State-owned chemical firm Assam Petro-Chemicals has partnered with India’s Deendayal Port Authority (DPA) to develop a 150 mt/day e-methanol plant at Kandla port to support bunkering demand.

Under the agreement, DPA will provide pipeline connectivity, storage facilities and fuel-handling infrastructure, while Assam Petro-Chemicals will set up the e-methanol production facility within the port area, establishing an integrated fuel supply chain.

E-methanol, or electro-methanol, is produced by combining green hydrogen and captured carbon dioxide powered by renewable electricity.

“It is considered one of the most viable alternative fuels for shipping, heavy industry and chemical manufacturing, sectors where direct electrification remains challenging,” India’s Ministry of Ports, Shipping and Waterways said.

The project involves an investment of INR 12 billion (roughly $133 million). However, neither party has disclosed further details, including the construction start date or the expected commissioning timeline.

Once operational, the facility is expected to position Kandla as a major green fuel supply hub along international maritime trade routes, including for vessels operating on the Singapore–Rotterdam corridor.
This agreement “represents not merely a commercial partnership, but a strategic national initiative aligned with India’s long-term vision for clean energy, green shipping and sustainable economic growth,” India’s Union Minister of Ports, Shipping & Waterways, Sarbananda Sonowal, said.
Source: ENGINE, https://www.engine.online/news