Billionaire Maersk family forms green methanol firm for shipping
A.P. Moller-Maersk A/S is forming a new company that will produce green methanol in a bid to help cut emissions from the shipping industry, one of the world’s biggest polluters.
The company, called C2X, will build and operate “large-scale” production facilities and expects an annual capacity of more than three million tons green methanol by 2030, according to a statement from family fund A.P.
Moller Holding A/S, or APMH, on Thursday. That’s a significant addition to an industry facing a massive shortage of carbon neutral fuel.
There’s currently about 153,000 tons of green methanol production capacity in operation around the world, including demonstration plants that might not be selling volumes commercially as well as those producing synthetic methanol, according to estimates by BloombergNEF.
APMH estimates global demand for methanol could triple to about 300 million tons a year by 2050, with most being for the green kind.
Read More: The Fuel Rivalry That Will Determine How Shipping Goes Green
Weaning the shipping industry off oil is a key component in the fight against global warming.
Maersk, which operates a fleet of about 700 container ships, is alone responsible for about 0.1% of all human-made CO2 emissions. The Copenhagen-based company has identified green methanol as the best technology to achieve its goal of becoming carbon neutral in 2040.
C2X will sell to the shipping industry as well as to chemical companies.
Its main owner will be APMH, which has assets of about $110 billion and is run by Robert Maersk Uggla, the great-grandson of the shipping firm’s founder. Maersk will own a 20% stake, the companies said, without providing financial details.
The new company will be led by Brian Davis, an ex-Shell Plc
