MONACO - Scorpio Tankers Inc . (NYSE:STNG), a global provider of marine transportation for petroleum products, has announced plans to integrate Fowe Eco Solutions Ltd.'s fuel emulsion systems across its fleet. The move, which involves a non-binding Memorandum of Understanding, aims to reduce fuel costs by at least 3% and cut carbon emissions by approximately 100,000 tons annually.
The proposed licensing agreement with Fowe, a company specializing in efficiency and emission-reducing technology for fossil fuel consumers, is anticipated to be finalized within the first quarter of 2024. Scorpio Tankers' Chairman and CEO, Emanuele Lauro, highlighted the financial and environmental benefits of the Fowe system, noting its minimal initial investment and the absence of installation downtime.
Fowe's CEO, Dean Mihalic, cited recent tests at the Alfa Laval Test and Training Centre that showed potential fuel savings of up to 6.3% for boilers and 8.7% for marine four-stroke engines. The technology is designed to create a permanent emulsion without additives, leading to cleaner combustion and significant reductions in greenhouse gas emissions.
Scorpio Tankers, which currently operates 111 product tankers, is set to sell one of its MR tankers within the same quarter. The company's connection with Fowe is further strengthened by Scorpio Holdings Limited's minority interest in the tech firm.
This move comes as part of Scorpio Tankers' strategy to enhance operational efficiency and address environmental concerns related to fuel consumption and emissions in maritime transport. The implementation of Fowe's Cavitech™ technology aligns with the company's broader objectives of reducing its environmental footprint while improving profitability.
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