Ørsted and Esvagt sign contract for second methanol-fueled SOV

Decision to build a second methanol-fueled SOV was announced by Mark Porter, head of operations, Europe, at Ørsted (L) and said Søren Karas, chief strategy & commercial officer at Esvagt. [Photo: Ørsted]

The methanol momentum keeps rolling along. Esvagt has reached an agreement with Ørsted that will see it build a sister ship to the world’s first methanol-fueled SOV (service operation vessel). Ordered at Turkey’s Cemre Shipyard last year, that ship will go to work for Ørsted off the U.K. East Coast next year. This second vessel is set for delivery in 2026 and will operate out of Ørsted’s U.K. East Coast hub on a 10-year contract.

The new SOV will be powered by dual fuel engines, capable of operation on renewable e-methanol produced from renewable energy and biogenic carbon.

In December last year, Ørsted took a final investment decision (FID) that saw it take full ownership of the Flagship ONE e-methanol production project and expects to supply its own methanol for both of the SOVs. Several other maritime companies have placed orders on methanol-powered vessels, indicating that the demand for green fuels is materializing rapidly.

Ørsted’s target is to become carbon-neutral in its energy generation and its own operations by 2025. It says that the additional, second, green fuel SOV will build on that, as the company works towards its science-based target of reaching net-zero emissions across the full value chain by 2040.

“As the world leader in offshore wind, Ørsted will continue to look for the best green alternatives to fossil fuels,” said Mark Porter, head of operations, Europe, at Ørsted. “E-methanol is a strong match for our SOVs, and we’re very pleased that we, along with Esvagt, will soon welcome the second methanol-powered vessel to our fleet.”

“We are delighted to expand our collaboration with Ørsted on this ground-breaking operation,” said Søren Karas, chief strategy & commercial officer at Esvagt. “As a global market leader in marine services for offshore wind, Esvagt is deeply committed to continuously innovating to deliver lower emission solutions. We are looking forward to bringing the first methanol powered SOVs to the market”.

Ørsted has implemented a systematic approach for reducing emissions from its offshore logistics through efficiency initiatives, including route optimizations and sailing at fuel-saving speeds. Ørsted has also implemented light hybrid crew transfer vessels for increased fuel efficiency. Additionally, Ørsted is taking steps towards net-zero wind farms, by working with partners and suppliers on pursuing low-carbon solutions across operations, construction and manufacturing.

Esvagt, which is partnered with Crowley in the CREST Wind Jones Act SOV JV, pioneered the SOV concept and continues to take an innovative and holistic approach to running an energy efficient, safe marine operation

Over the past two years, Ørsted has built up a portfolio of green fuel projects, three of which focus on producing e-methanol for maritime transport. The portfolio includes FlagshipONE in Sweden, which is under construction, and which will produce 50,000 tonnes of e-methanol per year from 2025. Additional projects include Project Star on the U.S. Gulf Coast, which will supply 300,000 tonnes of e-methanol a year for Maersk’s fleet of net zero emissions vessels, and the Green Fuels for Denmark project in Copenhagen, where Ørsted is working with major Danish players in heavy transport, including shipping.

Decision to build a second methanol-fueled SOV was announced by Mark Porter, head of operations, Europe, at Ørsted (L) and said Søren Karas, chief strategy & commercial officer at Esvagt. [Photo: Ørsted]