MPC partners with NCL and Elkem for new carbon neutral ships

MPC Container Ships (MPCCS) has announced that it is partnering with North Sea Container Line (NCL) and Elkem on an order for two 1,300 TEU ‘carbon neutral’ methanol powered container ships.

MPCCS has contracted the two carbon-neutral 1,300 TEU newbuildings at Chinese-based shipyard Taizhou Sanfu Ship Engineering.

The contract price of $39M per vessel is covered by the contracted cash flows from the 15-year time charter with NCL at an initial rate of EUR 16,300/day, before adjustments for inflation.

The vessels come with a dual fuel engine setup which enables operation on methanol as well as conventional MGO (Marine Gas Oil), allowing MPCCS to take a significant leap forward in its commitment to use carbon-neutral solutions in regional container trades.

The announcement signals move away from fossil fuel powered ships in the container shipping sector.

The project has been awarded 13.7 million NOK (Norwegian Krone) by Enova, owned by the Norwegian Ministry of Climate and Environment. The project also received 60 million NOK from the NOx fund, the Norwegian business sector’s fund to reduce emissions which equals $7.37M.