The ship Mineral Europa, owned by CMB.TECH and chartered by Fortescue, departed from Hedland Port in Australia bound for China. This vessel is loaded with green ammonia fuel and is carrying a cargo of iron ore.
A Historic Achievement in Global Trade
The departure of Mineral Europa from Hedland Port marks a historic achievement on one of the most important trade routes for global goods. After successfully completing a green ammonia ship-to-ship loading test at Zhoushan Port in China, the ship headed towards Hedland Port.
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Significant Reduction in Carbon Emissions
This journey using green ammonia, which includes a commercial cargo of iron ore, is the result of substantial investments from Pilbara Ports Authority, Fortescue, and CMB.TECH. If iron ore transport from Pilbara were solely supplied by low-carbon ammonia, carbon emissions would be reduced by approximately 94%, from 9.9 million tons of CO2 equivalent per year to less than 0.6 million tons.
This success represents a significant step towards carbon reduction in the iron trade route between Australia and East Asia, and is particularly noteworthy as it occurs ahead of the 2028 target set in the 2023 feasibility study.
The Need for Policy Support
To move beyond this demonstration and scale up transport using zero or near-zero carbon fuels, the industry requires policies that help reduce the remaining cost gap between these fuels and conventional fuels. While leading companies are investing in electric fuels, broader adoption requires mechanisms that make investments less risky and assist electric fuels in reaching commercial scale.
According to Jesse Fahnestock, Carbon Reduction Director at the Global Maritime Forum, "Policy support for industry members is crucial to avoid losing momentum. This could include measures that help demand for clean fuel and ensure that the necessary infrastructure for fuel and ports is available."
The Global Maritime Forum has been hosting the Green Iron Corridor initiative between Australia and East Asia since 2022. Pilbara Ports Authority and Fortescue are among the 14 members participating in this initiative.
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