German Energy Company Mabanaft Expands Partnership for E-Methanol Offtake
German energy company Mabanaft and e-fuels producer HIF Global have signed a heads of agreement (HoA) for the planned offtake of e-methanol for the shipping industry.
The agreement outlines the starting point to advance negotiations of a definitive sales and purchase agreement involving an offtake of up to 100,000 tons per annum of e-methanol produced at HIF Global’s facilities from renewable electricity and captured CO2.
The deal expands an initial memorandum of understanding (MoU) signed by Mabanft and HIF Global in 2021 to include production facilities in Uruguay and the United States in addition to Chile.
Advancing the Energy Transition
Volker Ebeling, Senior Vice President New Energy, Supply & Infrastructure at Mabanaft, expressed confidence in the potential of e-methanol as a key enabler of the energy transition. He stated, “We strongly believe in the potential of e-methanol as a key enabler of the energy transition, and we are proud to deepen our partnership with HIF Global.”
“This agreement is a further step forward in providing our shipping customers with a viable, alternative fuel. In parallel we are now in the process of making methanol storage available at our Hamburg tank terminal and possibly further global locations. Our combined efforts help bridge the gap towards a broader adoption of methanol in the maritime sector.”
Leading the E-Fuels Industry
Diego Fettweis, Chief Commercial Officer of HIF Global, highlighted the significance of the partnership in breaking into the shipping market with e-fuels. He stated, “Today we take another step in leading the e-Fuels industry, joining forces to break into a key market: shipping. Drop-in fuels can make a relevant difference ensuring a secure energy supply while leveraging existing infrastructure.”
In 2024, HIF Global’s e-fuel portfolio received a significant boost with a $36 million investment from Japan Organization for Metals and Energy Security (JOGMEC), facilitated through Idemitsu Efuels America Corp. This investment marked JOGMEC’s first equity investment in e-fuel projects.