AD Ports inks deal for green methanol facility in Egypt

AD Ports Group, Transmar, and Orascom Construction have signed a

storage and export facility.

This facility will aim to supply low-carbon fuel for maritime transport,

presenting an opportunity to establish clean alternative energy storage

solutions globally, according to the Group.

Green methanol is a synthetic fuel produced renewably and without polluting

emissions, and can be produced from green hydrogen. This chemical compound can

be used as a low-carbon liquid fuel and is a promising alternative to fossil

fuels in areas where decarbonisation is a major challenge.

The addition of a facility in this area will provide bunkering solutions

for those mainliners who have ordered green methanol-powered vessels.

AD Ports anticipates that more than 100 methanol-fuelled ships will be in

service from 2026, representing around a million tonnes of additional methanol

demand, and according to Drewry and Clarksons, the methanol-fuelled vessel fleet

will grow from 2 per cent to 14 per cent of the global fleet based on orders

already placed.

Captain Ammar Mubarak Al Shaiba, CEO – Maritime & Shipping Cluster, AD

Ports Group, said: “By signing this MoU with Orascom Construction who have vast

international experience in bulk liquid terminals for Methanol storage, and

Transmar, who have decades of expertise in this region and within terminal

operations, AD Ports Group and its subsidiaries are taking a significant step

towards the sustainable future of energy.

“This initiative not only aligns with the UAE’s decarbonisation goals but

also accelerates the energy transition in shipping, positioning us at the

forefront of the green hydrogen revolution and enabling us to contribute to

global environmental stewardship and economic diversification.”

Last month, AD Ports Group secured a 20-year concession to manage and

expand the multifunctional port in Angola after signing agreements with

Unicargas and Multiparques.

More recently, AD Ports Group signed a Memorandum of Understanding (MoU)

with the Chittagong Port Authority to discuss the future development and

management of the Multi-Purpose Port in Chittagong, Bangladesh.