Skarv Shipping bags timber transport deal for its ammonia-powered newbuild

Norwegian forestry companies Viken AT Market and AT Skog have partnered with Skarv Shipping Solutions to transport timber using zero-emission vessels. This initiative marks a significant step towards sustainable shipping practices in the timber industry. The agreement will see Viken AT Market, which ships around 1 million tons of timber annually, transition part of its transport operations to Skarv Shipping’s new ammonia-ready cargo ship. This vessel is set to begin operations in the summer of 2027.

Innovative Vessel Design and Operations

The new vessel, designed by Skarv Shipping with support from Grieg Shipbrokers, will have a deadweight tonnage of 7,800 and will operate as a self-unloader. It will be chartered to Arriva Shipping, which will oversee the commercial operations for Viken AT Market. The ship is engineered to sail efficiently at low speeds, which is crucial for maintaining economic viability despite the higher costs associated with ammonia fuel compared to traditional options.

Equipped with a 160-cubic meter ammonia tank, the vessel will also utilize marine gas oil (MGO) as pilot fuel. This setup will enable it to complete a 14-day round trip from Norway to the continent. The construction of the ship will be handled by Chinese Huanghai Shipbuilding, with delivery anticipated in the second quarter of 2027. This vessel will be an upgraded version of sister ships already ordered for commercial operations by Peak CSL Group.

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Jan Øivind Svardal, CEO of Skarv Shipping, emphasized the significance of this ship, stating, “This is our first ship capable of sailing on ammonia from day one, allowing it to operate with minimal greenhouse gas emissions.” The vessel will also feature an electric propulsion system that utilizes batteries and has access to shore power. Safety is a top priority, with advanced safety systems and comprehensive crew training planned to address the risks associated with using ammonia as fuel.

Skarv Shipping Solutions, established in 2022, aims to promote sustainable coastal shipping in Northern Europe. The joint venture currently has four multipurpose ships under construction in China, expected to enter commercial operation by the fourth quarter of 2025.