AD Ports Group, Masdar, Advario, and CMA CGM have signed a collaboration agreement to explore the development of an e-methanol bunkering and export facility at Khalifa Port and the Khalifa Economic Zones Abu Dhabi (KEZAD).
The project seeks to connect future commercial e-methanol production with maritime off-takers, notably CMA CGM, which has committed to operating more than 150 low-carbon capable vessels by 2029. It follows earlier agreements between the parties, including a 2023 memorandum of understanding (MoU) between AD Ports and Masdar (the UAE’s state-owned renewable energy company) to explore the launch of a green hydrogen hub in KEZAD, as well as a 2024 supply partnership between Masdar and CMA CGM to evaluate the long-term provision of green fuels.
By aligning with the Abu Dhabi Low Carbon Hydrogen Policy and the UAE’s National Hydrogen Strategy, which targets 1.4 million tonnes of local hydrogen production annually by 2031 and 15 million tonnes by 2050, this collaboration looks to position the UAE as a key logistics and production centre for alternative maritime fuels.
Saif Al Mazrouei, CEO of AD Ports Group’s Ports Cluster, commented on the agreement: ‘The development of an e-methanol bunkering and export facility in Khalifa Port will not only support the growth of the shipping industry, but also contribute to the reduction of carbon emissions and the promotion of clean energy sources.’
Masdar has highlighted the strategic importance of green hydrogen derivatives in reducing emissions from hard-to-abate sectors: ‘E-methanol has the potential to revolutionise the shipping sector by offering a viable pathway to significantly cut emissions,’ said Dr Faye Al Hersh, Head of Green Hydrogen Business Development (UAE) at Masdar. ‘By collaborating with AD Ports Group, Advario and CMA CGM, we are strengthening the UAE’s position as a leader in sustainable innovation and making meaningful strides towards a cleaner, greener future.’
For infrastructure provider Advario, the agreement is a strategic decision to expand into the UAE’s emerging new energy market. ‘This partnership not only strengthens our position in the UAE’s chemicals and new energy sectors,’ said Advario CEO Bas Verkooijen, ‘but it also underlines our commitment to working alongside our customers and partners to accelerate the decarbonisation of critical industries’.
CMA CGM’s involvement evidences the increasing shipowner demand for scalable green fuel infrastructure. The agreement also reinforces bilateral ties between France and the UAE under the framework of their High-Level Business Council, with the project expected to support both countries’ industrial decarbonisation and trade agendas. While the facility remains in an exploratory stage, its success would significantly bolster the UAE’s ambitions to become a regional leader in low-carbon fuel logistics and position Khalifa Port as a hub in the emerging global e-methanol trade.
