Australian mining giant Fortescue has signed an agreement with Belgian shipping and cleantech group CMB.TECH to charter up to 12 ammonia-capable Newcastlemax bulk carriers, in one of the largest commercial commitments yet to ammonia as a marine fuel.
The agreement covers 12 Newcastlemax dry bulk vessels, each with a carrying capacity of 210,000 deadweight tons, which will be operated by CMB.TECH’s dry bulk division, Bocimar. The deal is aimed at accelerating the decarbonization of bulk shipping while helping establish ammonia as a viable zero-emissions fuel for the maritime industry.
Under the agreement, up to three vessels will be delivered with dual-fuel ammonia engines and are expected to enter service by the end of 2026. The remaining nine ships will be delivered as ammonia-ready, allowing them to be converted to run on ammonia as fuel at a later date.
If powered by green ammonia, Fortescue estimates the fleet could reduce carbon dioxide emissions by about 250,000 metric tons annually compared to vessels burning conventional marine fuels.
“The shipping industry doesn’t need more talk. It needs action,” said Katie Charuga, Fortescue’s Director of Integrated Operations.
“Green ammonia is one of the clearest pathways to reducing carbon dioxide emissions from shipping, and these vessels represent a practical step towards that future. By backing new technologies and working with partners who are prepared to lead, we can help drive the uptake of green ammonia in shipping,” she said.
Charuga added that Fortescue’s experience operating its demonstration vessel, the Fortescue Green Pioneer, has already proven ammonia can be used safely and effectively at sea.
“The next challenge is scaling the use of green ammonia,” she said. “By investing in ammonia-capable vessels and working with partners who share our ambition, we are helping create demand for green ammonia and supporting the technologies needed to reduce emissions from global shipping.”
For CMB.TECH, the deal builds on a longstanding relationship with Fortescue. Chief Executive Alexander Saverys described the agreement as a signal that the maritime industry can decarbonize at scale despite growing skepticism over the pace of the energy transition.
“This agreement marks an important step in showcasing ammonia as a viable marine fuel and advancing the transition to zero-emission shipping,” Saverys said. “It also sends a powerful signal to the market, particularly at a time when there is doubt about the decarbonisation of shipping: our sector can decarbonise at scale.”
The charter agreement represents another milestone in Fortescue’s push to commercialize ammonia as a marine fuel. In March 2024, the company completed the world’s first use of ammonia as a marine fuel in the Port of Singapore aboard the Fortescue Green Pioneer, a converted offshore support vessel that underwent a seven-week fuel trial in partnership with the Maritime and Port Authority of Singapore.
During the trial, the vessel operated using a combination of ammonia and diesel after two of its four engines were retrofitted to run on the fuel. The ship’s fuel systems and engine conversion received approval from DNV, which awarded the vessel its “Gas Fueled Ammonia” notation, marking a significant technical milestone for ammonia-powered shipping.
Ammonia is attracting growing interest across the maritime industry because it contains no carbon and, when produced using renewable energy, can offer a near-zero-emissions fuel pathway. However, challenges remain around fuel availability, cost, safety standards, and the development of global bunkering infrastructure.
