Ocean Network Express Green Methanol Strategy: 30 Dual-Fuel Vessels, 1 ‘Methanol-Ready’ Ship, and Zero Fuel Deals Signed (2025)

Green Methanol Fleet Strategy, Ocean Network Express’s 30 Vessel Hardware-First Approach

In 2025, Ocean Network Express adopted a hardware-first strategy for its green methanol transition, prioritizing the acquisition of future-proofed vessels over securing immediate fuel offtake agreements. This cautious approach involves building a fleet that is capable of running on methanol while deferring large-scale fuel commitments, a clear strategic divergence from competitors who moved to lock in supply contracts during the same period.

ONE’s Cautious “Methanol-Ready” Approach

The company’s strategy materialized through a two-pronged fleet development plan. The first phase focuses on transitional assets. This was demonstrated on June 17, 2025, with the naming of the “ONE Singapore, ” a new container ship explicitly designated as “methanol-ready, ” meaning it is designed for a future conversion to methanol power. The second, more definitive phase involves firm orders for vessels that are dual-fuel from the start. This approach allows Ocean Network Express (ONE) to manage capital expenditure and avoid being tied to current high fuel prices while still signaling a clear commitment to decarbonization.

• On June 17, 2025, ONE named its new “methanol-ready” vessel, the “ONE Singapore, ” as part of a 32-vessel expansion program, signaling an iterative investment in methanol-capable hardware.
• In 2025, ONE confirmed its long-term strategy includes introducing 20 to 30 new vessels that will be built with methanol dual-fuel capabilities from the start, with deliveries expected from 2027 onward.
• This hardware-first approach allows ONE to build flexibility into its fleet, preparing for the energy transition without committing to fuel sources that currently face supply constraints and high costs, with e-methanol estimated at $47 per gigajoule (GJ) in 2025.

Competitors Secure Fuel Supply Chains

In contrast to ONE’s vessel-centric plan, key competitors spent 2025 actively securing green methanol supply chains. By June 2025, Maersk already had 13 methanol-capable ships in operation with firm plans to increase its fleet to 19 by the end of the year. Similarly, Hapag-Lloyd announced a significant offtake agreement for 250, 000 tonnes of green methanol annually. These moves highlight a differing strategic priority among major carriers, with companies like Maersk, Hyundai Merchant Marine (HMM), and Evergreen Marine moving to solve the fuel availability problem concurrently with fleet renewal, putting pressure on ONE to articulate its future fuel procurement strategy.

• By June 2025, rival Maersk was already operating a significant methanol-capable fleet and expanding it, demonstrating a strategy of simultaneous fleet and fuel development.
• Hapag-Lloyd secured a major fuel supply contract for 250, 000 tonnes per year, directly addressing the fuel availability risk that ONE’s strategy defers.
• The actions of competitors create a strategic risk for ONE; while ONE builds a capable fleet, others are securing the limited initial supply of green methanol, potentially creating a supply squeeze when ONE’s dual-fuel vessels are delivered.

$5.85 B Market Growth, Ocean Network Express Green Methanol Fleet Investment

ONE’s 2025 investments in methanol-capable vessels are positioned to capitalize on a market segment experiencing explosive growth, far outpacing the broader maritime industry. The company’s strategic capital allocation into future-proofed hardware, backed by a strong financial position, is a direct response to the global Green Methanol Ships Market being valued at $5.85 billion in 2025 with a projected compound annual growth rate (CAGR) of 28.3% through 2033.

ONE’s Future Fleet Capital Plan

The company’s investment strategy in 2025 was defined by tangible steps toward fleet modernization rather than speculative research. The plan to add 20 to 30 dedicated methanol dual-fuel vessels and the launch of “methanol-ready” ships like the “ONE Singapore” represent significant, long-term capital commitments. This spending is supported by robust financial health, as evidenced by a 15.33% increase in the company’s net profit margin in 2025, providing a solid foundation for its ambitious “Green Strategy.”

Market Context for Green Methanol Ships

The financial case for ONE’s investment is reinforced by powerful market dynamics. The 28.3% CAGR of the green methanol ships market dwarfs the growth rates for the general shipbuilding market (4.4% CAGR) and the conventional bunker fuel market (6.5% CAGR). This differential highlights the specific, high-growth niche that ONE is targeting. Furthermore, a 2025 analysis showed methanol vessels have a significant capital expenditure advantage over other green fuels like LNG, with relative shipbuilding costs estimated at 105 units for methanol versus 210 for LNG, making it a more capital-efficient choice for newbuilds.

Table: Ocean Network Express Green Methanol Strategic Investments and Market Context (2025)

Green Methanol Market Set to Surge 17-fold by 2035
The green methanol market is projected to skyrocket from $2.64 billion in 2025 to $44.66 billion by 2035, representing a remarkable ~33.3% CAGR. This exponential growth underscores the accelerating global shift towards sustainable marine fuels and industrial feedstock.

Decarbonization Imperatives Driving Massive Green Methanol Adoption
This market trajectory highlights green methanol as a pivotal decarbonization lever, especially for the maritime sector. Companies investing early in green methanol supply chains, production, and dual-fuel vessels will capture significant market share and meet escalating regulatory and customer demands for sustainable operations.

(Source: Precedence Research — via Green Methanol Market Report 2025-2030 [200 Pages & 230 Tables])

Singapore Hub, Ocean Network Express Global Fleet Renewal Strategy

While ONE’s corporate strategy is anchored in Singapore, its fleet renewal decisions in 2025 have immediate global implications, driven by the operational necessity of serving international trade routes and preparing for the emergence of “Green Shipping Corridors.” The naming of the “ONE Singapore” underscores the company’s home base, but the vessel’s future deployment and that of its dual-fuel successors will be dictated by port readiness and regulatory frameworks worldwide.

Singapore as ONE’s Strategic Center

Singapore serves as the central node for ONE’s strategic planning, influencing its corporate identity and long-term vision. The naming of a flagship vessel after the city-state in June 2025 reinforces this connection. Major strategic decisions, including the “Green Strategy” and the commitment to 20-30 methanol dual-fuel ships, originate from this hub, which is itself a leader in maritime decarbonization initiatives. This geographic focus provides ONE with proximity to progressive regulatory development and a robust maritime services ecosystem.

Global Impact via Green Shipping Corridors

The true geographic footprint of ONE’s methanol strategy extends to the global shipping lanes where its future fleet will operate. The viability of these new vessels depends on the development of critical infrastructure, particularly along proposed Green Shipping Corridors. Reports in 2025 from organizations like the OECD and UMAS emphasized that these corridors are essential to de-risk investments in new fuels by creating predictable bunkering availability and demand. The success of ONE’s strategy is therefore tied to the successful establishment of these corridors in key regions like the Pacific Northwest and Asia-Europe trade routes, where fuel infrastructure remains a significant challenge.

Ocean Network Express ‘Ready’ vs ‘Dual-Fuel’ Technology Adoption (2025)

In 2025, ONE’s technology roadmap for methanol adoption showed a calculated, phased implementation, distinguishing between “methanol-ready” and fully “dual-fuel” vessels. This tiered approach allows the company to manage technological risk and capital outlay, progressively integrating methanol propulsion systems as the fuel’s supply chain and cost structure mature. This contrasts with the strategies of peers like Orient Overseas Container Line, which moved directly to ordering dual-fuel ships.

The “Methanol-Ready” Transitional Step

The “methanol-ready” designation, as applied to the “ONE Singapore, ” represents a cautious first step. These vessels are built with the structural and design considerations necessary for a future retrofit to run on methanol, but they are delivered with conventional engines. This approach minimizes upfront capital costs, which are still lower for methanol newbuilds compared to LNG, while creating a future-proofed asset. It reflects a strategic calculation that the technology and infrastructure for methanol bunkering are not yet mature enough to warrant a full, immediate commitment across the entire newbuild fleet.

Dual-Fuel Engines as the End Goal

The plan for 20-30 new vessels to be built as fully methanol dual-fuel capable from 2027 onwards represents the company’s end-state technological goal. These ships will be equipped with engines that can operate on either green methanol or conventional marine fuels, providing maximum operational flexibility. This commitment is underpinned by long-term economic projections made in 2025, which forecast the production cost of renewable methanol could decrease by $250 to $630 per metric ton by 2050. By timing its fleet delivery for the later part of the decade, ONE is positioning itself to benefit from this expected cost reduction and technology maturation.

SWOT Analysis, Ocean Network Express Green Methanol Initiatives (2025)

Ocean Network Express’s 2025 green methanol strategy solidifies its commitment to decarbonization through significant fleet investment but exposes a near-term vulnerability related to fuel procurement. The company’s strengths lie in its financial capacity and clear hardware renewal plan. However, its deliberate deferral of fuel offtake agreements presents a threat as competitors secure early supply, creating a critical strategic tension that will define its market position in the coming years.

Table: SWOT Analysis for Ocean Network Express Green Methanol Initiatives for 2025: Key Projects, Strategies and Market Impact

Ocean Network Express Next Move: Securing Fuel for 30 New Vessels

The most critical variable for ONE’s green methanol strategy is its ability to secure cost-effective fuel supply ahead of its new dual-fuel fleet deliveries starting in 2027. The company has built a strong foundation with its vessel investment plan, but the success of this hardware-first approach now hinges entirely on executing a parallel fuel procurement strategy. The key signal to watch for is the announcement of ONE’s first major green methanol offtake agreement.

• If ONE announces significant offtake agreements or partnerships with methanol producers in 2026, this will signal a crucial de-risking of its strategy. Watch for joint ventures or long-term contracts that align with its vessel delivery schedule.
• If ONE continues to focus solely on vessel orders without announcing fuel deals, this may indicate a strategic bet on future spot market availability or a judgment that current long-term contract prices are too high. This path carries higher risk.
• Watch for ONE’s active participation in specific Green Shipping Corridor projects. This would provide early operational experience with methanol bunkering and could serve as a pathway to securing reliable fuel in key trade lanes.

The questions your competitors are already asking

This report covers one angle of Ocean Network Express’s green methanol strategy. The questions that matter most depend on your work.

• Green methanol producers supply contracts
• Methanol bunkering infrastructure development status
• Cost difference methanol-ready vs dual-fuel newbuild ships
• Maersk green methanol fuel partners

This report does not answer these. Enki Brief Pro does.

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