Mon 8 May 2017, 13:25 GMT

Maersk pulls out of MSAR fuel trial


Idea of using MSAR alongside scrubbers scrapped as Maersk plumps for compliant fuel from 2020.



Quadrise Fuels International plc (QFI), the emerging supplier of MSAR emulsion technology and fuel, has confirmed that Maersk Line has formally notified supply partner Cepsa that it intends to let the operational trial agreement between the parties expire once the MSAR fuel currently on board its test vessel has been consumed.

Maersk is said to have formally informed Cepsa that it intends to only use compliant fuel (less than 0.5 percent sulphur) from 2020 and that the use of MSAR alongside exhaust gas scrubbers will not be considered as an option for Maersk going forward.

In a statement, Quadrise explained that the marine MSAR supplied to date has been higher than 0.5% sulphur, but that an option for the future would be for the firm to work with refiners or suppliers to produce a Marine MSAR with a sulphur content lower than the 0.5 percent limit.

'This would be dependent on availability of low-sulphur residual streams and further work is being carried out to assess the viability of this solution," Quadrise noted.

Remaining positive, Quadrise said that the MSAR operational trial with Maersk had been "successful" - as reaffirmed by the shipping giant - and that a positive interim inspection and 'letter of no objection' (LONO) by Wartsila "should" confirm this.

Quadrise added that it was continuing to work with Maersk to progress the release of the interim inspection report and an interim LONO for MSAR use and to clarify Maersk's previously confirmed intention to work collaboratively with QFI to progress the commercialisation of MSAR to the wider global marine industry.

On the issue of industry demand for exhaust gas scrubber systems with non-compliant fuel, Quadrise said: "QFI continues to believe that the industry will ultimately move to the use of scrubbers and high sulphur fuel as the most economic compliance option and that Marine MSAR will enable operators to obtain additional economic and environmental advantages over the use of heavy fuel oil."

Quadrise added that it would now be focusing its efforts on other operators, "though this will have a longer lead-time than the originally envisioned plans with Maersk".

Mike Kirk, Executive Chairman, said: "Whilst Maersk's decision is disappointing, we are working hard to ensure that we can gain the benefit from the positive results of the trial to date. We are actively engaged with Maersk to progress the interim inspection report and interim LONO.

"The underlying opportunity remains substantial and many in the marine fuel and refining industries see the use of high sulphur fuel and scrubbers as the most economic option for compliance with the 2020 IMO sulphur regulations.

"It is also important to note that this decision by Maersk is enabling both QFI and Cepsa to further progress plans for the use of the spare MSAR production capacity for new customers in the marine and power markets."


Vessels at sea. Dual-fuel container ship and vehicle carrier fleet reaches 400 vessels  

World Shipping Council reports 83% increase in operational dual-fuel vessels during 2025.

Photograph of a blue cargo vessel. Lloyd’s Register publishes first guidance notes for onboard hydrogen generation systems  

Classification society addresses regulatory gap as shipowners explore producing hydrogen from alternative fuels onboard.

Erasmusbrug bridge in Rotterdam. Rotterdam bunker industry faces upheaval as new regulations drive up costs and shift volumes  

Red III compliance costs and a mass flow meter mandate are creating operational challenges across the ARA region.

Neil Chapman, VPS. VPS appoints Neil Chapman as managing director for the Americas  

Maritime services company names industry veteran to lead regional operations and client partnerships.

Oil refinery infrastructure. Maritime industry shifts towards LNG as alternative fuel enthusiasm stalls  

Geopolitical concerns drive shipping leaders to prioritise established fuels over newer alternatives, survey finds.

OceanScore logo. OceanScore reaches $5m annual recurring revenue as emissions compliance demand grows  

Hamburg-based firm supports compliance workflows for more than 2,500 vessels as regulations enter operational phases.

Jiangnan Shipyard LNG carrier construction contract signing. Jiangnan Shipyard secures order for four LNG carriers from Shell  

Chinese yard to build 175,000-cbm vessels for delivery between 2028 and 2029.

Varsha Sudheer, Island Oil. Island Oil appoints Varsha Sudheer as senior trader in Dubai  

Marine fuel supplier strengthens trading platform with new hire at recently established UAE hub.

Bitoil Group logo. Bitoil Group seeks bunker trader for Dubai operations  

Dubai-based company is recruiting for a senior bunker trader role to manage global fuel sales and procurement.

Hiring concept with puzzle pieces and a magnifying glass. Uni-Fuels seeks bunker traders for new London operation  

Singapore-headquartered firm advertises position as part of UK expansion.