Japan's MOL finalises pact to acquire 40% stake in Waterfront Shipping

Japanese shipping company Mitsui OSK Lines (MOL) has finalised the $145mn deal to acquire a 40% stake in Waterfront Shipping (WFS), a unit of Canadian methanol producer Methanex Corp, the companies said on October 28. The deal was first announced in July.

“Through this transaction, Methanex as the world-leading methanol producer, WFS as the world’s leading methanol shipper, and MOL as the provider of multimodal shipping services will strengthen a relationship established over 30 years and advance the commercialization of methanol, including renewable methanol, as a viable marine fuel,” they said. The closing of the agreement is subject to all customary conditions being met, including regulatory approval. 

Methanol as a marine fuel can reduce sulphur oxides by up to 99%, particulate matter emissions by up to 95%, and nitrogen oxides by up to 80% compared to conventional marine fuels, the companies added.

Tokyo-based MOL is one of the largest shipping companies in the world. Its fleet includes dry cargo ships, LNG carriers, tankers, container ships, and container terminals. Its LNG tanker fleet includes the Arc-7 ice-breaking tankers used for the Yamal LNG project in Russia's far north.