Interim LONO on MSAR Emulsion Bunker Expected by Month's End, Says Quadrise

Quadrise an Interim Letter of No Objection by the end of May 2017.
Image: Maersk

Quadrise Fuels International plc (Quadrise) today announced that it has been informed by A.P. Moller–Maersk Group (Maersk) that Wärtsilä expects to deliver the Interim Letter of No Objection (LONO) related to Maersk Line's operational trial of Quadrise's MSAR emulsion bunker fuel by the end of May 2017.

As Ship & Bunker has reported earlier this month, Quadrise received formal notification from Maersk Line that the shipping company was intending to let the Operational Trial Agreement between the parties expire once the MSAR emulsion bunker fuel onboard the test vessel has been consumed.

"I am delighted that our strong relationship with Maersk has enabled us to progress this matter, despite their decision not to continue the trial," Mike Kirk, Executive Chairman of Quadrise, stated today.

"We look forward to receiving the Interim LONO and being able to use it to actively support our business development activities in the marine market."

Quadrise says it will continuing to work with Maersk toward the release of Wärtsilä's interim inspection report, clarifying Maersk's previously confirmed intention to work collaboratively with Quadrise to progress the commercialisation of MSAR bunkers.

Quadrise says it "continues to believe that the marine industry will ultimately acknowledge and adopt the use of exhaust gas scrubbers and high sulfur heavy fuel as the most economic compliance option for the International Maritime Organization's 2020 sulfur limit environmental legislation and that Marine MSAR will enable operators to obtain additional economic and environmental advantages over the use of heavy fuel oil."

The company says its efforts to commercialise marine MSAR are now being focused on other operators, with Quadrise expecting to use Interim LONO to further support these activities once it is made available.

As reported earlier this week, Niels Henrik Lindegaard, Head of Maersk Oil Trading confirmed to Ship & Bunker that the world's biggest box carrier favours switching to low sulfur bunkers to comply with the 0.50 percent global sulfur cap on marine fuel coming into force in 2020.