HMM places $1.1 billion in orders for methanol-fueled ships

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HMM places $1.1 billion in orders for methanol-fueled ships

Published: 14 Feb. 2023, 18:14

Officials, including Minister of Oceans and Fisheries Cho Seung-hwan, center, and CEO of HMM Kim Kyung-bae, second from right, pose for a picture at a signing ceremony for the container ship construction contract at the Westin Josun Hotel in central Seoul on Tuesday. [HMM]

HMM, Korea's largest container shipper, ordered nine methanol-fueled container ships for 1.41 trillion won ($1.1 billion), in a move that aligns it with the growing global trend of deploying container ships that produce less in carbon emissions.

Of the nine 9,000 twenty-foot equivalent unit (TEU) ships, seven will be constructed by Hyundai Samho Heavy Industries, and the remaining two will be built by HJ Shipbuilding & Construction, HMM said Tuesday.

The ships will be delivered to HMM over two years between 2025 and 2026 and be operated on routes to South America and India, and some to North America.

This is the first time for Korea’s largest shipper to place an order for a ship that uses eco-friendly fuels like methanol.

Methanol is regarded as an alternative vessel fuel to fossil fuels as it emits less in greenhouse gases than existing fossil fuels and does not emit foul-smelling toxic sulfur oxides. HMM said it will continue to develop and introduce green maritime alternative fuel like methanol.

HMM also signed a business agreement with state-run Korea Ocean Business Corporation (KOBC) to introduce eco-friendly vessels.

BY SEO JI-EUN [seo.jieun1@joongang.co.kr]