American Bureau of Shipping, CALAMCO, Fleet Management Limited, Sumitomo Corporation and TOTE Services, LLC have executed a Memorandum of Understanding (MOU) to jointly conduct a feasibility study with the aim to be one of the pioneers in establishing a comprehensive and competitive supply chain for the provision of clean ammonia ship-to-ship bunkering in the US West Coast.
The study will be conducted at the Port of Oakland, Benicia and nearby major ports in U.S. West Coast, according to a news release.
Ammonia, which does not emit any CO2 when combusted, has long been considered one of the most promising alternative marine fuels to reduce greenhouse gas (GHG) direct emissions within the shipping industry which aligns with the revised International Maritime Organization (IMO) strategy to reach net-zero emissions from international shipping “close to” 2050 on a life-cycle basis.
CALAMCO is a California based cooperative composed of grower members, as well as the largest ammonia distributer in California. The study aims to explore possibility to utilize CALAMCO’s existing ammonia storage terminal at port of Stockton for a pilot demonstration project of ammonia bunkering for car carriers calling at port of Benicia and container vessels calling at port of Oakland as a first step toward wide adoption of ammonia as marine fuel in the US West Coast.
Port of Benicia is one of the key vehicle-handing ports in U.S. West Coast, while Port of Oakland also rank among top 10 of US largest container ports.
Safety assessments are critical to formulate standards for use of ammonia as a marine fuel due to the toxicity of the substance. Relevant government agencies and experts in the US will be engaged in working towards the standardization of safe operation and regulations, the news release states.