Ørsted revealed that the EU-Catalyst Partnership, comprising the European Commission, Breakthrough Energy Catalyst, and the European Investment Bank, is backing the FlagshipONE project.
FlagshipONE is a pioneering e-methanol plant situated in Örnsköldsvik, Sweden, designed to produce up to 55,000 tonnes of e-methanol annually. The project aims to demonstrate the viability of carbon-neutral shipping by enabling a >95% reduction in carbon emissions compared to conventional fossil fuels. This aligns with Ørsted’s commitment to addressing the maritime sector, responsible for approximately 3% of global carbon emissions.
Breakthrough Energy Catalyst, a unique collaboration model fostering emerging climate technologies, will acquire a 15% equity interest in FlagshipONE and provide a grant to propel the project. The support from Breakthrough Energy Catalyst is pivotal in advancing emerging climate technologies. Furthermore, the European Investment Bank (EIB) will contribute a quasi-equity investment through InvestEU, enhancing the financial backing for the project.
The FlagshipONE project is set to receive grants from Horizon Europe, emphasizing the EU’s commitment to fostering innovative solutions. The EU-Catalyst Partnership’s support aligns with sustainability goals, aiming to propel the development and scale-up of technologies crucial for achieving climate neutrality.
With global shipping responsible for 3% of carbon emissions, the success of FlagshipONE could be transformative for the industry. The project’s commitment to providing sustainable fuel through long-term offtake agreements establishes a new paradigm for fuel procurement in the shipping sector.