Viridis Bulk Carriers granted public funding to build ammonia-powered vessels
Ammonia-powered shipping company Viridis Bulk Carriers and consortium partners are awarded NOK 13.75 million in development funding from the Norwegian Pilot-E program to realize a carbon free short sea bulk transportation service comprising cargo, ships- and fuel logistics in the project “FlexBulk – NH3 Power”.
“Flexbulk – NH3 Power” Consortium Partners
Grant support from Norwegian Government to drive decarbonisation of shipping
The Pilot-E program is a collaboration between the Norwegian Research Council, Innovation Norway and ENOVA, designed to support innovative maritime projects from idea stage to full scale realization. The grant includes support from each of the institutions. The value granted to Viridis Bulk Carriers does not yet include investment grant from ENOVA.
Viridis Bulk Carriers is a new joint venture solely focused on building and operating ammonia-powered short sea bulk vessels, optimally structured with a unique combination of expertise and resources technically, operationally and financially. The Viridis vessel platform is directly applicable for 3 000+ ships in Europe and indirectly applicable for most others shipping segments.
This award is a recognition of our vision and marks a milestone in our commitment to an environmentally friendly fleet renewal. Through our FlexBulk project, we will build the world's first short-sea fleet based on ammonia as fuel, and we are pleased that the Norwegian authorities are helping to promote innovative initiatives towards the green shift, says Espen Nordstrøm at Viridis Bulk Carriers / Navigare Logistics.
Close collaboration with Client Partners
Together with Client Partners Elkem, Yara, Franzefoss Minerals, Vestkorn, Saltimport, Viken AT Market and Biomar all cargo flows will be evaluated to find the best synergies to optimize the trading of the vessels. These seven charterers alone have an underlying short sea bulk cargo volume of 20 million tons across 5 000 + shipments per annum, equal to 100 ships in operation.
The project will realize commercial viability of zero emission solutions through business model innovation and increased ship utilization – based on a significant optimization effort.
The shift to a more sustainable future requires collaboration. Flexbulk is a unique example with broad commitment from 7 client partners who will achieve significant synergies between them. Combined with Viridis Bulk Carries, an innovative shipping company, they are positioned to lead the green shift in short sea shipping. Ocean Hyway Cluster is proud to be part of this project, fulfilling our mission to develop carbon-free hydrogen-based fuels for shipping, says Kristin Svardal, Innovation Manager at Ocean Hyway Cluster.
SINTEF Ocean is looking forward to finding new solutions for coastal bulk transport in the FlexBulk project. The combined know-how and expertise in the consortium provides an excellent platform for developing robust solutions for the market, says Anders Valland, Research Manager at SINTEF Ocean.
Ammonia-powered ships with excellent capabilities and range
The ships will be sufficiently flexible to handle varying types and volumes of cargo, in terms of both operational range and functional capabilities, while maintaining crew and societal safety at the level of conventional ships. Viridis Bulk Carriers expect to place the first shipbuilding orders within the end of 2022, with deliveries starting in 2024/25.
The application phase for the grants has been a close cooperation between Kongsberg Maritime’s Ship design and Energy departments and Viridis Bulk Carriers, where KONGSBERG has the capability to provide the technology and integrated solutions required for such project.
Viridis Bulk Carriers willingness to promote environmentally friendly, human, safe and efficient operation is entirely in line with KONGSBERG's goals and are incorporating sustainability into everything we do, says Egil Haugsdal, President at Kongsberg Maritime.
Ammonia-powered ships and fuel infrastructure being developed in parallel
The project “Flexbulk – NH3 Power” is closely related to the sister-project “Ammonia fuel bunkering network” project which received NOK 89 million from the Norwegian Green Platform program earlier this year. Together, the two projects remove the chicken-and-the egg dilemma for introducing new fuels.
The granted support will expedite technical and commercial development and be an enabler, catalyst and accelerator for introducing ammonia fuel in shipping. Global adoption of ammonia as marine fuel has a massive potential to reduce carbon emissions, since it is scalable to serve the entire deepsea shipping fleet.
Our strategy is to lead the green shift in shipping through commercial and technical innovation. We are certain that the Pilot-E grant from the Norwegian government will prove to be an important success factor for placing the first ammonia-powered cargo ships on the water, says André Risholm at Viridis Bulk Carriers / Amon Maritime
Viridis Bulk Carriers is a joint venture between Navigare Logistics, Amon Maritime and Mosvolds Rederi. The joint venture will develop, build and operate ammonia-powered bulk carriers, drawing on the expertise, networks and capabilities of each of the partners.
For further info:
General inquiries / Media
Karl Arthur Bræin
Tel: +47 9486 1565
Email: kab@amonmaritime.com
Commercial inquiries – Clients
Espen Nordstrøm
Tel: +47 9017 6049
Email: en@navigare.fo
Commercial inquiries - Technology manufacturers
Steinar Kostøl
Tel: +47 9700 5327
Email: sk@amonmaritime.com