Nuclear energy is emerging as a potential game-changer for the maritime shipping industry, which currently relies heavily on fossil fuels. With global shipping responsible for nearly 3% of greenhouse gas emissions, there’s a pressing need to explore cleaner energy alternatives. And the integration of nuclear power into the maritime shipping industry is gaining momentum as a promising solution to achieve zero-emission shipping.

Danish shipping giant Maersk has joined forces with Lloyd’s Register (LR) and UK-based Core Power to explore the potential for nuclear-powered container shipping in Europe. This collaboration represents a significant step in the maritime industry’s efforts to decarbonize.

Teaming Up for Nuclear-Powered Shipping

The study will focus on the feasibility of using a fourth-generation nuclear reactor for powering container ships. Unlike traditional nuclear reactors, these small and mass-produced reactors are designed to consume less nuclear fuel while being less powerful. The partnership will evaluate the necessary regulatory frameworks and safety requirements to operate nuclear-powered vessels in European waters.

Maersk’s head of fleet technology, Ole Graa Jakobsen, acknowledged the challenges associated with nuclear power while also noting that if these challenges can be overcome, nuclear power could become a viable decarbonization option for the logistics industry within the next 10 to 15 years.

Nick Brown, CEO, Lloyd’s Register, remarkably highlighted the role of nuclear in the maritime industry saying that:

“A multi-fuel pathway to decarbonising the maritime industry is crucial to ensuring we as an industry meet the IMO’s emission reduction targets and nuclear propulsion shows signs of playing a key role in this energy transition.”

Core Power’s CEO, Mikal Bøe, echoed Brown’s sentiment noting that “there’s no net zero without nuclear.”

The maritime sector has been increasingly considering nuclear fuel as a potential solution to reduce its carbon footprint. A survey conducted by the International Chamber of Shipping in May 2022 highlighted growing interest in nuclear-powered commercial ships, with some experts predicting their viability within the next decade.

The collaboration between Maersk, LR, and Core Power signals a forward-looking approach to addressing the environmental impact of shipping.

Advanced Nuclear Reactors: The Next Frontier in Maritime Decarbonization

Nuclear power has a long history of use in naval vessels since the 1950s, and its application in commercial maritime shipping is being revisited due to the urgent need for decarbonization. The U.S. is exploring the potential of marinized nuclear reactors to replace aging fleets and meet the International Maritime Organization’s (IMO) target of a 50% reduction in CO2 emissions by 2050.

Among various types of nuclear energy technologies available, SMRs (small modular reactors) are particularly appealing for maritime applications due to their compact size and enhanced safety features.

SEE MORE: Are SMRs The Future of Nuclear Energy? Oklo Leads the Charge

SMRs are smaller and more flexible than traditional nuclear reactors, making them suitable for installation on ships. SMRs could provide ships with a steady supply of power, enabling them to travel long distances without the need for frequent refueling stops. This could be especially beneficial for large cargo ships and icebreakers operating in remote areas.

MSRs, a type of SMR, offer even greater potential with their ability to operate on various fuel cycles, including thorium, and provide extended refueling intervals.

Countries like the U.S., South Korea, and Denmark are at the forefront of developing these reactors for maritime use. For instance, Denmark’s Seaborg Technologies is working on a compact Gen-IV molten fluoride salt reactor with a 12-year refueling cycle, aiming for deployment on floating power plants.

Why Nuclear Power Could be the Key

One of the most compelling reasons to consider nuclear energy for maritime shipping is its potential to reduce GHG emissions. Nuclear-powered ships do not emit carbon dioxide during operation, unlike conventional ships that burn fossil fuels. More notably, nuclear generates 4x less carbon emission than solar farms.

Additionally, nuclear energy produces minimal waste compared to fossil fuels, and advances in waste management have made it safer and more manageable.

Moreover, nuclear energy offers a high level of energy security and independence for ships. Unlike fossil fuels, which are subject to price fluctuations and geopolitical tensions, nuclear fuel is abundant and can be sourced from multiple countries.

However, while the potential of nuclear-powered ships is significant, there are challenges related to regulatory approval, public perception, and the high initial costs of reactor development. Still, countries like Russia, China, and the U.S. are making strides in overcoming these hurdles.

Russia, for example, already operates nuclear-powered icebreakers and floating power plants, demonstrating the feasibility of nuclear technology in harsh marine environments​.

In the U.S., the adoption of nuclear power in maritime shipping could revitalize the domestic fleet, particularly under the Jones Act. The regulation mandates that goods transported between U.S. ports must be carried on U.S.-built and operated ships.

Could Nuclear Power Revolutionize Shipping?

The development of SMRs and advances in nuclear technology are making it increasingly feasible for commercial vessels to be powered by nuclear energy. However, careful consideration of safety, regulatory, and public perception issues will be crucial as the industry moves forward.

In conclusion, nuclear energy presents a promising opportunity for the maritime shipping industry to reduce its environmental impact and increase energy security. While there are still many challenges to overcome, the potential benefits make it an option worth exploring.

With continued research and development, as well as the establishment of appropriate regulatory frameworks, nuclear-powered commercial shipping could become a reality in the coming decades.

READ MORE: Funding Bill Grants $2.7B to American-Made Nuclear Reactor Fuel

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Copper prices rose on Wednesday due to optimism surrounding potential U.S. interest rate cuts and the impact of a strike at the Escondida mine in Chile, the world’s largest copper mine. 

Factors Driving Copper’s Price Revival

The 3-month copper contract on the London Metal Exchange increased by 0.8% to $9,026 per metric ton. This is a turn-around from the previous month’s price dropping to below the $9,000/ton threshold.

SEE MORE: Copper Prices Slump Below $9,000: What Does It Mean for Global Growth?

This reflects market excitement over the possibility that the U.S. Federal Reserve might shift its focus from controlling inflation to promoting economic growth. Such expectation is fueled by weaker-than-expected U.S. producer price data, which has led investors to anticipate that cooling inflation could prompt rate cuts.

The U.S. dollar index, which fell to a one-week low, also supported copper prices by making the dollar-denominated metal more affordable for buyers using other currencies. 

However, gains in copper were tempered by ongoing concerns about the Chinese economy. Recent data showing that bank lending in China in July was the lowest in nearly 15 years has intensified fears of a prolonged economic downturn. This could negatively affect industrial activity and demand for metals.

Notably, a powerful workers’ union’s strike at BHP’s Escondida mine in Chile has further bolstered copper prices. The strikers aim for a bigger share of the profits from the largest copper mine in the world.

What Fuels the Copper Mine’s Unrest? 

The strike raises the prospect of disrupted production at a mine that produced almost 5% of the world’s copper output. This strike history is marked by significant disruptions, such as the 44-day strike in 2017, which led to a spike in global copper prices after BHP declared “force majeure.” 

The term indicates the company couldn’t fulfill its contracts due to the strike’s impact. Similar disruptions occurred in 2006, 2011, and 2015, with the union’s actions consistently affecting production and prices.

Three key factors enhance the union’s bargaining power: 

It represents 61% of Escondida’s workforce, 
Has substantial financial reserves to support workers during strikes, and 
Is protected by Chilean law, which prevents the company from replacing striking workers. 

These reasons give the union considerable leverage in negotiations. The union, Sindicato Nro. 1, controls nearly all frontline workers at Escondida, including essential machine operators, drivers, and technicians. 

BHP has attempted to restart talks, but the union rejected the latest offer, although it has indicated a willingness to resume discussions. The company has a contingency plan that allows non-unionized workers to continue operations, but the extent to which production is maintained still needs to be clarified.

A key point of contention is the union’s demand for 1% of the mine’s shareholder dividends to be distributed to workers, estimated to be around $35,000 per worker.

BHP has currently offered a bonus of $28,900, but the union is holding out for a better deal.

How Could the Strike Affect Copper Prices?

The strike’s impact on copper prices has been limited so far, mainly due to weak demand from China and hopes for a quick resolution. However, the situation could escalate if the strike continues. 

Since copper price reached record highs in May at LME, it has been dropping as shown below. 

Remarkably, market sentiment shows a bullish forecast for the red metal, with an expected trading range to go beyond $4.10/pound. According to Trading Economics estimates, copper prices could trade at $4.14/pound at the end of the quarter. 

As negotiations between BHP and the union continue, the outcome will significantly impact global copper markets, depending on the strike’s duration and severity. This situation highlights the critical importance of mining in the global copper supply chain. Nearly 90% of the world’s copper comes from mines rather than recycled scrap.

In addition to copper, other base metals also saw gains. LME aluminum price rose by 1.2% to $2,360.50 per ton, zinc climbed by 1.5% to $2,727.50, lead advanced by 0.9% to $2,008, and tin increased by 0.9% to $31,470. However, nickel prices dipped slightly, by 0.1%, to $16,300 per ton.

The ongoing strike and potential shifts in U.S. monetary policy could play pivotal roles in shaping the global copper market’s trajectory in the coming weeks. Investors and stakeholders will be closely watching the developments, particularly as copper remains a critical component to reach the world’s net zero goal.

READ MORE: The World Needs 194 New Large Copper Mines to Reach Net Zero

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Industry giants, BHP, Rio Tinto and Qantas, will invest A$80 million (USD$53 million) in Silva Capital’s Silva Carbon Origination Fund, the first close from these foundation investors. The fund is designed to offer access to large-scale, high-integrity carbon credits from nature-based projects in Australia focused on reforestation and sustainable agriculture. 

Silva Capital, a joint venture between Roc Partners and C6 Investment Management, focuses on developing high-integrity carbon abatement projects to produce Australian Carbon Credit Units (ACCUs). The Silva Carbon Origination Fund is their first venture. The fund targets mixed-use agricultural and environmental planting projects across Australia to produce ACCUs at a large scale.

Australian Carbon Credit Units (ACCUs) are issued by the Australian government’s $3 billion Emissions Reduction Fund (ERF) to support the country’s goal of reducing carbon emissions by 43% from 2005 levels by 2030.

The ERF primarily grants credits to projects focused on deforestation prevention, native forest regeneration, and methane collection from landfills. These credits can be sold to the government or companies aiming to meet their emissions reduction targets. High-emission industries, such as mining and aviation, are increasingly purchasing carbon credits to offset their environmental impact.

Rio Tinto is Leveraging Carbon Credits For Its Decarbonization Goals

Jonathon McCarthy, Rio Tinto’s Chief Decarbonisation Officer, emphasized the company’s commitment to decarbonizing its operations. He noted that the investment in the Silva Carbon Origination Fund will help meet compliance obligations through high-integrity carbon credits.

Rio Tinto aims to retire 3.5 million carbon credits annually by 2030, covering 10% of its baseline emissions. This increased focus on the Voluntary Carbon Market (VCM) supports its 2030 climate goals, especially after acknowledging it may miss 2025 decarbonization targets.

In 2023, its Scope 1 and 2 emissions were stable at 32.6 million tonnes of CO2 equivalent (tCO2e), with Scope 3 emissions at 578 million tCO2e. Rio Tinto plans to increase carbon credit procurement to 1.7 million tCO2e by year’s end and commit 500,000 hectares to NBS by 2025.  

READ MORE: Rio Tinto Aims 3.5M Carbon Credit Pledge, Eni Leads with Retired Credits 

For 2024, Rio Tinto has allocated an estimated $750 million for decarbonization efforts, including capital and operational expenditures, offsets, and Renewable Energy Credits (RECs). However, the company has revised its total expenditure estimate for meeting its 2030 climate targets, reducing it from $7.5 billion to $5-6 billion.

The company expects to increase its carbon credit procurement, mainly through Australian Carbon Credit Units (ACCUs).

What Role Do Carbon Credits Play in BHP’s Emission Reduction?

Graham Winkelman, BHP’s Vice President of Climate, remarked that while BHP is actively pursuing structural greenhouse gas emission reductions from its operations, carbon credits will play a role in achieving its decarbonization targets.

The world’s largest mining company, expects its carbon emissions to grow in the short term and acknowledges the need for rapid technological solutions and carbon credits to meet its 2050 net zero goal.

While on track for its 2030 emissions reduction target, BHP admits achieving net zero by 2050 will be challenging. The company aims for a 30% reduction in Scope 1 and 2 emissions by 2030 but does not include Scope 3 emissions, which involve its customers’ emissions, like those from steelmakers.

To achieve its 2030 decarbonization goals, BHP plans to invest $4 billion, with the majority directed toward reducing diesel use in haul trucks, electricity, and gas emissions. Diesel accounts for about 50% of the company’s pollution, while methane contributes over 14% of its operational greenhouse gas emissions.

From BHP Report

READ FURTHER: BHP to Spend $4B to Decarbonize by 2030, Carbon Emissions Spikes Up Near-Term

The ACCUs will also help the mining giant in meeting compliance obligations under the Safeguard Mechanism Act.

Why Qantas is Investing in the Silva Carbon Origination Fund

Qantas’ investment in the Silva Carbon Origination Fund will aid in meeting its climate targets by securing high-quality, nature-based carbon credits. 

The airline is financing its investment through its Climate Fund, a A$400 million initiative established last year to support the company’s decarbonization efforts. The fund will also boost the Australian carbon credit market, offering social and economic benefits to local communities.

Andrew Parker, Qantas’ Chief Sustainability Officer, emphasized that high-integrity carbon offsets will be crucial for hard-to-abate sectors like aviation. He further said that:

“We expect the demand for carbon offsets to continue to grow into the future and it’s going to take partnerships across industries to enhance the overall availability of high-quality, high-integrity carbon credits.”

This move builds on Qantas’ broader climate efforts, including its recent investments in the Sustainable Aviation Fuel Financing Alliance (SAFFA) and a Queensland biofuel production facility in partnership with Jet Zero Australia and LanzaJet.

The Focus of The Carbon Fund

The fund’s strategy includes investing in agricultural land to develop large-scale carbon sequestration projects by reforesting cleared areas while maintaining the land’s productivity for farming. These projects integrate robust carbon credit methodologies, enhance farming activities for local communities, and promote habitat restoration and biodiversity protection.

Silva Capital Co-Managing Director, Brad Mytton, highlighted that sustainable agriculture is central to the fund’s investment strategy. He noted that the Silva Carbon Origination Fund aims to create a portfolio of mixed farming land with significant canopy cover, producing a large volume of high-integrity carbon credits. Mytton further stated that:

“The Fund has been designed to appeal to both corporate investors seeking to access carbon credits and institutional investors seeking portfolio diversification…”

Backed by industry heavyweights, the Silva Carbon Origination Fund could play a pivotal role in advancing Australia’s carbon credit market and supporting the nation’s ambitious climate goals.

SEE MORE: ASX Debuts Environmental Futures Contracts for Carbon Markets

The post BHP, Rio Tinto and Qantas Funnel US$53 Million Into a Carbon Credit Fund appeared first on Carbon Credits.

In a major development in the nuclear sector, Kronos Advanced Technologies Inc. and Yasheng Group have strategically partnered to create and file a patent for an innovative small nuclear battery—Nickel-63. This battery is expected to offer an extended lifespan of up to 50 years. The collaboration targets key energy storage challenges in areas such as remote sensing, space exploration, medical devices, and military applications.

What is a Nickel-63 Battery?

A nuclear or an atomic battery converts a radioactive isotope into electrical energy through its decomposition. These batteries can last for several decades, providing a long-term solution for energy storage. By decomposing radioactive materials, they generate substantial energy while minimizing waste.

Scientists believe that nuclear batteries are reliable, lightweight, highly efficient, and economically sustainable. Specifically, the Nickel-63 battery will convert energy produced from the beta decay of the radioactive isotope Nickel-63 into electrical power. It will be encased in a robust radiation-shielding case to prevent leakage and feature a thermal management system to stabilize its operation, ensuring environmental safety and mitigating potential radioactive hazards.

READ MORE: US Targets 200 GW Nuclear Expansion to Meet Soaring Energy Demand 

Unlocking the Kronos and Yasheng Agreement

Kronos Advanced Technologies, headquartered in West Virginia, specializes in air movement and purification technology used in automotive, aviation, healthcare, and transportation sectors. Yasheng Group, a U.S. holding company, has joint ventures in agriculture, biotech, blockchain, and mining, operating in the U.S., China, and the Philippines. Yasheng is expanding globally through growth, mergers, and acquisitions in the eco-agriculture industry.

Agreement Details:

Patent Filing and Costs: Yasheng Group will handle the patent filing for the nuclear battery in China, while Kronos Advanced Technologies Inc. will manage the filing in North America. Each company will cover the filing costs in their respective regions.
Royalties: Both companies will share profits from this groundbreaking technology. Kronos Advanced Technologies Inc. will receive 10% of the royalties generated by Yasheng Group in China, while Yasheng Group will receive 10% of the royalties from Kronos Advanced Technologies Inc. in North America.

The Impact of Nickel-63 Nuclear Batteries on Next-Gen Power

Nickel-63 nuclear batteries hold significant potential across various industries due to their long-lasting power and unique features. In the medical field, they are ideal for powering implantable devices like pacemakers, artificial hearts, and cochlear implants, where frequent battery replacements are impractical.

In aerospace and defense, these batteries are well-suited for long-duration space missions and satellite operations due to their durability and minimal maintenance requirements. They are also perfect for remote sensors and Internet of Things (IoT) devices, providing continuous monitoring and data collection in remote or challenging conditions.

Although still in development, Nickel-63 batteries have the potential to transform consumer electronics by potentially eliminating the need for recharging devices like smartphones and laptops. Notably, Kronos and Yasheng Group have targeted all these applications in their collaboration.

The Rise of Nuclear Power Batteries in a Net Zero Future

Industries are increasingly drawn to nuclear batteries for their reliability, endurance, and sustainability. As the world shifts toward net-zero goals, government regulations focus on reducing energy waste and environmental pollution. Nuclear batteries’ ability to reduce waste and lower greenhouse gas emissions positions them as a key player in the energy market.

Experts predict that demand for these batteries will grow as the industry transitions from electrochemical to nuclear technology. This trend is expected to drive significant growth in the nuclear battery market. Most importantly, these batteries could play a critical role in decarbonizing global electricity systems and mitigate impact of climate change.

According to Expert Market Research, the global nuclear battery market is projected to expand at a compound annual growth rate (CAGR) of approximately 8.7% to 9.1% from 2024 to 2032. This growth is driven by advancements in nuclear technology, increased adoption of electric and hybrid vehicles, and the rising demand for long-lasting power sources across industries such as medical, aerospace, and remote sensing.

Image: Nuclear Battery Market Share (%) by Region (2019-2031)

source: cognitivemarketresearch

Key market players in nuclear batteries include Exide Technologies, Tesla Energy, Thermo PV, Vattenfall, American Elements, Marlow Energy Group, Curtiss-Wright Nuclear, City Labs, Inc., Luminous Power Technologies, etc.

Interestingly, earlier this year, Betavolt, a Chinese startup announced the development of nickel-63 battery, promising power for 50 years without recharging or maintenance. It claimed that its nuclear battery is “the world’s first to miniaturize atomic energy in a module smaller than a coin.” Media reports state that the battery is currently undergoing pilot testing and is expected to be mass-produced for use in phones and drones.

Overall, if Kronos and Yasheng partnership succeed, it could be a game changer for nuclear battery technology.

FURTHER READING: Is the Battery Boom Heating Up? California Leads the Charge!

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