Denmark inaugurated the world’s first commercial-scale e-methanol facility on Tuesday, marking a major step in the decarbonization of the shipping industry.
Located in Kasso, southern Denmark, the €150 million ($167 million) plant is jointly owned by Denmark’s European Energy and Japan’s Mitsui, and will produce 42,000 metric tons, or 53 million litres, of e-methanol annually.
Global shipping giant Maersk will be a major buyer, using the low-emission fuel to power its fleet of dual-fuel container vessels. The plant’s full output is enough to operate one large 16,000-container ship sailing between Asia and Europe each year.
Maersk currently runs 13 such vessels and has 13 more on order. Its smaller dual-fuel ship, Laura Maersk, requires about 3,600 tons of e-methanol annually and was scheduled to refuel near Kasso on Tuesday.
E-methanol, produced using renewable energy and CO₂ captured from biogas plants and waste incineration, offers a cleaner alternative to traditional methanol made from natural gas and coal. It is one of the fuels being considered by the shipping industry as it works toward the International Maritime Organization’s 2050 net-zero emissions goal.
Beyond maritime use, the plant’s e-methanol will also serve Danish companies including Novo Nordisk and Lego, who plan to use it in the production of injection pens and plastic bricks, respectively. Additionally, waste heat from the plant will provide heating for around 3,300 local households.
Despite the breakthrough, Maersk acknowledged that the high cost of sustainable fuel remains a challenge. The company is investing in green fuel research and efficiency technologies to reduce costs over time.
