• 2020 February 28 09:21

    MABUX: Bunker market this morning, Feb 28

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

    MABUX World Bunker Index (consists of a range of prices for 380 HSFO, VLSFO and MGO (Gasoil) in the main world hubs) declined on February 27:

    380 HSFO - USD/MT 349.04 (-5.59)
    VLSFO - USD/MT 495.00 (-13.00)
    MGO - USD/MT 565.52 (-5.60)

    Meantime, world oil indexes also fell on Feb.27 as a rise in new coronavirus cases outside China fuelled fears of a pandemic that could slow the global economy and dent demand for crude.

    Brent for April settlement decreased by $1.25 to $52.18 a barrel on the London-based ICE Futures Europe exchange. West Texas Intermediate for April fell by $1.64 to $47.09 a barrel on the New York Mercantile Exchange. The Brent benchmark traded at the premium of $5.09 to WTI. Gasoil for March delivery lost $23.50.

    Today morning global oil indexes continue firm downward trend.

    For the first time since the start of the coronavirus outbreak erupted in China, the number of new coronavirus infections outside China exceeded new Chinese cases. The spread of the virus to large economies including South Korea, Japan and Italy has raised concerns that growth in fuel demand will be limited. Forecast said oil demand would grow by 60,000 barrels per day in 2020, a level which is practically zero, due to the outbreak. U.S. President Donald Trump sought to assure Americans evening that the risk from coronavirus remained "very low", but Asian share markets continue falling.

    The impact of the coronavirus outbreak on the shipping industry is continuing to increase in scope, and the ripple effects are continuing to show up. In the 10-week-period, comprising of the Chinese New Year and the ongoing coronavirus outbreak, the industry is being faced with a downfall of some 1.7 million TEU (twenty-foot equivalent unit is the inexact unit of a container), roughly 1.7 billion U.S. dollars in revenues for the carriers. Previously reported congestion in Chinese ports is also affecting other ports, since companies had to unload refrigerator (reefer) containers in other locations, increasing reefer plug utilization there, the report revealed.

    Besides, since the Chinese New Year is the biggest holiday in China’s calendar, shipping and logistics companies already expected a higher number of blank sailings (cancellations by the carrier), but those estimates were elevated due to the epidemic. The largest capacity reduction was registered in Asia to North Europe lane, where 11 percent of the capacity was blanked since the Chinese New Year. When considering the holiday’s blanks, 29.5 percent of the capacity was removed from the trade, in over 10 weeks.

    OPEC is monitoring the coronavirus spread ahead of its scheduled March 5-6 meeting. This comes in light of a suspected case of the infection being reported in Vienna near the secretariat. The OPEC and its allies (OPEC+) are considering extending the oil output cuts to cushion the impact on the virus spread on oil prices, as markets fret about its impact on the oil demand growth outlook. The alliance is considering cutting its quotas by another 600,000 bpd, but Russia is yet to announce its decision on the same.

    Rystad Energy is predicting that the slowdown in global oil consumption caused by the coronavirus outbreak will mean that average oil prices for 2020 will fall below previous expectations. As per report, Brent crude oil prices – which the consultancy had previously expected to average nearly $60 per barrel in 2020 – are now forecast to slump to about $56 per barrel for the year following revisions to the January forecasts.

    Kuwait has barred foreign ships, except those carrying oil, from departing to or arriving from several countries to prevent the spread of the coronavirus. The notice, dated Feb. 25, has banned ships from and to South Korea, Italy, Thailand, Singapore, Japan, China, Hong Kong and Iraq. Oil sector ships are excluded from the ban.

    The U.S. shale industry continues to show signs of slowing down. The pressure is starting to have an impact on drilling and production. The latest EIA report shows that production in all major shale basins outside of the Permian have started to decline. Besides, the effects of the coronavirus have likely not yet filtered through to the U.S. production data. Shifts in drilling activity and rig counts often take several months after a major change in prices, so there could be another dip in the months ahead.

    We expect bunker prices may continue downward trend today in a range of minus 5-10 USD for IFO and minus 12-22 USD for MGO.

2020 April 2

18:27 FSL Trust completes disposal of crude oil tanker
18:07 CMA CGM announces that this Low Sulphur Surcharge is not applicable
17:54 Aleksandr Tsybulsky appointed as Acting Governor of Arkhangelsk Region
17:31 MAN Energy Solutions's low-speed, dual-fuel engines pass 1,000,000 operating hours
17:16 VARD secures contract for one stern trawler for Framherji
16:59 DHT Holdings announces time charters for six of its VLCCs
16:30 Navigation season opens on the Lower Volga
15:48 PGNiG commences operations at Klaipėda LNG Reloading Station
15:15 World’s largest and most efficient krill trawler to be designed by Wärtsilä
15:13 SMM: Shipping industry steers towards digitalisation
14:49 Bunker prices show no considerable changes at the Far East ports of Russia (graph)
14:26 Vitol Group establishes foothold in Singapore bunker operations
14:02 A.P. Moller - Maersk completes acquisition of Performance Team
13:37 Law ranking heavy fuel oil as medium distillate comes into effect
13:14 Hapag-Lloyd announces GRI from East Asia to East Coast and West Coast of South America, Mexico, Caribbean and Panama
12:52 Covid-19: Passenger transportation by seaborne transport and traffic of small-size ships banned in Crimea
12:25 ABP update: port operations remain open for business
12:01 ABS expands remote survey services
11:28 IMO urges keyworker exemptions for crew changes and repatriations
11:18 Tallink Grupp’s vessel Victoria I to make two return trips on Tallinn-Helsinki-Tallinn route on 2-3 April
10:43 Russian President signs Decree on establishment of Marine Instrument Engineering Corporation
10:21 Brent Crude futures price is up 12.5% to $27.83, Light Sweet Crude – up 10.5% to $22.44
10:06 Jan De Nul nears completion of fabrication of foundations for Taiwan’s Changhua Offshore Wind Farm
10:00 Financing of Nizhegorodsky hydrosystem project to be redistributed in favor of NOVATEK’s projects
09:59 VARD signs contract with P/F Akraberg for the design and construction of a sophisticated unit
09:46 MABUX: Bunker market this morning, Apr 02
09:19 Baltic Dry Index is down to 624 points

2020 April 1

18:36 Diana Shipping announces direct continuation of time charter Ccontract for m/v Myrto with Cargill
18:06 CMA CGM to apply Port Congestion Surcharge for reefer cargo to Philippines (Manila and Subic ports)
17:54 Oil shipments via CPC Marine Terminal in 3M’20 climbed by 4.7% YoY to 16.93 million tonnes with new monthly record set in March
17:35 New BIO SEA BWTS approved by USCG and IMO
17:20 Throughput of port Azov in 3M’2020 fell by 19% to 1.38 million tonnes
17:05 PowerCell signs contract with leading European shipyard regarding fuel cell system worth MSEK 77
16:35 The EU funded FLAGSHIPS project supports construction of a hydrogen fuel powered barge push boat
16:04 Wärtsilä receives contract to upgrade 11-year old Vessel Traffic Monitoring and Information System (VTMIS) serving ports in Cyprus
16:02 Höegh LNG applies for LNG import licence in Cyprus
15:30 OOCL updates Trans-Pacific services in April & May
15:04 THE Alliance announces COVID-19 response measures for April 2020
14:53 Frigates of RF Navy's Black Sea Fleet conducted exercise in Mediterranean Sea
14:43 Launch of Dimecc’s Sea for Value programme paves the way for remote pilotage and safer fairway navigation
14:22 Wärtsilä launches actions to mitigate the impact of COVID-19 and withdraws its market outlook
14:19 Competition announced for construction of Bagayevsky hydrosystem’s Phase 2
13:26 Transit navigation opened in Azov-Don Basin of Russia’s IWW
13:02 Ocean Yield extends standstill agreement and restructuring outline with Solstad Offshore for the vessels Far Senator and Far Statesman
12:00 ABS to class a series of Silver Eagle self elevating drilling units
11:25 Russian Railways' network loading down 3.8% to 306.7 million tonnes in 3M’ 2020
11:01 New shipping service gives boost to growing breakbulk segment in Rotterdam
10:42 Start of cruise navigation season postponed at Passenger Port of Saint-Petersburg
10:14 APM Terminals Mobile completes phase-three expansion to increase capacity
09:54 Brent Crude futures price is down 2.2% to $25.78, Light Sweet Crude – down 0.1% to $20.46
09:33 Bunker prices continue falling at the port of Saint-Petersburg, Russia
09:16 MABUX: Bunker market this morning, Apr 01
09:12 Baltic Dry Index is down to 625 points

2020 March 31

18:06 APM Terminals Nigeria donates $US 200,000 to UN Nigeria Basket Fund
17:51 New publication offers updated maritime security guidance for mariners operating off West Africa and Gulf of Guinea
17:36 Manila ports fear shut down due to continued cargo congestion
17:20 Floating workshop of RF Navy's Baltic Fleet completed tasks in Mediterranean Sea
17:06 Yang Ming reveals 2019 financial report
16:55 State Duma of Russia approved in first reading expansion of resource base for LNG production projects
16:23 Rolls-Royce supplies innovative propulsion system for new multi-purpose vessels in the North and Baltic Seas