Anglo procures LNG-fuelled Capesize vessels to transport iron-ore
Diversified miner Anglo American has awarded a ten-year charter contract for four liquefied natural gas- (LNG-) fuelled Capesize vessels to transport the company’s iron-ore to international customers.
This introduces LNG into Anglo’s chartered fleet for the first time.
The new-build LNG vessels emit 35% lower carbon emissions compared with standard marine fuel, while using technology to eliminate the release of unburnt methane.
The contract speaks to Anglo’s goal to be carbon neutral across its operations by 2040, as it works to reduce emissions not only at production sites but also along the entire value chain.
In addition to the lower carbon dioxide emissions, LNG marine fuel offers significant environmental advantages over heavy fuel oil, which is the most widely used fuel by vessels operating along sea trade routes.
However, the use of LNG instead eliminates sulphur oxides and considerably reduces nitrogen oxides and particulate matter from vessel exhausts.
U-Ming Marine Transport will own the newly designed 190 000 t LNG-fuelled bulk carriers. The fleet will be built by Shanghai Waigaoqiao Shipbuilding, in China, and is expected to be delivered in 2023.
The fleet is expected to carry up to five-million tonnes of product a year, transporting iron-ore from Anglo’s operations in Brazil and South Africa to the company’s global customer base.
This move toward sustainability in the maritime industry follows the company being a founding signatory of the Sea Cargo Charter in October, which was created by some of the world’s largest energy, agriculture, mining and commodity trading companies.
The charter establishes a standards methodology and reporting framework to allow charterers to measure and align their emissions from ocean transportation activities.
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