MOL shifts to biodiesel to accelerate immediate shipping decarbonisation

SINOPEC and Marubeni will develop storage and transport facilities for biodiesel fuel.

Mitsui O.S.K. Lines, Ltd. (MOL) has inked a deal for the establishment of a long-term supply system for marine biodiesel fuel.

According to a company statement, the partnership with China's largest fuel supplier SINOPEC Zhejiang Zhoushan Petroleum Co., Ltd. and Marubeni Corporation, which holds the top share in the marine fuel sales market for Japanese shipowners in China, “aims to establish a long-term and stable supply system for biodiesel fuel-a key alternative to heavy oil.”

MOL will work to expand the use of biodiesel fuel in China, whilst SINOPEC and Marubeni will develop infrastructure such as storage and transportation facilities and supply ports, and ensure the stable availability of biodiesel fuel.

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 carbon dioxide emissions over its entire lifecycle compared to conventional marine fuels such as heavy oil.

The MOL Group is advancing the adoption of clean fuels based on the environmental strategy in our management plan "BLUE ACTION 2035," aiming to achieve net-zero greenhouse has emissions by 2050.

“The MOU represents a significant milestone toward achieving that target. The group will promote the use of biodiesel fuel, a low-carbon energy source that can be adopted immediately, and contribute to the decarbonization and reduction of carbon emissions in marine transport,” MOL said.