Ferry operator Stena Line converts ship to allow it to run on methanol in pilot project

Swedish ferry operator Stena Line says it has converted one of its ships to enable it to run on methanol, testing the potential of the environmentally friendly fuel for the shipping industry.

The company said the Stena Germanica re-entered service on March 26 to operate between Kiel, Germany, and Goteborg, on Sweden's southwestern coast, after a conversion that cost 22 million euros ($24 million.)

The ship uses dual fuel technology, with methanol as the main fuel and a backup option of marine gas oil.

Stena Line CEO Carl-Johan Hagman said Monday that the company wants to pursue change and development in shipping and that methanol could be "the maritime fuel of the future."

The family-owned company operates 35 ferries and 22 routes in northern Europe.