Fortescue Charters Up to 12 Ammonia-Capable Vessels From CMB.TECH's Bocimar

MT Newswires Live

06/22

Fortescue (ASX:FMG) and CMB.TECH signed an agreement for the charter of up to 12 ammonia-capable vessels, marking a step towards decarbonizing global shipping and advancing the adoption of ammonia as a shipping fuel, according to a Monday statement by Fortescue.

The company said it will charter a fleet of 12 Newcastlemax dry bulk vessels at 210,000 deadweight tonnes from Bocimar, CMB.TECH's dry bulk shipping operator, with up to three vessels to be delivered with dual-fuel ammonia engines expected to enter service by the end of the year.

The remaining nine vessels will be ammonia-ready and can be converted to run on ammonia in the future, with the combined fleet able to reduce carbon dioxide emissions by about 250,000 tonnes per year if fueled by green ammonia, compared with conventional marine fuels, it added.

The company's shares fell 1% in recent Monday trade.

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