Retrofits complete on bulk carrier quartet aiming for 99% GHG emissions reduction

An ambitious bulk carrier retrofit project announced in June 2024 is now complete.

The project, involving shipowner BAM Shipping, financier Atal Solutions and shipyard Damen has integrated eight emissions-reduction technologies on board the four vessels involved, aiming for a result that will see the ships consume at least 20% less fuel and reduce greenhouse gas (GHG) emissions by up to 99%.

Atal Solutions founder and chief executive Edwin Sieswerda said, “We are very pleased with the preliminary results of this project, and are looking forward to the class verification in the coming weeks. At that point, we will gain a clear picture of how significant the fuel savings resulting from these measures have been. Judging by the performance of the vessels operating already, we expect a positive result. This is in no small part due to Damen’s approach. On a number of occasions during the retrofit we approached Damen with new ideas and suggestions. Each time, they listened to what we had to say and found a way to make it happen."

According to Damen, initially, the plan was to install solutions including the Damen air cavity system marine lubrication system, the Damen Triton IoT solution, low friction anti-fouling paint, variable frequency drives, shore power connectivity, LED lamps, a wake equalising pre- and post-swirl duct, CO2 capture systems and DEX QM lubrication technology.

"Collectively, the project partners anticipated these measures would reduce fuel consumption by 20-25%, with a reduction in emissions of around 90%. However, during the project, the scope was broadened yet further with the inclusion of four more efficiency-boosting solutions."

The next additions were the inclusion of fuel additives, oil lubricant additives, a Hempel propeller coating, and use of nano EFX, a spray solution applied to the engine’s air intake, ionising humidity and ensuring optimal fuel combustion, minimising consumption, emissions and carbon deposits.

In the coming weeks, the vessels will be verified by classification society RINA, at which point the total volume of fuel savings will be confirmed.

However, two of the vessels have already been in operation following the initial retrofit measures and show signs of meeting their anticipated efficiency goals. The fuel savings will additionally reduce the vessels’ opex considerably.

Shipyard Damen said it believes the reduced opex of the vessels will help yield a rapid return on investment and anticipates the overhaul may increase the vessels’ lifecycle by a further 10 years, and comply with new emissions regulations such as the Energy Efficiency Existing Ship Index (EEXI) and Carbon Intensity Indicator (CII).

Financier Atal Solutions arranged for US$124M in funding for this project, allocating supplier credit of US$105M requiring vessel owners to provide 15% equity, with a 10-year repayment period at competitive interest rates.

On announcing the project, Mr Sieswerda said, "We look at impactful solutions – easy and fast to implement, based on proven technologies – and avoid idealistic solutions. If we believe in a project, we make it happen and don’t stop until we do. Currently, we are working on four vessels, but we anticipate many similar projects will follow upon the successful implementation of this initiative.” 

“Additionally, we expect increased support from the financial sector as the positive impact of our integrated solution becomes evident. Atal’s ongoing collaboration with Damen and other industry players helps them set a new standard for fuel-saving and emissions-reduction solutions.”

Damen business development manager Rutger van Dam called the financing structure of the project a “breakthrough” that enables advancements through a commercially viable model. “Our mutual goal is to accelerate the transition to more sustainable shipping while ensuring the business case and revenue generation remain competitive,” he said.