• 2020 January 28 10:02

    MABUX: Bunker market this morning, Jan 28

    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) dropped on Jan.27:

    380 HSFO: USD/MT 378.14 (-2.12)
    VLSFO: USD/MT 599.00 (-10.00)
    MGO: USD/MT 644.82 (-11.24)


    Meantime, world oil indexes fell on Jan.27 as the death toll from China's coronavirus rose and more businesses were forced to shut down, stoking expectations of slowing oil demand.

    Brent for March settlement decreased by $1.37 to $59.32 a barrel on the London-based ICE Futures Europe exchange. West Texas Intermediate for March fell by $1.05 to $53.14 a barrel on the New York Mercantile Exchange. The Brent benchmark traded at the premium of $6.18 to WTI. Gasoil for February delivery lost $24.50.

    Today morning global oil indexes continue slight downward trend.

    The death toll from the coronavirus rose to more than 80 and the Chinese government extended the Lunar New Year holiday to Feb. 2, trying to keep as many people as possible at home to prevent the virus from spreading further. Outside China, 12 countries have also reported infections from the virus — Australia, Canada, France, Japan, Malaysia, Nepal, Singapore, South Korea, Taiwan, Thailand, Vietnam and the United States.  The rapid spreading of the virus fuelled fears of slowing oil demand and raised speculation that OPEC and its allies including Russia, a group known as OPEC+, will consider deepening production cuts. According to a report from Goldman Sachs, the coronavirus could cut into demand by around 260,000 bpd and reduce oil prices by more than $3 per barrel.

    Saudi Arabia and the United Arab Emirates, allies in the Organization of the Petroleum Exporting Countries (OPEC), tried to play down the impact of the virus, with Riyadh, the de-facto OPEC leader, saying the group can respond to any changes in demand. The OPEC+ group has been withholding supply to support oil prices for nearly three years and on Jan. 1 increased an agreed output reduction by 500,000 barrels per day (bpd) to 1.7 million bpd through March.

    American Petroleum Institute (API) reported that, U.S. petroleum exports hit a new all-time high of 9.0 million barrels per day (mb/d) in the final month of 2019. This latest milestone came as U.S. crude oil production notched a fifth consecutive monthly increase to reach a record 12.9 mb/d.

    The implementation of the IMO’s sulfur reduction regulations for bunker fuel has sidelined high sulfur fuel oil from the global marine fuel pool, but feedstock supply tightness on the US Gulf Coast has created an outlet for Russian fuel oil. Limited availability of feedstock on the USGC due to a closed arbitrage from Europe along with the pull of the bunker fuel blending pool has kept USGC vacuum gasoil and straight run fuel oil differentials well-supported, putting them on a higher shelf than refiners are willing to reach for. This has forced refiners to look at alternative options for feedstock. As a result, while HSFO demand for bunkering has evaporated due to the IMO 2020 sulfur shift, demand for the product as a refinery feedstock has jumped.

    LNG prices are on track to hit an all-time low in Asia later this summer. Gas is also at its weakest seasonally in the U.S. and Europe since the late 1990s. There’s a surplus already in the U.S. and Europe, while the mild winter in Asia build another surplus up there. As per evaluation from Gunvor Group Ltd., LNG exporters are 50 cents away from shutdowns.

    The environmental lobby group Clean Arctic Alliance has called on the International Maritime Organization (IMO) to support an immediate switch to distillate fuels for ships in the Arctic and develop a global rule prohibiting fuels with high Black Carbon emissions. Earlier a paper submitted by Germany and Finland to the IMO’s Pollution Prevention and Response (PPR) sub-committee indicated that the new IMO 2020-compliant 0.50% sulphur fuel blends contain high aromatic compound levels, which can directly impact on black carbon (BC) emissions. The Clean Arctic Alliance said that oil companies must explain how their new “Super Pollutant” shipping fuels ever came to market and the IMO must stop new “Super Pollutant” shipping fuels in the Arctic and globally.

    Libya’s oil production took a nosedive to less than 300,000 bpd last week, from over 1 million bpd following a blockade of its main oil export terminals, which has in turn prompted the shutdown of several large fields. Tribal groups affiliated with General Khalifa Haftar’s Libyan National Army, occupied the terminals last week and seized several fields in Libya’s main oil producing region. Among the affected fields were Sharara—Libya’s largest—and neighboring El Feel, the two contributing almost a third of Libya’s total output. The blockade will also cost Libya between 500,000 and 800,000 bpd in lost oil production. Before the blockade, Libya was pumping around 1.3 million bpd. The news is supporting fuel indexes at the moment.

    We expect bunker prices will drop today in a range of minus USD 4-8 for IFO and minus USD 15-22 for MGO.




2020 February 28

12:10 Polskie LNG launches Open Season Process for Świnoujście LNG Terminal
11:47 Port of Antwerp launches Bulkchain collaboration platform
11:02 Diana Shipping announces the sale of a Capesize dry bulk vessel, the m/v Norfolk
10:41 IMO developed guidelines for taking onboard samples of fuel from ships
10:18 Fincantieri launches the first corvette for Qatar
10:07 Pathways to achieve IMO's Initial GHG Strategy goals discussed at dedicated workshop hosted by WMU
09:40 Brent Crude futures price is down 2.51% to $50.43, Light Sweet Crude – down 2.68% to $45.83
09:29 The construction of new deepwater berths of cruise terminal at Piraeus Port starts
09:21 MABUX: Bunker market this morning, Feb 28
09:14 Baltic Dry Index is down to 529 points
08:32 CMA CGM announces PSS for cargo from North Europe to Asia

2020 February 27

18:05 European yards specify Thordon System as standard for deck machinery
17:48 IMO's GloFouling Partnership project tackles problem of invasive aquatic species in Sri Lanka
17:29 Tallink Grupp reports nearly 25% higher net profit for the full financial year 2019
17:05 AquaTerra acquires Subsea Engineering and Technical Services
16:51 Zelenodolsk Shipyard named after A.M. Gorky laid down passenger ship Chaika LNG
16:35 Vale clarifies incident with contracted vessel
16:04 NYK Cruises to cancel cruises due to coronavirus
15:30 Average physical depreciation of Rosmorport’s berthing facilities is 24%
15:07 National Association of Shipping Agencies addresses FAS over plans on multiple increase of port dues in Russia
14:56 Arbitration award related to purchase options for four VLCCs on charter to Okeanis ECO Tankers
14:43 ASCO strengthened preventive measures against coronavirus
14:19 ASCO takes necessary precautionary measures to prevent environmental damage
13:55 Rotterdam to host ACI’s 24th Ballast Water Management Conference on 7-8 April 2020
13:53 Ørsted signs 20-year lease with Port of Taichung for Greater Changhua offshore wind farms
13:34 Vysotsk VTS obtains Certificate of Conformity
13:12 Xeneta container rates alert: long-term contracted rates hold despite Coronavirus chaos
12:56 Certificate of Conformity obtained for Ust-Luga VTS
12:33 Finnlines published its 2019 Financial Statements and Financial Review
12:10 A.P. Moller - Maersk links new $5.0bn revolving credit facility to its CO2 performance
11:52 Port of Gdynia seeks opportunities for further development
11:28 Rosmorport’s Murmansk Branch performed pilotage of Capesize vessel
11:04 Rosmorport to complete dredging under NOVATEK’s project in Petropavlovsk-Kamchatsky by April 2021
10:41 3rd Technical Conference "Modern Solutions for Hydraulic Engineering" kicks off in Moscow
10:35 Ships of RF Navy’s Baltic Fleet continue performing planned training as part of its long-distance campaign
10:16 Port of Oakland debt ratings affirmed by Fitch
10:13 Brent Crude futures price is down 1.52% to $51.99, Light Sweet Crude – fell to 1.54% to $47.98
09:56 Hydrographic Department to dredge about 20 million cbm of material on Sabetta’s seaway canal in 2020
09:34 Marine Recruiting Agency LLC trained 1,957 specialists in 2019, up 2.6% YoY
09:32 MABUX: Bunker market this morning, Feb 27
09:15 Baltic Dry Index is up to 517 points

2020 February 26

18:37 Royal IHC to supply integrated power cablelay spread
18:01 Chartwell Marine announces sponsorship agreement with Alan Roberts Racing in the lead up to the 2020 racing season
17:29 Keppel delivers world’s fastest brownfield FPSO modification project
17:26 Busan Port Authority and Samsung SDS signed a contract to operate a logistics center in Rotterdam, Netherlands
17:00 Smart Maritime Council announces support for shipboard machinery data standard
16:23 Damen DOP ensures new approach to dredging – expert opinion
16:00 FSUE Rosmorport to dredge 18.4 million cbm of material in 2020
15:36 Yamal LNG reaches thirty million tons milestone
15:12 MHI-MME receives retractable fin stabilizer orders for two luxury expedition vessels being built by Helsinki Shipyard
14:55 Contract signed for extension of Świnoujście LNG Terminal
14:34 Rosmorrechflot to have 20 dredgers built at Lotos shipyard by 2030
14:12 Kongsberg Maritime wins 300 MNOK contract to equip four new cruise vessels
13:55 EU NAVFOR Somalia supports Djiboutian Coast Guard
13:33 Belarusian-Latvian cooperation in multimodal cargo transportation via Latvian ports discussed in Riga
13:10 Global Offshore announces new addition to its cable installation fleet
12:51 Rosmorport announces tender for dredging on access canal of Temryuk port
12:28 PortNews Media Group and Shipbuilding Cluster of Arkhangelsk Region sign agreement on cooperation
12:10 Contship Italia confirms operational continuity at Group's maritime and intermodal terminals amidst SARS-CoV-2 outbreak
12:07 Milaha reports a 6% increase in net profit for full year 2019