COSCO has signed a preliminary agreement with Australia’s Fortescue Metals Group (FMG.AX) to collaborate on developing a green fuel supply chain.
As reported by Reuters, this memorandum of understanding focuses on constructing and deploying green ammonia-fueled vessels, either owned by COSCO or co-owned by both companies, to transport iron ore and other minerals, thereby minimizing carbon emissions in the China-Australia iron ore shipping corridor.
COSCO Shipping, based in Shanghai, expressed its commitment to fostering cooperation with global partners to promote sustainable development in the shipping sector.
Recently, Fortescue executives visited China to engage with potential partners for joint projects, as noted by CEO Dino Otranto. Additionally, Fortescue has previously conducted the world’s first trial using ammonia as a shipping fuel in Singapore.
