Swiss methanol producer and tanker owner Proman is forming a new strategic partnership to move into biofuels.
The group has agreed a deal with Nasdaq-listed US company Origin Materials.
The partnership will explore the production and global distribution of low-carbon biofuels.
Proman chief executive David Cassidy said certified lower-carbon fuels and feedstocks will play a vital role in enabling the transition to a more sustainable world.
“From the production of the materials and packaging that we all use every day, to the fuels that power our global supply chains and transport these products around the world, biofuels have huge potential to drive down emissions,” he added.
“By combining Proman’s production expertise and extensive distribution network with Origin’s patented technology platform, we will explore new ways to create the building blocks for reduced environmental impact across our everyday lives,” Cassidy said.
Origin expects to produce bio-based fuels using a technology platform that turns carbon found in sustainable wood residues into useful products.
Origin co-CEO Rich Riley said: “Biofuel is a rapidly growing market. Low-carbon-intensity biofuels made from wood waste reflect the future of biofuels as the industry moves aggressively towards decarbonisation.”
“Over the long-term, we see the potential for biomass-derived, low-carbon-intensity fuels to be used in marine and other transportation fuels, industrial applications, heat and power generation, and more,” he added.
Origin is headquartered in West Sacramento.
Proman and Swedish joint venture partner Stena Bulk have ordered six methanol-fuelled 50,000-dwt vessels in China.
The first four are in operation — three owned by the joint venture and one by Proman — and the final two are due at the end of this year and the start of 2024, for Proman’s account.
