KSOE partnering with Shell and others to test hydrogen power on sea transportation
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Korea Shipbuilding & Offshore Engineering (KSOE), the holding company of Hyundai Heavy Industries, signed an agreement on Tuesday to form a consortium to test fuel cells for ship voyage with energy companies such as Shell Energy, Doosan Fuel Cell, HyAxiom, and DNV.
“We plan to develop next-generation eco-friendly ship technology and accelerate marine decarbonization with this contract,” said Ka Sam-hyun, the vice chairman of Korea Shipbuilding & Offshore.
The contract aims to install a 600 kilowatt (kW) solid oxide fuel cell (SOFC) on a 174,000 cubic meter liquefied natural gas (LNG) carrier built by Korea Shipbuilding & Offshore and operated by Shell Energy. The carrier will be tested on a trade route for a year starting 2025.
Hyundai Heavy Industries is in charge of building trial ships, designing and installing SOFCs for ships, and integrating ship systems. Shell Energy will manage trial ship orders and ship operations while Doosan Fuel Cell and HyAxiom will supply fuel cells for ships. DNV will conduct inspections of the structure and equipment of the trial ship.
The contract comes after the International Maritime Organization, a United Nations agency that oversees shipping, announced environmental regulations seeking to reduce greenhouse gas emissions by 50 percent compared to 2008 levels by 2050.
Ships that are powered by fuel cells or other environmental energy sources such as hydrogen and ammonia are likely to see an increase in demand to meet the more stringent environmental standards in the shipping industry.
“We expect this collaboration to significantly reduce carbon generated by ships,” said Shell Energy shipping chief Karrie Trauth.
Shares of Hyundai Heavy Industries traded down 4.92 percent at 116,000 won ($80.73) on Tuesday afternoon.
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