a key source of biodiesel feedstocks and demand for the fuel is expected to rise. MOL will work with SINOPEC and Marubeni to establish a long-term system for sourcing and supplying biodiesel at an early stage.

“Biodiesel fuel, a 'drop-in' alternative that can be used without modifying existing marine internal combustion engines, is gaining attention as an effective solution capable of significantly reducing CO2 emissions over its entire lifecycle compared to conventional marine fuels such as heavy oil,” MOL claimed.

The companies have yet to disclose the specific ports that will be developed under this project.

By Tuhin Roy

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