15 July 2013 23:54 [Source: ICIS news]
HOUSTON (ICIS)--Methanex plans to buy engines that run on methanol for its ships, the engine-builder said on Monday.
MAN Diesel & Turbo (MAN Diesel) said it has signed an agreement with Methanex for the delivery of four methanol-fuelled engines to the Canada-based producer’s Waterfront Shipping subsidiary in the summer of 2015.
The engines will run on a blend of 95% methanol and 5% diesel fuel, according to a release from MAN Diesel.
Methanex is the world’s largest methanol supplier, and the company’s Waterfront Shipping operates the largest methanol ocean tanker fleet in the world, with 18 vessels.
Jone Hognestad, president of Waterfront Shipping, said in the release that methanol is a sulphur-free fuel with environmental and clean burning benefits.
Proponents of methanol as a gasoline-substitute for engines push its price advantage, with the US methanol spot barge cost now around 140 cents/gal (€1.08/gal), less than half the price of gasoline.
But proponents also point out that using the petrochemical as an engine fuel will require burning about twice as much methanol as gasoline to cover the same distance.
($1 = €0.77)
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