Fortescue and COSCO SHIPPING’s MoU for decarbonisation

(Image source: Fortescue) This collaboration builds on Fortescue’s research and development to decarbonise shipping, including the development of a ship engine which received the world’s first certification to use ammonia in combination with diesel as a marine fuel.
(Image source: Fortescue) This collaboration builds on Fortescue’s research and development to decarbonise shipping, including the development of a ship engine which received the world’s first certification to use ammonia in combination with diesel as a marine fuel.

Fortescue (ASX: FMG) and COSCO SHIPPING signed a non-binding Memorandum of Understanding to work together on decarbonising shipping.

The companies will explore the construction and deployment of COSCO SHIPPING vessels, or co-owned vessels, powered by green ammonia to reduce the Australia-China iron ore green shipping corridor’s emissions.

Fortescue Metals chief executive Dino Otranto comments on the agreement.

“The shipping industry plays a vital role in global trade however also contributes significantly to the world’s carbon emissions,” he said.

“This collaboration marks a significant step in decarbonising the shipping industry and establishing a green fuel supply chain.

“It also paves the way for collaboration on a variety of decarbonisation solutions which we believe will be integral to delivering on our ambitious target of net zero Scope 3 emissions by 2040.”

COSCO SHIPPING executive vice president Lin Ji also comments on the development.

“COSCO SHIPPING is committed to green and low carbon as one of the two major development tracks — increasing cooperation with global partners, joining hands to jointly build a digital, green, open, shared and safe industry development ecosystem and actively promoting the sustainable development of green and low carbon in the entire life cycle of the shipping industry,” he said.

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