The UAE is developing a sustainable methanol bunkering facility

Global efforts to reduce shipping sector emissions

 Developing a Sustainable Methanol Bunkering Facility in the UAE

The UAE is developing a sustainable methanol bunkering facility, a move that will support global efforts to reduce emissions from the shipping sector. Abu Dhabi Ports Group announced the signing of an agreement with Masdar, Advario, and CMA CGM Group to explore opportunities to develop a state-of-the-art sustainable methanol bunkering and export facility at Khalifa Port.

The development of a sustainable methanol bunkering facility represents an important step in plans to develop the infrastructure needed to support the value chain, enhance connectivity between commercial methanol production and major buyers, such as CMA CGM, and contribute to accelerating decarbonization efforts in the shipping sector.

The agreement will contribute to strengthening the strategic partnership between the UAE and France, which has been strengthened through the UAE-France Business Council, which meets annually at the highest levels and enables the private sector to contribute to achieving sustainable economic development and implementing joint projects.

The Future of the Maritime Sector

Saif Al Mazrouei, CEO of Ports Cluster, Abu Dhabi Ports Group, said: “The signing of this agreement represents an important step in our journey to reimagine the future of the maritime sector, making it more sustainable and environmentally responsible.” He explained that the development of a sustainable methanol bunkering and export facility at Khalifa Port will support the growth of the shipping sector, reduce carbon emissions, and develop new sources of clean energy.

Dr. Fayea Al Harsh, Head of Business Development for Green Hydrogen at Masdar, said: “Green hydrogen and its derivatives, such as sustainable methanol, play a significant role in decarbonizing hard-to-abate sectors such as shipping, accelerating the transition to carbon neutrality.” She added: “With more than 80% of global trade carried out by sea, strengthening strategic partnerships is crucial to building an integrated green hydrogen production chain and ensuring a more sustainable maritime sector.”

Al Harsh noted that sustainable methanol has tremendous potential to transform the shipping sector by providing a viable approach to effectively reduce emissions. She said: "By collaborating with Abu Dhabi Ports, Advario, and CMA CGM, we are contributing to strengthening the UAE's leadership position in sustainable innovation and making steady progress towards building a better, greener future."

Energy Transition

Bas Vercooijen, CEO of Advario, said: "Our company is committed to supporting the energy transition by strengthening partnerships and driving innovation. We are pleased to collaborate with Abu Dhabi Ports, Masdar, and CMA CGM to evaluate the feasibility of developing innovative solutions that contribute to sustainable, long-term progress for the maritime sector." He added that the partnership will strengthen Advario's position in the UAE's chemicals and new energy sectors and reflect our commitment to working with our customers and partners to accelerate the decarbonization of vital sectors.

Christine Capeau-Wahrel, Executive Vice President of Assets and Operations at CMA CGM, said: “We are working to accelerate the decarbonization of the shipping sector by investing in low-carbon solutions. We have a fleet of more than 153 vessels that will be ready to operate using low-carbon energy and synthetic fuels such as sustainable methanol by 2029.” She added: “This collaboration represents a significant achievement that supports the development of the infrastructure needed to expand the use of sustainable fuels and is a strategic step towards achieving the desired transformation in the energy sector.”

Renewable Energy and Green Hydrogen

Separately, the UAE’s AMEA Power announced the signing of a Memorandum of Understanding with Japan’s Kyden to establish a strategic partnership aimed at jointly developing renewable energy and green hydrogen projects, supporting decarbonization, energy flexibility, and inclusive economic growth in key markets. Hussain Jassim Al Nowais, Chairman of AMEA Power, said: “The new partnership with Kyden is a new and important milestone in our efforts to enhance our contribution to leading the transformation of the renewable energy sector in the regions and markets in which we operate.”

He added that AMEA Power is committed to providing transformative clean energy and green hydrogen solutions, generating long-term social and economic value for local communities. He emphasized that the company will continue to build value-added strategic partnerships that will contribute to the development and improvement of services in the renewable energy sector and achieve tangible impact through innovative and scalable clean energy projects that align with global climate goals and regional development priorities.

The MoU provides a framework for cooperation between the two companies to advance large-scale clean energy projects by combining AMEA Power's established expertise and proven track record with Kyden International's advanced technological capabilities. AMEA Power owns solar power plants and wind farms with a total capacity of 2,600 megawatts, while the company's projects under implementation have a capacity of approximately 6 gigawatts in more than 20 countries.