A memorandum of understanding (MoU) has been signed by AET and PETCO Trading Labuan Company Ltd (PTLCL) to explore a potential collaboration to deploy a zero-emission Aframax vessel.
Powered by green ammonia, the deep-sea tanker vessel is stated to represent a “sustainable shipping option” and be a step forward on the path towards necessary and more sustainable shipping practices.
Under the agreement, AET will be responsible for selecting a shipyard to build the zero-emission dual-fuel tanker, which is estimated to be delivered to PTLCL for long-term charters by 2026.
Both companies intend to collaborate on the vessel’s design, safety and operational aspects, alongside studying opportunities for a green ammonia corridor in Southeast Asia, in support of the International Maritime Organization’s greenhouse gas intensity reduction agenda.
“We are pleased to extend our partnership with PTLCL to explore the potential development and construction of one net-zero green ammonia Aframax as we both continue our decarbonization journey to advance toward a net zero future,” said John Baptist, global director VLCC/PCS, AET, and head of the decarbonization unit, MISC.
Baptist continued, “This MoU marks a further positive step to advance AET and MISC Group’s 2030 and 2050 strategic decarbonization aspirations for shipping, adding to the pair of zero-emission ammonia-fueled deep-sea tanker vessels under the Castor Initiative and our collaboration with PTT for two zero-emission Aframaxes which were both announced last year.”