COSCO Extends Strategic Cooperation

[By: MAN Energy Solutions]

At a recent ceremony in China, MAN Energy Solutions signed a framework agreement with COSCO Shipping Heavy Industry Co., Ltd. (CHI) regarding their future cooperation on decarbonisation retrofit projects.

Michael Petersen – Senior Vice President, Head of PrimeServ Denmark – signed the agreement on behalf of MAN Energy Solutions, with Guo Zhiqiang – Deputy General Manager, CHI Commercial Headquarters – doing so for CHI.

Guo Zhiqiang said: “I am pleased to announce that CHI and MAN Energy Solutions, having served shared clients in their respective domains, are now forging a closer collaboration in vessel decarbonisation. Starting today, our integrated one-stop solutions will inject fresh impetus into the green transition of the global maritime industry.”

Petersen said: “This frame agreement facilitates MAN Energy Solutions’ partnership with CHI, one of the largest repair-yard groups in the world. The agreement means that we can join forces on many future projects to ensure the decarbonisation of the existing commercial fleet worldwide. Today, there are some 4,500 vessels globally with the potential to benefit from changing their current bunker fuel to more environmentally-friendly options. We look forward to working with CHI to deliver new decarbonisation solutions to the maritime industry.”

The new framework agreement provides for the retrofitting of existing ships to operation on new alternative fuels like methane, methanol and ammonia – all fuels that can be produced in a sustainable way through power-to-X processes. MAN Energy Solutions will provide advanced engine-retrofit technology and digital energy-efficiency solutions, while CHI will leverage its rich EPC (Engineering, Procurement, and Construction) experience in large-scale ship modification projects.

With five ship-repair yards, CHI has the capacity to repair and modify approximately 1,500 ships annually. This collaboration will integrate MAN PrimeServ’s cutting-edge, dual-fuel engine technology with CHI's repair and modification capabilities to decarbonise the merchant fleet globally.

MAN Energy Solutions views the new agreement as a natural development stemming from the companies’ strong relationship. In this respect, MAN Energy Solutions and CHI are already working together on two major projects for two world-leading container-ship owners.