Cargill joins global trade association for methanol industry
Cargill joins global trade association for methanol industry - Offshore Energy
Cargill joins global trade association for methanol industry
Swiss freight-trading organization Cargill Ocean Transportation has become the newest member of the Methanol Institute, a global trade association for the methanol industry.
Founded in 1956 in Geneva, Cargill Ocean Transportation charters around 650 vessels worldwide.
According to Rakhi Rastogi, Shipping and Energy Analytics Lead for Cargill’s ocean transportation business, the company’s commitment to zero-carbon shipping is reflected through its membership in the Methanol Institute.
“Through our engagement with MI, we aim to stay at the forefront of methanol developments, leverage the expertise of the MI’s partner members, and lend our expertise to relevant MI committees,” Rastogi said.
MI CEO Greg Dolan noted: “As demonstrated by their methanol dual-fuel vessel orders, Cargill is a first mover in the freight-trading segment. As Cargill tacks to methanol, MI looks forward to working with the shipping leader on their low carbon journey.”
At the beginning of this year, Cargill ordered its first two methanol dual-fuel Kamsarmax bulk carriers with Mitsui & Co. The vessels will be built by Japanese shipbuilder Tsuinesihi Shipbuilding and are set for delivery at the end of 2025 and in the first quarter of 2026, respectively.
Two more methanol dual-fuel Kamsarmax bulk carriers were announced in April 2023 and a fifth in June 2023, all three with Denmark’s J Lauritzen.
Cargill said the five new vessels will be the world’s first methanol-fueled bulkers to enter commercial service and will help the company and its customers achieve their Scope 3 climate goals.
Related Knowledge Center: Climate economics
Climate change is now a driver of the world’s economy. The impact is profound:
- Catastrophic weather events — hurricanes, floods, droughts, high temperatures — are more frequent and more extreme. The cost can be measured in both the initial damage caused and the longer-term impact on the economy.
- Vulnerable communities are increasing climate-related investments, hardening infrastructure and taking other protective measures.
- Investment in carbon capture and storage technologies is increasingly rapidly.
- Governments are making investments and crafting regulations to reduce emissions of carbon dioxide and other greenhouse gases.
On top of all of this is the cost of uncertainty. As the Fourth National Climate Assessment, released in 2018 by the U.S. Global Change Research Program, says, “The assumption that current and future climate conditions will resemble the recent past is no longer valid.”