Terntank Lands Charters for New Methanol and Wind-Ready Product Tankers

Neste, based in Finland, has partnered with Swedish company Terntank Rederi A/S to time-charter two advanced, low-emission methanol and wind-assisted tankers.

These state-of-the-art vessels are designed to transport various liquid cargoes, including renewable raw materials like waste and residual oils, to Neste's refineries. There, these materials will be converted into sustainable products, such as renewable diesel and sustainable aviation fuel (SAF), before being delivered to their final destinations.

Terntank placed the order for these vessels in November 2022. Designed by Kongsberg, the tankers will be built at the CMHI Jinling Shipyard in Yangzhou, China, with deliveries scheduled for late 2025 and mid-2026. Each ship can carry up to 15,000 tons of chemicals and features innovative elements like foldable suction sails and a dual-fuel engine capable of running on e-methanol. E-methanol, produced using Power-to-X technology, utilizes captured carbon and renewable energy sources.

The tankers will be ice-strengthened and equipped with Terntank's Hybrid Solution® electric power system, including a battery pack and onshore power connection, enabling them to operate on low-emission fuels like e-methanol in pursuit of net-zero discharge goals.

These vessels are expected to emit 40% less CO2 compared to previous models, with wind assistance further reducing emissions by an additional 8%. Their efficient design will achieve an Energy Efficiency Design Index (EEDI) between 16-40% below the 2025 Stage 3 requirements.

Terntank owner Tryggve Möller expressed enthusiasm for the collaboration, noting, "It’s great to have Neste back as a time-charter partner after ten years. We are proud to provide them with state-of-the-art tankers and innovative technologies to minimize the environmental impact of shipping and work towards carbon neutrality."

Lauri Helin, VP of Logistics and Operations at Neste, emphasized the partnership’s significance, stating that it reinforces Neste's commitment to sustainability and reducing emissions across its value chain. "With these vessels, we continue to decrease the emissions and environmental impacts of transportation. We are truly excited to collaborate with Terntank," she added.