Australia's ABEL Energy has announced it is looking to accelerate the potential construction of a manufacturing plant at the Cleveland Bay Industrial Park in the Townsville State Development Area to produce 400,000 tonnes per annum of green methanol marine fuel.
In a statement issued on Thursday (14 March), ABEL Energy said that it has completed a Maritime and Port Authority of Singapore (MPA) tender for the supply of green methanol and it was ‘pleased to hear the recent news from Hon PM Albanese that a Green and Digital Shipping Corridor is being established, which will help decarbonise and digitalise shipping routes between Singapore and Australia’.
As previously reported, the two countries formalised their cooperation on establishing a Green and Digital Shipping Corridor by signing a Memorandum of Understanding (MoU) on 5 March 2024.
ABEL Energy said that it is ‘seeking to export green methanol through the Port of Townsville and provide green methanol marine bunkering facilities on Port land’. The company added that this would also include supporting infrastructure such as storage tanks, loading and unloading facilities, and pipelines.
ABEL Energy’s current flagship project is Bell Bay in Tasmania. Looking ahead, an MoU has been signed between Port of Melbourne, Maersk, ANL, Svitzer, Stolthaven Terminals, HAMR Energy and ABEL Energy to explore the commercial feasibility of establishing a green methanol storage and bunkering hub at the Port of Melbourne. They are now looking to enter a similar arrangement with the Port of Townsville.
Michael van Baarle, the CEO of ABEL Energy, said: ‘The Townsville project would seek to replicate the company’s flagship project, Bell Bay Powerfuels in Tasmania. ABEL Energy’s green methanol production process uses 100 per cent renewable power, fresh water and biomass residues. Our production site in Bell Bay – and the one planned for Townsville – is clean in operation with virtually zero greenhouse gas emissions, water emissions or waste discharge.
‘Townsville poses an ideal location for our second green methanol production facility due to the availability of wind and solar energy, along with the large amount of readily available biomass in the forms of sugar cane waste, invasive pest species prickly acacia and woodchip.'
ABEL Energy said that it is finalising a feasibility assessment for the Townsville Project. A final investment decision is expected by the end of 2027, with operations commencing in 2029.
