Energy provider Hong Kong and China Gas Company ( Towngas ) has signed memoranda of understanding ( MoUs ) with both the Hong Kong Transport and Logistics Bureau ( TLB ) and Pacific Basin Shipping with an eye to supporting the development of Hong Kong as a green maritime fuel bunkering and trading centre.

Green methanol represents a near-zero carbon option for the shipping industry to comply with international green maritime fuel regulations.

A Towngas’ subsidiary, located in Inner Mongolia, produces green methanol using scrap tyres, agricultural and forestry waste as production feedstock, and has obtained multiple international certifications, including ISCC EU, ISCC PLUS and ISO6583.

The green methanol production facility recently completed bunkering operations at Shanghai Port – the first large-scale bunkering operation and currently Asia’s largest green methanol bunkering project.

Towngas is China’s first enterprise to achieve both ISCC EU and ISCC PLUS dual certification while commencing large-scale green methanol production.

Under the MoU signed with the TLB, Towngas, as a green maritime fuel producer, will actively supply marine green methanol fuel that complies with current international standards for delivery, bunkering, export and trading in Hong Kong. The company will use Hong Kong as a trading and settlement hub, supporting the territory’s development of a green maritime fuel trading market.

The TLB will incorporate Towngas into Hong Kong’s green maritime fuel business cooperation platform, facilitating connections with stakeholders interested in purchasing green maritime fuel, including bunkering operators, liner companies and other third-party enterprises or institutions, with the aim of developing green maritime fuel-related business in Hong Kong and connecting to international markets.

Simultaneously, Towngas signed an MoU with local shipping company Pacific Basin, establishing a framework for green methanol supply cooperation. Towngas will supply green methanol to Pacific Basin to help its fleet comply with EU and International Maritime Organization ( IMO ) carbon emission reduction requirements.

To support green methanol market deployment, Towngas had earlier signed an MoU with Chimbusco in November last year, establishing a complete green methanol supply chain in Hong Kong.

“The two MoUs mark another step forward for Towngas on the path of green energy transformation,” says Peter Wong Wai-yee, the company’s managing director. “We have consistently provided clean, sustainable fuel solutions for the global shipping industry, supporting Hong Kong’s achievement of carbon neutrality goals and assisting the government in building a green maritime fuel bunkering centre, thereby consolidating Hong Kong’s position as an international shipping centre.”

Martin Fruergaard, Pacific Basin’s CEO, adds:  “Towngas has proven production capabilities, a strong commitment to innovation and decarbonization, and a deep understanding of shipping’s green fuel needs, which, combined with its expansion plans and role in Hong Kong and China’s green marine fuel bunkering ambitions, make it an ideal partner.”