Hong Kong accelerates methanol transport rollout with Towngas–Geely pact

The plan covers fuel supply, refuelling sites, and vehicle deployment.

The Hong Kong and China Gas Company Limited (Towngas) has entered into a strategic partnership with Geely Farizon New Energy Commercial Vehicle Group (Geely) to support the development of methanol fuel applications and related infrastructure for commercial transport in Hong Kong.

Towngas said the agreement with Geely covers cooperation on methanol fuel supply, refuelling infrastructure planning, and the deployment of methanol-powered commercial vehicles in the city.

The companies said the initiative is intended to support a phased rollout of methanol applications across transport and construction use cases, as part of efforts to expand low-carbon fuel options in Hong Kong.

Under the arrangement, the two parties will work on planning a methanol supply system for vehicles and assess potential locations and operating models for refuelling facilities.

They will also coordinate on the introduction of methanol-powered commercial vehicles, which are positioned as suitable for heavy-duty transport and construction site operations.

Towngas said the development is part of its broader expansion into downstream methanol applications and clean energy solutions.

The company added that its joint venture VENEX is increasing green methanol production capacity, with facilities in Inner Mongolia and a new plant under construction in Foshan.

Combined annual output is expected to reach 500,000 tonnes by 2028, with long-term capacity targeted at 1 million tonnes per year.

VENEX produces methanol from waste tyres and agricultural and forestry residues, and holds ISCC EU and ISCC PLUS sustainability certifications, according to Towngas.

Geely said the partnership combines its commercial vehicle technology with Towngas’s energy infrastructure capabilities to support the supply and application of green methanol fuel in Hong Kong.

The companies said methanol deployment will be introduced in stages, covering transport and construction-related applications as part of broader decarbonisation efforts in the city.