Trafigura Orders Four Dual-Fuel Ammonia-Powered Vessels

Commodities trader Trafigura has placed an order to HD Hyundai Mipo Dockyard for the construction of four Medium Gas Carriers (MGC) that will be capable of using low-carbon ammonia as a propulsion fuel.

The vessels will carry LPG or ammonia will be built at HD Hyundai Mipo Dockyard in Ulsan, South Korea.

The first ship will be delivered in 2027. Each vessel, when delivered, will be equipped with a dual-fuel low-carbon ammonia engine, supporting Trafigura’s commitment to reduce the carbon intensity of its own shipping fleet by 25% by 2030.

“We are excited to embark together with HD Hyundai Mipo on this ambitious project which supports our commitments to decarbonising shipping and will help us to develop the global low-carbon ammonia bunkering infrastructure needed for zero-carbon shipping to become a reality,” said Andrea Olivi, Head of Wet Freight for Trafigura.

Trafigura is one of the world’s largest charterers of vessels, responsible for more than 5,000 voyages a year with around 400 ships currently under management.

The company is one of the few operators to have tested a full range of alternative shipping fuels including LNG, methanol, LPG and biofuels on its owned and chartered vessels. It has co-sponsored the development of a two-stroke engine by MAN Energy Solutions that can run on green ammonia and is also investing in on-board carbon capture technology.