Danish shipping firm AP Moller-Maersk's C2X affiliate has secured 47 hectares of land at the Port of Huelva in southwest Spain for construction of a 1mn t/yr green methanol production facility.
C2X's project to produce green methanol in Huelva follows an agreement between Maersk and the Spanish government in November 2022 to explore the development of future marine fuels.
The Huelva project is still at an initial stage but if successful could account for half of the potential 2mn t/yr of green methanol production capacity the company is looking to install in Spain.
"Securing suitable land is an important step in our ambition to become a leading large-scale methanol producer in Spain," according to C2X's chief executive Brian Davis.
Earlier this month, C2X signed a framework agreement with the Egyptian government for the production of up to 1mn t/y of green methanol production in the north African country.
The company's proposed facility in Huelva, the second busiest port on Spain's south coast, would be close to Spanish integrated Cepsa's planned green hydrogen valley, where it is seeking partners to help develop a planned 1GW of green hydrogen production at the port by 2030.
Maersk launched the first of 25 planned green methanol-powered ships it has had on its order books in Denmar early in September.