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Italy’s Eni dismisses role for H2, NH3 in shipping

  • Market: Hydrogen
  • 04/07/24

Italy's Eni does not see a role for hydrogen and derivatives such as ammonia in decarbonising shipping for now, with the company's focus firmly on biofuels, according to its chief operating officer of energy evolution Giuseppe Ricci.

"We must avoid investing in solutions such as ammonia and hydrogen" because of the persisting high costs for these fuels and the additional investments needed for ships and port infrastructure, Ricci said on Linkedin. This is the case especially because the feasibility of using such fuels to power ships is still uncertain, Ricci said.

Eni remains focused on developing solutions that have reached a degree of technological maturity and for which necessary infrastructure is available, Ricci said.

"Biofuels are the only solution ready to support decarbonisation today," he said, adding that they can reduce emissions by 80pc or more and can be used in existing and new ships.

While "technological neutrality" is important, efforts should "always be aimed at finding the most efficient and least expensive solutions," Ricci said.

Other companies are betting heavily on hydrogen derivatives for decarbonising shipping, including in the very short term.

Danish shipping giant AP Moller-Maersk launched its second large methanol-enabled container ship last month. It has ordered 18 methanol-enabled container ships, with the rest due to be delivered and commissioned by the end of next year, and has struck several preliminary offtake deals for e-methanol.

The EU's FuelEU maritime regulations provide a special incentive for use of renewable hydrogen derivatives and the bloc could introduce sub-targets for use of such fuels at a later stage.

Eni is investing in renewable hydrogen projects for applications in other sectors, including in a 10MW electrolysis plant to help reduce emissions from its oil refinery in Taranto in Italy's southern Apulia region. That said, a new hydrogen plant at its Livorno refinery will run on natural gas with CO2 capture technology to be added only at a later stage.


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