MOL Positions for CO2 Transport Investing in Specalized Shipping Line
Japan’s Mitsui O.S.K. Lines is making its first foray into the liquefied CO2 ocean transport business announcing that it has invested in Norway’s AS Larvik Shipping, a shipping company specializing in the transport of CO2. It marks the first move by a major shipping company into the emerging market tied to carbon capture as part of global environmental initiatives.
Liquefied CO2 ocean transport is expected to play a key role in carbon capture utilization and storage (CCUS) efforts. CCUS is drawing attention as a technology to collect and store CO2 or use it effectively, as part of programs to realize a low-carbon society. There are several CCUS projects around the world with the concept becoming a cornerstone of many of the proposed industrial decarbonization efforts. Experts believe that shipping can provide an effective means of connecting collection sites with either industrial uses for CO2 or offshore storage.
Larvik Shipping has operated industrial liquefied CO2 vessels in Europe for over 30 years. It is one of a limited number of companies in the world qualified to operate liquefied CO2 vessels for what is known as food grade CO2, which is used by hospitals, breweries, and in the food industry.
While the company says it will continue to focus on its operation of liquefied CO2 vessels for food grade CO2, working with MOL they also plan to explore growth opportunities. The companies said they will explore the adoption of larger vessels with an eye toward expanding both upstream and downstream and in the CCUS value chain.
MOL expects to leverage its accumulated expertise and technological capabilities as it looks to enter the liquefied CO2 ocean transport business. The combination of the companies’ expertise they believe will enable them to contribute to carbon dioxide capture utilization and storage (CCUS) projects around the world.