COSCO Shipping, CP Group Co., Ltd., and Freepoint Commodities have inked a Memorandum of Understanding (MoU) on the production of green methanol.

Under the terms of the agreement, the three parties commit to intensifying their joint efforts in the area of maritime green energy.

By harnessing Southeast Asia’s abundant biomass resources and employing cutting-edge technologies, COSCO plans to construct a green methanol production facility that adheres to stringent EU standards.

This initiative is poised to bolster the renewable energy transition for COSCO Shipping while catalysing improvements in the energy mix.

“The MoU signing stands as a testament to globalisation in the pursuit of greener, low-carbon solutions,” COSCO Shipping’s company statement read.

“It underscores the commitment of the three parties to deepen their strategic collaborations, contributing significantly to the decarbonization of the international shipping sector.

“Together, they aspire to set new industry benchmarks, driving forward the green and low-carbon evolution, and collaboratively fostering a future marked by high-quality, sustainable development.”

Last week, COSCO Shipping commenced operations at its Chancay Terminal, located in the central part of the Peruvian coastline.