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Monjasa and FAMOIL expand biofuels logistics

Published by , Editorial Assistant
Dry Bulk,

On 22 February 2024, a global marine fuels company, Monjasa, supplied a total of 510 t of B30 marine biofuels to the Cargill operated dry bulk carrier Infinity Sky in the Port of Callao, Peru.

This operation marked the first ISCC-certified biofuels supply on the Pacific Coast of South America and the establishment of a scalable 2nd generation marine biofuels supply chain. This new and sustainable setup is developed in collaboration with Fuel & Marine Oil Corp. (FAMOIL) and is capable of delivering a total of 12 000 - 15 000 t monthly.

Preparing for the changing marine fuels mix

This new Peruvian biofuels option is a natural extension of Monjasa’s existing biofuels operations in Cartagena, Colombia and forms part of the company’s overall preparations for the changing marine fuels mix.

Although marine biofuels markets are still emerging slowly, Monjasa is currently in dialogue with several shipowners and operators to arrange both spot and contract-based supplies in Peru and the traditionally busy Port of Callao. An area which has also recently become a popular bunker call-only option for vessels rerouting south due to the ongoing Panama Canal transit restrictions.

Jonas Bruslund, Trading Director Americas stated: “We are excited to keep challenging the status quo and offer new solutions to shipowners who are increasingly looking for ways to decarbonise their vessels. Based on our daily conversations with customers, we expect to see more shipowners moving from biofuels trial runs to more regular supplies – and making these fuels more broadly available is the first step of that development. We are all on a steep learning curve and we would like to thank our partners on this first supply operation, FAMOIL and Cargill, who have contributed significantly to reaching this milestone.”

Customised biofuel blends

This new low-carbon fuels option in Peru is also another example of global marine fuels suppliers such as Monjasa engaging further into new partnerships across the supply chain.

As such, this new 2nd generation biofuels supply chain is a result of the combined efforts by FAMOIL and Monjasa to offer a full fledged setup. As shipowners’ biofuels preferences differ, this new collaboration accommodates both VLSFO and HSFO-based biofuel blends as well as availability of pure biodiesel B100.

On the occasion of this first supply operation, the B30 biofuel blend consisted of 30% fatty acid methyl ester (FAME) and 70% very low sulfur fuel oil (VLSFO).

ISCC-Certified feedstock and operation

As a ISCC-certified partner, Monjasa allowed all involved parties to trace feedstock used for the production of biofuels from the point of origin to the end consumer. In addition, Monjasa has measured the greenhouse gas (GHG) emissions from each phase of the supply chain and makes this data available to shipowners as well.

Looking ahead, Monjasa has aimed to establish a string of biofuels supply locations across the region to support the shipping industry in meeting IMO’s 2050 climate change commitments.

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Decarbonisation news South America dry bulk news