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Indian bio-methanol project targets bunkering demand

10 May 2026

Indian conglomerate Thermax plans to develop a bio-methanol production plant at Deendayal Port (Kandla) in Gujarat, India, targeting future bunkering demand. The facility is initially expected to produce around 5 mt/day of bio-methanol and has a planned annual production capacity of up to 18,000 mt.

Indian conglomerate Thermax has unveiled plans to establish a pioneering bio-methanol production facility at Deendayal Port in Kandla, Gujarat, marking a significant shift toward sustainable maritime energy in India. The plant is designed to initiate production at 5 mt/day, scaling toward an annual capacity of 18,000 mt to meet the burgeoning bunkering demand for green fuels. This strategic development aligns with global efforts to decarbonize the shipping industry by providing cleaner alternatives to traditional heavy fuel oil for merchant vessels.

The adoption of bio-methanol as a marine fuel necessitates strict adherence to the IGF Code (International Code of Safety for Ships using Gases or other Low-flashpoint Fuels), which governs the design and operation of vessels utilizing low-flashpoint fuels. Furthermore, compliance with MARPOL Annex VI, specifically regarding the reduction of sulfur and carbon emissions, remains paramount for fleet operators. Classification societies will require rigorous safety management systems and specialized bunkering protocols to ensure that fuel transfer operations at Deendayal Port meet international safety standards for chemical handling and fire prevention.

Second engineers and engine ratings will face the most direct operational changes as vessels transition to methanol-ready propulsion systems. These personnel must undergo specialized training in fuel system maintenance, leak detection, and emergency response procedures specific to alcohol-based fuels. Understanding the chemical properties of bio-methanol and the associated risks of toxicity and flammability will become a core competency for engine room teams tasked with managing dual-fuel engines and ensuring regulatory compliance during bunkering operations.

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