U-Ming Marine Transport (S) Pte Ltd (U-Ming), a subsidiary of Taiwanese-listed U-Ming Marine Transport Corporation (2606.TW; headquartered in Taipei, Taiwan; President & Director, Mr CK Ong), announced today that it has signed a Memorandum of Understanding (MoU) with ITOCHU Corporation (headquartered in Minato-ku, Tokyo; Keita Ishii, President and COO) to explore discussions on jointly owning and operating ammonia dual-fuel bulk carriers.

Leveraging U-Ming’s experience and expertise, the collaborative efforts with ITOCHU are expected to play a leading role in driving decarbonisation in international shipping. U-Ming’s understanding, implementation, and commercialisation of dual fuel technology has allowed the company to build strong relationships with major shippers, shipyards, and shipping companies which will play a key role in advancing ammonia as a fuel.

In addition to the four owned LNG dual-fuel Capesize bulk carriers, U-Ming is presently undertaking feasibility studies regarding the installation of rotor sails, carbon capture system and the retrofitting of traditional oil fuel systems to methanol dual-fuel on its fleet. These initiatives aim to significantly diminish the carbon footprint across its existing fleet.

The MoU signing is part of ITOCHU’s “Integrated Project”, which aims to lower greenhouse gas emissions by developing ammonia dual-fuel ships and establishing a global ammonia supply chain with industry partners. This will further enable ITOCHU to accelerate the construction of sustainable energy systems, contribute to the realisation of a low-carbon society, and reduce the burden on the global environment.

Greenhouse gas emitted from the international shipping industry is estimated to account for approximately 2.1% of the global total as of 2018. The International Maritime Organization (IMO) has set forth the 2023 IMO GHG Reduction Strategy, incorporating the net-zero greenhouse gas (GHG) emissions target by 2050. Ammonia is expected to be a viable fuel alternative to help the maritime industry meet these targets.

The MoU also outlines the exploration and implementation of other maritime emission lowering solutions such as the use of alternative fuels like methanol and various energy saving devices.

U-Ming currently owns and operates a diverse fleet of vessels including Capesize, Panamax, Post Panamax, Supramax, Ultramax, Cement Carriers, Very Large Crude Carriers (VLCCs), Very Large Ore Carriers (VLOCs) and Crew Transfer Vessels (CTVs) for offshore wind farms. U-Ming’s fleet now comprises 72 vessels with a total deadweight of 8.77 million tons. The company has subsidiaries in Singapore, Hong Kong, and Xiamen; including U-Ming Marine Offshore Company Ltd. focusing on green energy transportation.