• Home
  • News
  • MABUX: Bunker market this morning, Dec 09
  • 2019 December 9 11:09

    MABUX: Bunker market this morning, Dec 09

    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) slightly rose on December 05:

    380 HSFO: USD/MT – 345.04 (+4.68)
    180 HSFO: USD/MT – 389.35 (+3.77)
    MGO: USD/MT – 669.11 (+3.37)


    Saudi Arabia shocked the oil market on Friday, with its energy minister Prince Abdulaziz bin Salman pledging to voluntarily cut even more oil production than its new quota, according to S&P Global Platts.

    Under the existing oil production quota, Saudi Arabia had agreed to keep production under 10.311 million bpd—a cut of 322,000 bpd. But on Friday, OPEC divvied out an additional 372,000 bpd of cuts to its members, with Saudi Arabia’s new production cap coming in at 10.145 million bpd—an additional cut of 166,000 bpd.

    But Saudi Arabia is planning to do more than even that—planning to keep its production at or below 9.744 million bpd. For reference, Saudi Arabia’s production for October was 9.890 million bpd, so this new voluntary pledge to cut even more than the group had asked it to is even more of a reduction.

    If all members, including the non-OPEC side which must cut an additional 131,000 bpd, stick to their new production quotas including Saudi Arabia’s voluntary cuts, it would mean a total of 2.1 million bpd in restrictive oil production.

    The fact that Saudi Arabia was willing to shoulder even deeper cuts than it was asked to is telling of the position of the Kingdom, who has long carried the production cut deal nearly singlehandedly, motivated by its upcoming Aramco IPO, which depends significantly on oil prices.

    As additional motive for Saudi Arabia and the cartel to agree on a deeper production quota despite losing market share by doing so is the expectations of depressed demand growth going forward, which is expected to continue to weigh on oil prices without additional supply restrictions.

    The news of an OPEC win and the Saudi Surprise has already started to lift oil prices, with WTI and Brent up roughly 1.3% and 1.6%.
    Monday morning outlook

    Oil prices fell on Monday after data showing China’s overall exports of goods and services shrank for a fourth straight month.

    Monday’s sudden chill came after customs data released on Sunday showed exports from the world’s second-biggest economy in November fell 1.1% from a year earlier - a sharp reversal from expectations for a 1% rise in a Reuters poll.

    The weak start to the week came despite data showing China’s crude imports jumped to a record, revealing just how deep jitters are embedded in the market over the U.S.-China trade row that has stymied global growth and oil demand.

    The sagging export data is “a casualty again of the protracted trade war,” said Stephen Innes chief Asia market strategist at AxiTrader.

    Monday’s declines also went against signs on Friday that China was easing its stance on resolving its trade dispute with the United States, confirming on Friday that it was waiving import tariffs for some soybean and pork shipments.

    OPEC Meeting in Vienna conclusion

    On Friday, OPECS' producers agreed to deepen their output cuts from 1.2 million barrels per day (bpd) to 1.7 million bpd, representing about 1.7% of global production. “What made the announcement constructive... was the fact that Saudi Arabia said it will produce around 400,000 bpd below its new quota level,” ING Economics said in a note. “This would effectively take OPEC+ cuts to 2.1 million bpd,” ING said.

    Oil Future close on Friday 6th December

    Brent: 64.39 (+1.00) USD/barrel
    WTI: 59.20 (+0.77) USD/barrel
    NY Harbor Ulsd: 600.97 (+8.99) USD/Metric Ton
    MGO: 583.50 (+4.50) USD/MT

    Oil Futures trading at GMT 0718: Brent: - 21 cents, WTI: - 28 cents

    We expect bunker prices to rise: Fuel Oil + 4-5 USD/MT, ICE MGO +4-5 USD/MT and NY Harbor Ulsd + 9 USD/MT




2022 July 1

18:21 “K” Line has enhanced the shipboard cyber security with surveillance of ship’s communication 24/7
17:57 IAA PortNews’ summary of previous week news
17:34 INPEX, IHI, MOL demonstrate clean ammonia supply chain linking UAE and Japan
17:18 Stolt-Nielsen Limited reports unaudited results for the 2Q and 1H, 2022
17:00 Emperium launches electric catamaran Ecohod
16:44 R-FLOT lays down two small cruise ships
16:23 Austal USA awarded up to US$3.3 bn contract for 11 USCG offshore patrol cutters
16:07 Freeport LNG says it may resume partial liquefication operations in early Oct 2022
15:47 TotalEnergies Marine Fuels and MOL Group complete first biofuel bunker operation of a vehicle carrier in Singapore
15:28 State Duma approves bill on increasing fines for violation of coal handling regulations
15:10 DEME Group lists on Euronext Brussels
14:49 CPC Marine Terminal operates two of its three Single Point Moorings
14:27 CPC Terminal paid over RUB 5.28 billion for recovery of damage caused by oil spill
14:27 PM Fumio Kishida says Sakhalin 2’s new operator will not cause an immediate halt in LNG shipments to Japan
14:05 Spartacus nominated for KNVTS Ship of the Year
13:42 2 MOL-operated vessels earn 2021 'Best Quality Ship Awards'
13:20 Port of Houston container activity rises 20% in May 2022
13:03 Petersburg Oil Terminal confirms its ISO compliance
12:44 Monthly LNG imports from USA to EU in June for the first time exceeded gas supplied via pipeline from Russia – IEA
12:40 Solstad Offshore announces contract awards for two CSVs
12:25 Russian Railways' network loading fell by 2.8% in HI’2022
12:10 Maersk Tankers launches a new digital solution to track and report vessel emissions
12:00 Hiab launches next generation LOGLIFT forestry cranes
11:42 RF Government to establish new operator of Sakhalin Energy
11:30 Port of Rotterdam Authority abandons Normal Amsterdam Water Level after 200 years
11:18 Prelude FLNG cancels cargo deliveries amid union strike - Natural Gas Intelligence
11:01 INPEX, IHI, MOL demonstrate clean ammonia supply chain linking UAE and Japan
10:33 Maersk to reduce transit times by 5 -21 days from Asia to Northern Italy
10:21 Rosatom issued first five permits for navigation in NSR waters within summer-autumn season of 2022
10:15 The Twin-Port V project of the ports of Helsinki and Tallinn receives a total of EUR 6.8 million in EU funding
10:09 GTT signs a major contract for its "smart shipping" solution with an important player in liquefied gas shipping
09:52 Ports of Stockholm and CMB.TECH join forces in a hydrogen collaboration at Stockholm Norvik Port
09:16 Crude oil futures decrease in response to OPEC+ decisions
09:05 MABUX: Firm downward trend to continue in Global bunker market on July 01
08:32 Boskalis and Keppel sell their harbor towage activities in Singapore and Malaysia to Rimorchiatori Mediterranei
08:07 CMA CGM and ENGIE set to co-invest in the Salamander project, to produce second-generation biomethane
07:51 Industry-leading digital services rolled out at APM Terminals Valencia

2022 June 30

18:41 Ocean Yield agrees to purchase two 36,000 cbm liquified ethylene gas carrier newbuildings
18:12 Aker Solutions wins 5-year partnership agreement with Vår Energi
18:07 The icebreaking season 2021–2022 was exceptionally long - Finnish Transport Infrastructure Agency
17:47 The Signal Group launches a tech enabled bunker procurement company
17:34 2,8 million euro worth of EU funding to the Port of Tallinn
17:02 The Suez Canal Economic Zone hosts a round table discussion in coordination with the European Bank for Reconstruction and Development
16:47 Rosmorrechflot estimated excess of Caspian Basin seaports’ capacity at 12 million tonnes per year
16:35 Second Great Lakes Dredge & Dock Company trailing suction hopper dredge to be built to ABS Class at Conrad Shipyard
15:30 RF Government to subsidize banks’ interest rates on loans provided for construction of new transport and logistics centers
15:02 Schedule reliability remains between 30% and 40% - Sea-Intelligence
14:44 Khabarovsk Shipyard lays down non-self-propelled dredger of Project 4395
14:23 Ocean Yield AS announces delivery of newbuilding Suezmax tanker with 10-year charter
13:49 MABUX: Bunker Weekly Outlook, Week 26, 2022
13:32 Shipping companies and Customs authorities come together to step up the fight against narcotics trafficking
13:02 NYK becomes signatory to UN’s Sustainable Ocean Principles
12:42 DP World and NIIF announce broadening of partnership in India
12:12 MacGregor signs a five-year service agreement with Color Line
11:52 TGE Marine announces contract for two CO2 carriers
11:35 Shell to sign deal with Qatar for large LNG project - Bloomberg
11:17 Throughput of Russian seaports in H1’22 is flat, y-o-y, at 412.1 million tonnes
11:13 Shell and CMA CGM sign LNG fuel supply agreement in Singapore
10:38 G7 reaffirms the commitment to phase out the dependency on Russian energy
10:34 Northern Shipping Company’s MV Kholmogory delivered first batch of cargo to Kaliningrad