A landmark achievement was reached this week on one of the world’s most important commodity trade routes when Mineral Europa left Port Hedland in Western Australia following a successful ship-to-ship green ammonia bunker trial and loading of iron ore.  

Mineral Europa was delivered by a Chinese shipyard in early October and completed the world’s first commercial ship-to-ship green ammonia bunkering operation off the port of Zhoushan, China, before setting course towards Port Hedland.  

The ammonia-powered voyage, laden with a commercial shipment of iron ore, was made possible by the significant investments of Pilbara Ports Authority, Fortescue, and CMB.TECH. This milestone demonstrates the power of collaboration across the full value chain—from mining and shipping to ports, fuel suppliers, and engine technology providers.  

Port Hedland is one of several ports operated by Pilbara Ports. If the transport of iron ore from the Pilbara were powered solely by low-carbon ammonia, those emissions would be cut by around 94%, from 9.9 million tonnes CO2 equivalent per year to less than 0.6 million tonnes. 

The achievement is a pivotal step in decarbonising the Australia-East Asia iron ore trade route, made even more impressive by occurring significantly earlier than the 2028 deployment target set out in the corridor’s 2023 feasibility study.  

Needs policy support 

To move beyond this demonstration and scale up zero- or near-zero-emission-fuelled shipping, the industry needs policies that help to address the remaining cost gap between these fuels and their conventional counterparts. While leading companies are starting to invest in e-fuels, such as clean ammonia in this case, broader adoption requires mechanisms that de-risk investments and help e-fuels reach commercial scale.  

“To avoid losing momentum, policy support is critical for industry members. This could be measures that can help spur clean fuel demand, reduce the fuel cost gap, and help ensure the build-up and availability of necessary fuel and port infrastructure,” says Jesse Fahnestock, director of decarbonisation at the Global Maritime Forum.  

Examples include contracts for difference, double-auction mechanisms, and capital grants for port and bunkering infrastructure, according to Fahnestock.  

The Global Maritime Forum has convened the Australia-East Asia iron ore green corridor initiative since 2022. Pilbara Ports Authority and Fortescue are among the 14 members involved in the initiative.  

Source: Global Maritime Forum

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