Japan’s KHI delivers LPG-fuelled LPG, NH3 carrier
Japanese shipbuilder Kawasaki Heavy Industries (KHI) has delivered an LPG-fuelled LPG and ammonia carrier to domestic shipping firm Nippon Yusen Kaisha (NYK Line) and LPG importer Astomos.
KHI announced on 28 June that it built the 86,700m³ very large gas carrier (VLGC) Gas Amethyst at its Sakaide shipyard in Kagawa prefecture, and has delivered it to NYK Line and Astomos. NYK Line and Astomos will hold the vessel under a joint ownership.
The ship is equipped with a dual fuel engine, which can burn LPG and conventional marine fuel. The VLGC can reduce sulphur oxide emissions by more than 95pc and CO2 emissions by over 20pc by consuming LPG, as compared to burning heavy oil. The VLGC can also be retrofitted to consume ammonia as shipping fuel.
The vessel is designed to carry LPG and ammonia at the same time, given prospects of future demand growth of ammonia as a carbon neutral fuel.
Japanese companies have accelerated efforts in seeking alternative fuels for shipping to achieve decarbonisation. Shipping firm Mitsui OSK Line (Mol) conducted a joint study with domestic shipbuilders to develop ammonia-fuelled mid-sized ammonia and LPG carriers, targeting commissioning of the first vessel by 2026. Mitsubishi Shipbuilding plans to build two methanol-fuelled coastal roll-on roll-off vessels and deliver them within the April 2027-March 2028 fiscal year. Mol, KHI and their partners have been developing a hydrogen-fuelled multi-purpose ship. Shipbuilder Japan Marine United in May delivered an LNG-fuelled Capesize bulk carrier to domestic shipping firm Kawasaki Kisen Kaisha.
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Urea paper markets rise on India tender rumours
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Amsterdam, 21 June (Argus) — Urea derivatives have reversed their downwards trajectory and moved back in line with physical prices today, driven by rumours that the Indian government may float a purchase tender next week. Middle East urea swaps rose to $340-350/t fob basis bids and offers for July-August contracts, up from $325-335/t fob at the start of the week. Chinese domestic urea futures also jumped later in the day, with the July contract up by as much as 1.82pc on the 20 June close, before settling up by 0.79pc at Yn2,160/t. The August contract was up by 2.19pc late in the afternoon trading session, before falling sharply to close up by 0.95pc at Yn2,130/t. Rumours of a potential tender to buy in India, the largest global urea importer and second-largest consumption market, appear to be the key driver of the bullish sentiment in the paper markets, reversing the downwards trend throughout most of this week. The tender's timing, if confirmed, would be contrary to most expectations, given that there is plenty of urea availability in India, with inventories climbing to more than 11mn t at the end of May, buoyed by strong domestic production. And the monsoon rains so far this season have lagged the long-term average by 17pc. But a tender issuance would imply that the government expects a potential surge in demand in July-September. Urea prices at major fob origins jumped by 27-28pc from early May to mid-June, but the resumption of production in key supply-market Egypt, following a gas shortage, weighed on physical prices this week to 20 June, pressuring levels by $5-10/t in most markets. By Harry Minihan Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
US urges EU to delay deforestation regulation: Update
US urges EU to delay deforestation regulation: Update
Adds comment from an EU official in paragraph six London, 21 June (Argus) — The US government has urged the European Commission to delay the implementation of the EU's deforestation regulation (EUDR), which is due to come into force from 30 December. "We are deeply concerned with the remaining uncertainty and the short time frame to address the significant challenges for US producers to comply with the regulation," US authorities said in a 30 May letter seen by Argus that was signed by agriculture secretary Thomas Vilsack, commerce secretary Gina Raimondo and US trade representative Katherine Tai, and addressed to the commission's vice-president, Maros Sefcovic. The US authorities have together with "several stakeholders" identified four "critical challenges" for US producers to understand and comply with the EUDR: no final version of the EUDR information system for producers to submit the mandatory due diligence documentation has been established yet; no implementation guidance has been provided — with the traceability system expected to launch in November; many EU member states have not designated a competent authority to enforce the regulation; and finally, the EU has an interim decision to classify all countries as standard risk, regardless of forestry practices. Should these issues not be addressed before the EUDR starts being enforced, it "could have significant negative economic effects on both producers and consumers on both sides of the Atlantic", the letter said. "We therefore urge the EU Commission to delay the implementation of this regulation and subsequent enforcement of penalties" until the challenges have been addressed, it added. An EU official confirmed receipt of the US letter to Argus and said the commission would reply in due course. A number of EU member states had also urged the EU to revise the EUDR in March, although the EU environment commissioner said at the time that the EU was ready for implementation and that they did "not see any issues". The EUDR requires mandatory due diligence from operators and traders selling and importing cattle, cocoa, coffee, palm oil, soya, rubber and wood into the EU. Derivative products that contain, have been fed with or made using cattle, cocoa, coffee, oil palm, soya, rubber and wood — such as leather, chocolate and furniture as well as charcoal, printed paper products and certain palm oil derivatives — are also subject to the regulation. Firms must ensure that products sold in the EU have not caused deforestation or forest degradation. The law sets penalties for non-compliance, with a maximum fine of at least 4pc of the total annual EU turnover of the non-compliant operator or trader. The regulation requires geolocation data for proof of traceability, and does not accept the widely used mass-balance approach, which has often been cited by industries as one major challenge for implementation. The EUDR will establish a system to assess the risk for individual countries, but the US Department of Agriculture has previously said that even if the US were classified as a low-risk country, compliance would still be costly and challenging, and at least $8bn/yr of US agricultural exports to the EU would be affected. By Erisa Senerdem and Dafydd ab Iago Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
US urges EU to delay deforestation regulation
US urges EU to delay deforestation regulation
London, 21 June (Argus) — The US government has urged the European Commission to delay the implementation of the EU's deforestation regulation (EUDR), which is due to come into force from 30 December. "We are deeply concerned with the remaining uncertainty and the short time frame to address the significant challenges for US producers to comply with the regulation," US authorities said in a 30 May letter seen by Argus that was signed by agriculture secretary Thomas Vilsack, commerce secretary Gina Raimondo and US trade representative Katherine Tai, and addressed to the commission's vice-president, Maros Sefcovic. The US authorities have together with "several stakeholders" identified four "critical challenges" for US producers to understand and comply with the EUDR: no final version of the EUDR information system for producers to submit the mandatory due diligence documentation has been established yet; no implementation guidance has been provided — with the traceability system expected to launch in November; many EU member states have not designated a competent authority to enforce the regulation; and finally, the EU has an interim decision to classify all countries as standard risk, regardless of forestry practices. Should these issues not be addressed before the EUDR starts being enforced, it "could have significant negative economic effects on both producers and consumers on both sides of the Atlantic", the letter said. "We therefore urge the EU Commission to delay the implementation of this regulation and subsequent enforcement of penalties" until the challenges have been addressed, it added. The US authorities are understood to not have received a formal reply to the letter from the commission yet. A number of EU member states had also urged the EU to revise the EUDR in March, although the EU environment commissioner said at the time that the EU was ready for implementation and that they did "not see any issues". The EUDR requires mandatory due diligence from operators and traders selling and importing cattle, cocoa, coffee, palm oil, soya, rubber and wood into the EU. Derivative products that contain, have been fed with or made using cattle, cocoa, coffee, oil palm, soya, rubber and wood — such as leather, chocolate and furniture as well as charcoal, printed paper products and certain palm oil derivatives — are also subject to the regulation. Firms must ensure that products sold in the EU have not caused deforestation or forest degradation. The law sets penalties for non-compliance, with a maximum fine of at least 4pc of the total annual EU turnover of the non-compliant operator or trader. The regulation requires geolocation data for proof of traceability, and does not accept the widely used mass-balance approach, which has often been cited by industries as one major challenge for implementation. The EUDR will establish a system to assess the risk for individual countries, but the US Department of Agriculture has previously said that even if the US were classified as a low-risk country, compliance would still be costly and challenging, and at least $8bn/yr of US agricultural exports to the EU would be affected. By Erisa Senerdem Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
NFL India issues another DAP buy tender
NFL India issues another DAP buy tender
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