Babcock’s LGE Business Secures Contract for Marine Ammonia Fuel System to Advance Shipping Decarbonisation

Babcock’s LGE business has secured a contract to supply its newly developed ammonia fuel supply system, ecoFGSS FLEX®, marking a significant development in efforts to decarbonise the global shipping industry. The system is designed to enable the safe, efficient and environmentally responsible use of ammonia as a marine fuel, providing a low-emission alternative to conventional fossil fuels.

This proprietary technology will be deployed on four Medium Gas Carriers currently under construction for commodity trading company Trafigura at Hyundai Mipo Dockyard in South Korea. Developed by LGE’s in-house engineering team, the system is engineered to integrate with existing onboard systems while meeting stringent safety and environmental requirements.

The initiative represents a notable move towards reducing emissions from international shipping, which currently accounts for about three percent of global greenhouse gas output. By facilitating the use of ammonia, a fuel with zero carbon emissions at the point of use, LGE’s solution aligns with the International Maritime Organization’s goals for cutting greenhouse gas emissions in the maritime sector.

Neale Campbell, Managing Director of Babcock’s LGE business, stated that the company remains committed to delivering forward-looking technologies to support cleaner energy transitions. He highlighted the promise of ammonia as a key fuel in the shipping industry’s decarbonisation efforts and expressed pride in contributing to the sector’s transformation through innovation.

Andrea Olivi, Global Head of Shipping at Trafigura, underscored the importance of collaboration and technology in enabling safer and more practical uses of alternative marine fuels. He noted that dual-fuel vessels provide the flexibility to adopt cleaner options like ammonia as they become more accessible across the market.

In addition to the collaboration with Trafigura, LGE is also in discussions with multiple shipowners to integrate ecoFGSS FLEX® into both newbuild and retrofit projects.

Deployment of the ammonia fuel system is expected to begin in 2027, with full operational readiness anticipated by the end of that year.