Shipping giant EPS backs SulNOx with investment and adoption
Source: Press Release
Eastern Pacific Shipping Pte Ltd (EPS), one of the world’s largest privately-owned shipping companies, is acquiring a significant stake in SulNOx Group plc (SulNOx), a UK-listed green decarbonisation pioneer. This investment is part of a broader landmark agreement, which also includes a major product supply contract between the two companies.
Following an extensive eight-month successful evaluation spanning multiple vessels including container ships, tankers, bulkers and vehicle carriers, EPS will initially adopt SulNOxEcoTM Fuel Conditioner on a minimum of 30 vessels out of its 300-strong fleet, while concurrently committing to introduce SulNOx to some of the world’s largest shipping companies. The evaluation demonstrated significant fuel savings of up to 5% with Heavy Sulphur Fuel Oil (HSFO) and also B30 biofuel, in line with typical average fuel savings observed with other marine clients and fuel types.
EPS’s affiliate, EPS Ventures (EPSV) will invest in a stake of up to 8.5% in the company. A further 3.3% of SulNOx could also be issued to EPSV, linked to successful introductions by EPS to large shipping customers.
The fleet adoption highlights EPS’s stated mission to eliminate 10 million tonnes of CO2 over the life of its fleet. EPS manages vessels across four core segments: containers, dry bulk, tankers and vehicle carriers. Aggregate cargo carrying capacity is 32 million dwt. It has established itself as an industry leader in driving the Net Zero agenda, investing $2.6bn across 15 decarbonisation projects.
SulNOx Group works across all major industries to lower fuel costs, help reduce both greenhouse gas and black carbon emissions and meet sustainability targets. Its organic, biodegradable fuel conditioners improve combustion, making fuel burn cleanly and more efficiently. Increased lubricity and detergency deliver mechanical benefits, including reduced carbon deposits and cleaner components.
The company has made very significant progress in shipping, signing major clients operating bulkers, tankers, containers and cruise ships in Asia and Europe.
EPS’s partnership with SulNOx follows, within weeks, an investment by US-based shipbroker and consulting group McQuilling Partners Inc. Both new partners join the growing list of international marine industry heavy hitters and former senior commodity traders backing SulNOx after a nine-fold share price hike in 18 months.
Commenting on the EPS transaction, Ben Richardson, CEO of SulNOx, said:
“This partnership with EPS marks a transformative milestone for SulNOx. We are thrilled to see some of the industry’s largest operators adopting our unique product and contributing to our shared success. Collaborating with a partner of EPS’s scale and reputation significantly expands our revenue potential. With its strong commitment to reducing emissions and leading sustainability efforts through enhanced efficiency, EPS embodies the values we stand for. We are delighted and proud to be part of its important mission.”
Cyril Ducau, Chief Executive Officer of EPS commented:
“This partnership with SulNOx is a significant step towards achieving EPS's long-term sustainability objectives. By enhancing our operational efficiency and reinforcing our commitment to meeting global environmental standards, this collaboration further solidifies our position as a proactive leader in sustainable shipping practices.”