• 2019 October 17 09:21

    MABUX: Bunker market this morning, Oct 17

    The Bunker Review was contributed by Marine Bunker Exchange (MABUX)

    MABUX World Bunker Index (consists of a range of prices for 380 HSFO, 180 HSFO and MGO (Gasoil) in the main world hubs) changed irregular on Oct.16:

    380 HSFO - USD/MT – 368.07 (-4.85)
    180 HSFO - USD/MT – 409.56 (-3.09)
    MGO - USD/MT – 659.93 (+2.19)


    Meantime, world oil indexes slightly rose on Oct.16, as investors pinned hopes on a potential Brexit deal between Britain and the European Union and on signals from OPEC and its allies that further supply curbs could be possible.

    Brent for December settlement increased by $0.68 to $59.42 a barrel on the London-based ICE Futures Europe exchange. West Texas Intermediate for November delivery rose by $0.55 to $53.36 a barrel on the New York Mercantile Exchange. The Brent benchmark traded at the premium of $6.06 to WTI. Gasoil for November gained $4.25.

    Today morning oil indexes demonstrate slight downward evolution.

    The International Energy Agency, the U.S. Energy Information Administration and the Organization of Petroleum Exporting Countries all see global oil inventories building in the first half of next year, as they almost unanimously cut their forecasts for oil demand growth for 2019 and 2020. The three agencies made also further cuts to their forecasts for oil demand growth this year in their latest reports and, for the first time, all of them now see global oil use increasing in 2019 by less than 1 million barrels a day compared with 2018. And those forecasts could still fall further. All three of the agencies also have cut their estimates for the first three quarters of the year, making particularly big reductions to their assessments of demand growth in the first half. Slowing economic growth will have a knock-on effect on oil demand, so it can be expected further downward revisions to the demand numbers next month.

    The International Monetary Fund in turn slashed its global growth forecast once again, predicting economic growth will fall to its weakest rate since the financial crisis a decade ago. The IMF said that the world economy is in a “synchronized slowdown,” and will only expand by 3 percent this year. At one-point last year, the IMF forecasted 3.9 percent growth for 2019. Fund said in a statement that growth continues to be weakened by rising trade barriers and increasing geopolitical tensions. For the four largest economies – the U.S., China, the Eurozone and Japan – the IMF sees no improvement in their growth prospects over the next five years. Meanwhile, U.S. shale production has flatlined this year, ending years of explosive growth. The rig count has fallen sharply and companies are cutting drilling and spending. However, even with significant geopolitical risks to supplies in the Middle East and a slowing U.S. shale sector, oil and fuel prices have failed to rally so far.

    Prices found some support from indications that the Organization of the Petroleum Exporting Countries could announce further curbs to oil output in December. OPEC and its allies meet on Dec. 5-6 in Vienna to review output policy. OPEC Secretary-General Mohammad Barkindo said there is an option for OPEC and its allies to implement deeper cuts in oil production. As per Barkindo, OPEC will do what it can with allied producers to sustain oil market stability beyond 2020, in a signal the producers will continue to cooperate. Russia and other producers have a deal to cut oil output by 1.2 million barrels per day until March 2020, but Russian officials have so far said it was too early to discuss additional output cuts.

    Talks between Britain and the European Union to get a Brexit deal ahead of a summit of the bloc's leaders this week are underway, but it is still unclear if Britain could avoid postponing its departure, due on Oct. 31. Any deal that avoids a "hard" or no-deal Brexit should boost economic growth and in turn oil growth and prices.

    The United States carried out a secret cyber operation against Iran in the wake of the Sept. 14 attacks on Saudi Arabia’s oil facilities, which Washington and Riyadh blame on Tehran. The operation took place in late September and took aim at Tehran’s ability to spread “propaganda.” The attack highlights how President Donald Trump’s administration has been trying to counter what it sees as Iranian aggression without spiraling into a broader conflict.

    The global shipping industry has seen freight rates soar over the past few weeks as traders and shippers stay away from booking oil tankers owned by Chinese tanker companies that came under U.S. sanctions for dealing with oil from Iran. The cost of chartering supertankers to carry crude oil from the Middle East to Asia has soared and made oil procurement costs so high to the point of eroding refining profits for refiners. Complex refining margins in Singapore plunged to just US$2.91 per barrel at the end of last week, from a high of over US$10 a barrel in mid-September. The current refining margins in Asia are close to the lowest levels for this time of the year in five years.

    The American Petroleum Institute (API) has estimated a major crude oil inventory build of 10.45 million barrels for the week ending October 10—compared to analyst expectations of a much smaller 2.878-million-barrel build. Last week saw a large build crude oil inventories of 4.13 million barrels, according to API data. The EIA estimated that week that there had been a smaller build of 2.9 million barrels. After today’s inventory move, the net draw for the year is 15.27 million barrels for the 42-week reporting period so far, using API data. US crude oil production as estimated by the Energy Information Administration showed that production for the week ending October 4 increased to 12.6 million bpd, another new all-time high.

    We expect bunker prices may turn into slight upward trend today in a range of plus 4-8 USD.




2019 November 13

18:07 LR and Seabury Maritime partner to tackle OPEX and CAPEX challenges
17:55 Gasum acquires AGA’s Clean Energy business and Nauticor’s Marine Bunkering business from Linde AG
17:36 Rolls-Royce and luxury yacht manufacturer Sunseeker sign frame agreement for MTU engines
17:18 Next-generation controller platform ‘Triton’ successfully passes TAT in Japan using latest ME-engine control system
17:04 LNG market expectations will be framed at the 6th International LNG Congress
16:54 Throughput of port Kaliningrad in Jan-Oct’2019 fell by 21% Y-o-Y to 9.34 million tonnes
16:28 Throughput of port Vyborg in Jan-Oct’2019 fell by 35% Y-o-Y to 1 million tonnes
16:03 MSC Cruises christens MSC Grandiosa
15:29 Innovative solutions for remote inspection: RINA and Kiber team up
15:03 Klaveness to focus their Dry Bulk operator activity on the Panamax to Post-Panamax segment
14:57 Throughput of port Vysotsk in Jan-Oct'2019 climbed by 5% Y-o-Y to 16.15 million tonnes
14:16 HHLA reports 4% growth in container volume to 5.7 million TEUs, revenue up 8.3% to 1 bn euros in Jan-Sept, 2019
13:33 Throughput of port Primorsk in Jan-Oct’2019 grew by 17% Y-o-Y to 51.84 million tonnes
13:12 Ten ports in the Nordic Region agreed upon a declaration focusing on sustainable port management
13:12 Cargo traffic in Ob-Irtysh Basin slightly down to 7.7 million tonnes
12:49 Port of Ust-Luga handled 87.49 million tonnes of cargo in 10M’19, up 7% Y-o-Y
12:24 Throughput of Port St. Petersburg in 10M'2019 grew by 2% to 50.00 million tonnes
12:00 EIB agrees to provide EUR 140 million to support expansion and upgrading of the Port of Piraeus
11:57 MPC Capital acquires stake in tanker specialist Albis Shipping & Transport
11:33 Port of Southampton welcomes MSC Grandiosa on her UK launch
11:08 Net profit of Commercial Port of Vladivostok for 9M’19 totaled RUB 4.64 billion, up 38.7% YoY
10:17 Port of San Diego to add seven alternative fuel vehicles to its work fleet
10:16 Environmental legislation on maritime transport will be reformed – focus on waste management
09:50 Bunker market at the port of Saint-Petersburg, Russia sees mixed price movements (graph)
09:32 Brent Crude futures price is down 0.37% to $61.83, Light Sweet Crude – down 0.33% to $56.61
09:25 MABUX: Bunker market this morning, Nov 13
09:14 Baltic Dry Index is up to 1,354 points

2019 November 12

18:06 Hapag-Lloyd to increase rates from China to Middle East including Red Sea
17:51 Admiral Makarov SUMIS participates in the international investigative project on oil spill response
17:36 Black Bear Carbon announces Port of Rotterdam as preferred location for new rCB plant in The Netherlands
17:20 Throughput of Russian seaports in 10M'2019 grew by 3.2% to 701.6 million tonnes of cargo (detalization)
17:06 MODEC, Mitsui, MOL and Marubeni to proceed with the deepwater FPSO charter project for Búzios field of Brazilian offshore pre-salt oil field
17:05 Peninsula Petroleum Group says is ready for IMO 2020
16:38 Metrans receives the first of ten new Vectron locomotives
15:59 New Joint Guidelines from ICS and OCIMF to improve safety in polar waters
15:31 Diesel submarine of RF Navy’s Pacific Fleet participates in exercised in the Sea of Japan
15:04 NMDC to complete fleet-wide conversion to Thordon seawater lubricated composite cutter shaft bearings
14:38 Krasnoye Sormovo delivers dry cargo carrier of Project RSD59, Aleksandr Sokolov
14:03 Damen Marine Components receives steering system contract for SunStone’s fifth Infinity-class 200 pax polar expedition cruise ship
13:35 Glavgosexpertiza of Russia approves survey findings under project for port construction on Novaya Zemlya
13:09 The Port of Gdansk connects Poland and Singapore
13:06 Bunker prices go down at the Far East ports of Russia (graph)
12:43 NMDC to complete fleet-wide conversion to Thordon seawater lubricated composite cutter shaft bearings
12:28 Admiral Makarov SUMIS confirmed unique competence in dynamic positioning operators training
11:44 RINA works with the National Technical University of Athens to support the future Young Engineers in Greece
11:19 IMO launches online tool to smooth reporting formalities
10:47 Montreal, Canada to host 16th Arctic Shipping Summit on 11-12 March 2020
10:25 Number of new watercraft registrations increasing in Finland
10:23 MABUX: Bunker market this morning, Nov 12
10:01 Hydrographic surveys in the Vuoksi river system to ensure safe navigation
09:42 Fleet Xpress agreement marks new stage in Bourbon digitalisation strategy for offshore
09:32 Brent Crude futures price is up 0.11% to $62.26, Light Sweet Crude – up 0.11% to $56.92
09:16 Baltic Dry Index is down to 1,345 points

2019 November 11

18:33 Alfa Laval opens new global Innovation & Test center outside Copenhagen
18:03 ABS issues industry-leading guide for firefighting for cargo areas of container carriers
17:54 Yantar shipyard launches lead rescue ship of Project 23700 named Voyevoda
17:48 Massterly and the future of autonomous shipping
17:25 Throughput of Russian seaports in 10M’19 grew by 3.2% to 701.48 million tonnes
17:03 Wärtsilä and PSA Marine achieve breakthrough in IntelliTug project
16:44 University of Rochester create a metallic structure that won't sink