World News
SIBCON22: Shell Has 'Heavy Safety Reservations' About Ammonia Bunkers
Global energy producer Shell has said the issue of how to handle ammonia safely at sea may limit its development as a zero-carbon marine fuel.
While the firm is in principle open to any of the future alternative bunker options under discussion, it has 'heavy safety reservations' about ammonia, a Shell Marine representative told Ship & Bunker on the sidelines of the Sibcon industry event in Singapore last week.
Ammonia's toxicity means it being spilled at sea would be much more harmful to both seafarers and the marine environment than a conventional bunker spill. While ammonia is widely expected to take up a share of the future marine energy mix, significant research and development work will be needed on its safe handling.
The Shell Marine representative said its biggest focus in the marine energy space at the moment was the use of hydrogen in fuel cells. The company is also working on fuel efficiency systems with Kongsberg.
At present, as well as conventional bunker fuels, Shell has LNG, bio-LNG, FAME, HVO and bio-methanol available as marine fuels.
But the representative said methanol as a future marine fuel may also face some challenges.
"At Shell, when we start selling a product, we like to sell it to several different industries," the representative said.
"If marine goes for methanol and no-one else does, that would be a problem -- it could get very expensive."
Key Bunker Prices More
| VLSFO | MGO | |||
|---|---|---|---|---|
| $/mt | +/- | $/mt | +/- | |
| Singapore | 553.50 | 2.50 | 673.00 | 1.00 |
| Rotterdam | 514.50 | 1.00 | 651.00 | 1.50 |
| Houston | 545.00 | 4.50 | 671.00 | 1.00 |
| Fujairah | 543.00 | 0.50 | 747.00 | 0.00 |
| Global 20 Ports Average | 574.00 | 0.50 | 748.00 | 8.00 |
| Global 4 Ports Average | 539.00 | 1.50 | 685.50 | 0.00 |
| Global Average Bunker Price | 626.50 | 2.00 | 800.50 | 0.50 |
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