Babcock to supply ammonia fuel system for Trafigura’s newbuilds

July 3, 2025, by Aida Čučuk

Babcock’s LGE business has been awarded a contract to supply its ecoFGSS-FLEX marine ammonia fuel supply system for four new medium gas carriers being built for commodity trading company Trafigura at Hyundai Mipo Dockyard (HMD).

According to Babcock, this new technology is compatible with existing ship systems and has been developed to comply with established safety and environmental standards. It reportedly enables the use of ammonia as a propulsion fuel, with a focus on safety, efficiency, and sustainability.

Neale Campbell, Managing Director of Babcock’s LGE business, said: “Our focus remains on delivering future-ready, sustainable solutions that help our customers navigate the transition to cleaner energy. Ammonia has the potential to be a game-changer in the marine industry’s drive towards decarbonisation and sustainability. We’re proud to be leading this transformation, and this contract reflects both the strength of our approach and the confidence in our innovative technology to meet evolving industry demands.”

Andrea Olivi, Global Head of Shipping at Trafigura, commented: “We’re proud to be working with Babcock’s LGE business to help make ammonia a practical, safe and cleaner fuel for the shipping industry. Their experience and technology are key to making this possible. As one of the world’s largest vessel charterers, we’re always looking for ways to cut emissions – and using dual-fuel ships gives us the flexibility to adopt low-emission options like ammonia as they become more widely available.”

To note, in early 2025, classification society Lloyd’s Register (LR) approved the ammonia dual-fuel system designed for medium gas carriers being built for Trafigura. The vessels, designed to transport both liquefied petroleum gas (LPG) and ammonia, are scheduled for deliveries in 2028.

LR approves ammonia dual-fuel system design for Trafigura’s newbuilds

Business Developments & Projects

It is worth mentioning that LGE is also working with other shipowners to integrate this new technology onto newbuildings, as well as some retrofit projects. Deployment of the system is scheduled to begin in 2027, with full operational capability expected by the end of the year.