Deal will see delivery of some 95 marine scrubber waste water treatment systems. Image Credit: LiqTech
LiqTech International, Inc. (LiqTech), a manufacturer of marine scrubber waste water treatment systems, this week said it had reached a "turning point" after signing a framework agreement with "one of the world's largest manufacturers of marine scrubbers."
The deal provides that some 95 of the firm's systems are delivered during its initial term for 2018 and 2019. There is an option for the agreement to run for an additional one-year term at the end of 2019.
With the global sulfur cap for marine fuel falling to 0.50% in 2020, vessel operators are faced with a choice of either buying more expensive compliant fuel or installing a scrubber and continuing to burn the same HSFO bunkers they do today.
Sune Mathiesen, LiqTech CEO
We are continuing to establish relationships with ship owners and manufacturers of marine scrubbers
And writing in a press release announcing the agreement, LiqTech echoed what many of the industry's talking heads have been telling us: "Marine scrubbers offer a very attractive business case for ship owners."
But the reality is the uptake of scrubbers is well below expectation and on track to be around half what IMO estimated in its official fuel availability study.
As such, LiqTech's deal is perhaps a nod to the growing importance for manufacturers of the technology to address shipowner concerns over the practical side of scrubber ownership, with wastewater management seen as key among factors holding back their investment.
"We are continuing to establish relationships with ship owners and manufacturers of marine scrubbers," said LiqTech CEO, Sune Mathiesen.