DFDS is to invest in Danish startup company Mash Energy in a quest to develop a commercially viable biofuel.
The aim is to develop an alternative to fossil fuels and to test the new fuels on board a DFDS ferry.
“We are extremely pleased to add DFDS, a large ferry operator, to the ownership circle which will give opportunities to test the biofuel in engines and verify that our product is indeed of the quality and price necessary for it to succeed in the shipping industry,” Jakob Andersen, Mash Energy CEO, said.
Mash Energy produces biofuel from agricultural waste, currently from the nut processing by-products in Tanzania and India.
The biofuel is CO2 neutral and can be used in ships engines, the company claimed.
DFDS has invested DKK10 mill to be paid in three tranches, giving the Danish ferry operator a 24% ownership in Mash Energy following the final payment.
“The investment is a result of our ambition to take responsibility for the development of commercially viable biofuel that is a real alternative to fossil fuels and thereby reduce the carbon footprint of our ferries,” Sofie Hebeltoft, DFDS’ Head of CSR, said. “The aim is also to produce sufficient volume to make the biofuel commercially viable and identify other waste products that can be used to produce the biofuel.”