Finland-based sustainable stainless steel supplier Outokumpu is deepening its long-term transport collaboration with compatriot shipping company Langh Ship by taking into use new energy-efficient and low-emission vessels during 2024.
As informed, Outokumpu aims to have six vessels in use from Langh Ship during the year with a target to reduce Outokumpu’s annual carbon emissions from short-sea shipping by at least 25% by the end of 2024.
The collaboration is said to present a positive outcome from the opportunity aligned with tightening environmental regulations from both the EU and the International Maritime Organization (IMO) – allowing Outokumpu and Langh Ship to navigate the evolving regulatory landscape while pursuing sustainability targets.
“Outokumpu is committed to ambitious science-based climate targets in line with the 1.5°C ambition. We aim to decrease direct and indirect emissions as well as emissions from the supply chain by 42% per tonne of stainless steel we produce by 2030 compared to the 2016 baseline. At EU level, maritime transport represents 3 to 4% of the EU’s total CO2 emissions, so all solutions are heavily needed in this sector,” Jyrki Sandelin , Category Manager for transports at Outokumpu, said.
“The route between Tornio and Terneuzen is of utmost importance to us in transporting coils to the European market and in bringing recycled steel to our melt shop in Tornio. We are pleased to start utilizing three new vessels by Langh Ship and in addition, develop the three old ones by installing carbon capture units from Langh Tech to further support emission reduction goals.”
The first multipurpose vessel, Lovisa , has started its liner service for Outokumpu between Finland and the Netherlands. Lovisa will carry raw materials from Terneuzen in the Netherlands to Tornio in Finland, and semi-finished and finished steel products from Tornio back to Terneuzen.
The new and more versatile vessels can take more tonnages out from Outokumpu’s road traffic to sea and further reduce the company’s carbon footprint from transport.
As Tornio and the sea channel leading to it is covered by ice half of the year, Lovisa has been built for ice class 1A to endure the northern winter conditions.
“We are proud to have added a newbuilding to Langh Ship’s fleet. It has been a pleasure to work together with Outokumpu to plan the newbuilding series to be energy-efficient and with minimal emissions, and we are looking forward to having the two sister-vessel newbuildings in Outokumpu’s charter soon as well,” Laura Langh-Lagerlöf , Managing Director, Langh Ship, commented.
Lovisa is equipped with a dual-fuel main engine with an output of 4,500 kW. In the future, the vessel can be converted to run with various fossil-free fuels. As the initial fuel, it will use liquefied natural gas (LNG), which can be directly replaced by liquefied biogas (LBG).
Furthermore, the vessel is prepared for the installation of onshore power, which would make it emission-free during port calls. For handling ballast water, Lovisa is equipped with the ballast water management system from Langh Tech. The system eliminates the risk of harmful invasive species.
Langh Ship, part of Langh Companies, has ten multi-purpose and container vessels currently in its fleet. The company also has five additional newbuildings on order.