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AET orders first ammonia dual-fuel aframaxes

The Asian tanker shipping company AET has ordered two Aframax tankers with ammonia dual-fuel propulsion from a Chinese shipyard.

The Singapore-based shipping company AET and its parent company Petco had already signed a memorandum of understanding with the future charterer of the ships in February 2023. [ds_preview]

Malaysia International Shipping Corporation Berhad (MISC), the shipping arm of Malaysian oil company Petronas, has now signed time charter agreements with Petco Trading Labuan Company and its tanker offshoot AET for what are said to be the world’s first two ammonia dual-fuel Aframax vessels. The ships will use ammonia as a cleaner alternative to conventional fuel in international transportation.

Meanwhile, AET signed the shipbuilding contracts for these two vessels with Dalian Shipbuilding Industry (DSIC), a subsidiary of the Chinese shipyard group China State Shipbuilding Corporation (CSSC).

The signing of these contracts represents a significant step forward in the partners’ efforts to make ammonia a viable fuel for the maritime industry, it said

“Today’s signing of the time charter and shipbuilding contracts is clear evidence that we are realizing our goals. These partnerships fit seamlessly into our shared vision of driving meaningful and purposeful change globally towards a net zero future. By signing these agreements, we are not only driving sustainable practices but also accelerating our journey towards MISC Group’s 2030 goals,” said Rajalingam Subramaniam, President and CEO of MISC Group.

Zahid Osman, President and CEO of AET, said, “With today’s signing of the shipbuilding contracts with DSIC and the time charter contracts with PTLCL for the world’s first two ammonia dual-fuel Aframax vessels, we are taking concrete action to deliver on our commitment as an industry leader and drive the decarbonisation of the shipping sector. The introduction of these two vessels will reduce the overall emissions of our operations while delivering more energy to the world.”

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Caption: A 3D model of two of the world's first ammonia dual-fuel Aframax vessels built by Dalian Shipbuilding and owned by AET