Lotte Chemical Precision-HMM Collaborate on Ammonia Maritime Transport

Lotte Fine Chemical and HMM have joined hands to cooperate on ammonia maritime transportation.

On the 24th, the two companies signed a Memorandum of Understanding (MOU) on "Ammonia Maritime Transportation and Ammonia·Methanol Bunkering (Ship Fuel Supply) for Carbon Neutrality" at Lotte Fine Chemical headquarters in Samseong-dong, Gangnam-gu, Seoul.

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After signing a consortium MOU for green ammonia transportation and bunkering in 2021, they decided to explore concrete cooperation plans as HMM's introduction of eco-friendly ships and the expansion of ammonia demand for power plants and ship fuel became more visible.

Lotte Fine Chemical will proactively establish bunkering services supplying ammonia and methanol as fuel to eco-friendly ships planned to be introduced by HMM, utilizing Asia's largest ammonia distribution infrastructure, and will promote stable fuel supply by leveraging its global network.

Last month, Lotte Fine Chemical signed an MOU with the Dutch company OCI Global for joint use of ammonia storage infrastructure in Europe, the Middle East, and the Americas, which is also an extension of building a global bunkering service. HMM will be responsible for maritime transportation of ammonia secured by Lotte Fine Chemical, supply ammonia transport vessels, and provide ship operation and management services.

Ammonia is attracting attention as an eco-friendly energy source in the carbon-neutral era because it does not emit carbon when combusted.

Kim Yong-seok, CEO of Lotte Fine Chemical, said, "It is meaningful to proactively establish ammonia and methanol bunkering services in line with HMM's plan to introduce ammonia and methanol propulsion ships," adding, "We will seize the opportunity to expand the ammonia market in earnest through cooperation with carbon-neutral leading companies like HMM."

Kim Kyung-bae, CEO of HMM, said, "We are focusing the company's full capabilities on eco-friendly businesses for carbon neutrality," and added, "We will strive to transport and secure eco-friendly fuels through proactive business cooperation."

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