Japan’s MOL and Mitsubishi develop ammonia FSRU

Japan’s shipping giant MOL has completed a concept study on a floating storage and regasification unit (FSRU) for ammonia, in collaboration with Mitsubishi Shipbuilding, a unit of Mitsubishi Heavy Industries.

Besides the concept study, MOL signed a memorandum of understanding with Mitsubishi Shipbuilding and Kansai Electric Power.

Under the memorandum, the partners would jointly conduct a study to introduce the ammonia FSRU as a “major” step in adopting ammonia as a decarbonized energy, MOL said.

Conventionally, FSRUs are used as floating facilities that receive LNG offshore for storage, regasify it onboard, and send it to shore.

The units offer the advantages of shorter construction time and lower costs in comparison to construction of onshore storage tanks and regasification plants.

MOL expects FSRUs to speed up the adoption of ammonia fuel and contribute to its wider use as a “lower-environmental-impact next-generation fuel.”

The partners examined specifications of several cases with different conditions such as tank size and regasification method to meet a broad range of needs.

Also, the companies developed a design concept of a lower environmental impact FSRU that would go on electricity generated with ammonia fuel, it said.

MOL said the partners would continue their study with the intention of introducing ammonia FSRUs in various regions of the world.

Last year, Japan’s shipping giant revealed several deals for ammonia.

The firm joined forces with Mitsubishi Shipbuilding and Namura Shipbuilding to develop a large ammonia carrier that will also run on ammonia.

Furthermore, the company also signed a memorandum of understanding with MAN Energy Solutions and Mitsui E&S Machinery for an ammonia-fueled main engine.

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