Raw materials producer Perpetual Next has issued a tender for the future supply of biomethanol. The company currently operates several biomethanol production facilities at various stages of development, each with a production capacity of 220,000 tonnes per year. With this, Perpetual Next is positioning itself as a leading player in the global biomethanol market. The tender aims to secure the distribution of its biomethanol in partnership with suitable collaborators.
Global Demand
Methanol is a key building block for the chemical industry and is currently produced primarily from fossil feedstocks such as coal and natural gas. Global demand for methanol stands at approximately 100 million tonnes per year, the majority of which is used by the chemical industry for the production of everyday products like paints, plastics, and pharmaceuticals.
The demand for biomethanol is rising exponentially, as it is also emerging as a fuel of the future for the shipping industry. In July 2023, the first container ship powered by biomethanol set sail from South Korea. Since then, multiple such ships have entered development, with projections indicating that their number will exceed 200 by 2028.
Geographical Distribution
Perpetual Next operates biocarbon production facilities that can be directly integrated into the biomethanol production process. The company aims to secure a leading position in the rapidly expanding global biomethanol market. A critical factor in the tender process is ensuring robust geographical distribution.
To this end, the tender has been broadly circulated across the market, targeting international commodity traders, maritime companies, and end-users in the chemical industry. Initial agreements are expected to be signed by mid-2025. While global demand for biomethanol continues to grow, production has yet to catch up. To address this, Perpetual Next has secured locations for its biomethanol production facilities for at least 50 years, aligning with its focus on long-term partnerships through this tender.
Singapore
Perpetual Next has three biomethanol production facilities under development in Europe that are included in the tender and is also developing a facility outside Europe. This approach strengthens its position as a global leader in bio-based raw materials across multiple continents.
To secure a worldwide presence, the company is working with potential partners on a strategic expansion into Asia, with a particular focus on Singapore. As a critical hub for global shipping, Singapore has the potential to supply over one million tonnes of low-carbon methanol annually by 2030, meeting the rising demand for alternative bunkering solutions.
This initiative highlights Perpetual Next’s commitment to innovation and sustainability in the biomethanol market, paving the way for a greener future.
