Q&A: PRIO Energy mulls biofuel expansion beyond Portugal on expected bunker demand boost
Portuguese biofuel producer PRIO Energy intends to scale up biofuel supply to bunker ships by drawing on its extensive experience since its inception in 2006.
PHOTO: PRIO Energy supplying biofuel to a Norwegian Cruise Line ship. PRIO Energy
Shipowners are increasingly opting for biofuel blends as an alternative marine fuel. With the International Maritime Organisation's (IMO) Carbon Intensity Indicator (CII) coming into force this year, several shipowners are seeking to bunker biofuel blends to improve the CII ratings of their vessels.
According to the classification society American Bureau of Shipping (ABS), drop-in biofuels can immediately improve a vessel’s CII rating “regardless of whether it was diesel, methanol or LNG-fuelled.”
PRIO Energy operates a biodiesel plant and a 100,000 cbm-capacity fuel storage facility in the Port of Aveiro in Portugal. By having complete control over biofuel production and its supply chain, PRIO says it will be able to produce fuels that comply with existing and future biofuel standards or specifications. The company is thinking about having biofuel storage capacities in other EU countries to boost supply.
Speaking to ENGINE, PRIO Energy’s coordinator of emerging businesses and shipping Telmo Ferreira shares insights into the company’s current biofuel bunkering setup in Portugal, and how it could expand to other locations in Europe.
Which types of biofuel blends will be available for sea-going vessels in Portugal?
We do not work with heavier fuel oils. Our biofuels are typically blended with either MGO, diesel 10 ppm or gasoil. We have full control of the biofuel production process and the final specifications to comply with all the new standards. The flexibility of our blending process allows us to scale up the production according to demand and the shipowner’s requirement (wide range of 1-100% biodiesel blends can be easily made available).
How have biofuel sea trials gone and when will biofuel be launched commercially?
We are making several successful biodiesel trials with major cruise companies, port authorities and others industry partners. At Port of Aveiro, we are supplying port vessels with B15 (15% biofuel), Port of Leixões with B20 (20% biofuel) and several other projects with B30 (30% biofuel).
By having our biodiesel plant alongside our storage terminal and jetty, we have the flexibility to supply various biofuel blends according to shipowner requirements. For example, let me share with you one example of the success of our supply of B30 (30% biofuel + ULSD) to the Norwegian Cruise Lines, in Lisbon. Wherein we supplied two cruise ships of Norwegian Cruise Lines with B30 (400 mt) stem, which helped them to reduce their carbon footprint.
PHOTO: PRIO terminal in Portugal. PRIO Energy
Which ports will you supply biofuels in? Will deliveries happen via barges or trucks?
We can supply biofuel in all Portuguese ports through trucks and intend to supply them in Spanish ports in future. In Aveiro, we can supply biofuels to ships through pipelines also. Due to the rapid rise in biofuel shipping demand, we are considering expanding our biofuel supply to other major European ports in the region.
Deliveries through barges are being widely considered to meet existing and future demand.
Which feedstocks will be used to produce biofuels?
Our feedstocks are mainly used cooking oil and other advanced feedstocks. We do not use traditional crop-based feedstocks.
Are all of your biofuels certified by any agencies?
Our biofuels are International Sustainability & Carbon Certification (ISCC)-certified. In the delivery note, the country of origin of feedstocks and other details are specified.
By Nithin Chandran
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