NYK’s LNG to Ammonia Fuel Tugboat Plan Pushes Forward

Tugboat at sunset
Environment Corporate News
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Updated Published

An agreement between NYK and Keihin Dock Co., Ltd., a member of the NYK Group, has been reached for the modification of a tugboat to ammonia-fuel standards. By a projected completion year of 2024, Sakigake, a tugboat now powered by liquefied natural gas (LNG) and run in Tokyo Bay by NYK Group business Shin-Nippon Kaiyosha Corporation, would have been converted to run on ammonia fuel. 

Ammonia is seen as having potential as a next-generation fuel that might lessen the impact of shipping on global warming since it does not release carbon dioxide (CO2) when it is burned.

Additionally, it is claimed that by using CO2-free hydrogen as a raw material for ammonia, zero emissions may be achieved throughout the fuel life cycle. It will be able to considerably lower greenhouse gas (GHG) emissions during journeys by using ammonia as a fuel for ships.

As a result, NYK and IHI Power Systems Co., Ltd. (IPS) are moving forward with research and development with the goal of quick societal adoption.

Using ammonia as fuel posed a number of design issues throughout the development phase, but the companies overcame them without altering the size of the traditional tugboat, and in July 2022 they were granted Approval in Principle (AiP) by Nippon Kaiji Kyokai (ClassNK).

The development of ships with locally made ammonia-fueled engines was started in October 2021 by NYK and IPS as part of the Green Innovation Fund Project of the New Energy and Industrial Technology Development Organization (NEDO). With the goal of completing demonstration operations in the port of Yokohama in fiscal 2024, NYK will start modification in fiscal 2023.

With the introduction of its new "NYK GREEN EARTH" brand, NYK is highlighting its ESG activities to produce new value for low-carbon and decarbonization through green enterprises like the creation of next-generation fuels, including ammonia and hydrogen. In order to actively support ESG management, the NYK Group will push new value creation as a provider of sustainable solutions.