• 2020 June 1 08:39

    MABUX: Bunker market this morning, June 1

    MABUX World Bunker Index (consists of a range of prices for 380 HSFO, VLSFO and MGO (Gasoil) in the main world hubs declined on May 29:

    380 HSFO: USD/MT 253.14 (-0.94)
    VLSFO: USD/MT 294.00 (-1.00)
    MGO: USD/MT 368.11 (-3.07)

    Meantime, world oil indexes demonstrated upward changes on May 29.

    Brent for July settlement increased by $0.04 to $35.33 a barrel on the London-based ICE Futures Europe exchange. West Texas Intermediate for July rose by $1.78 to $35.49 a barrel on the New York Mercantile Exchange. The WTI benchmark traded at the premium of $0.18 to Brent. Gasoil for June delivery added $2.75.

    Today morning oil indexes decline on Sino-U.S. tensions, the market also awaits of upcoming OPEC+ meeting.

    The latest survey by Baker Hughes showed a reduction of only 15 oil rigs last week, versus drops more than 60 per week during several weeks over the past 2,5 months. While the oil rig count is down 68% as a whole since the week ended March 13, the rate of decline has slowed in recent weeks, indicating that drillers were holding back on cuts as the surge in crude prices lure them to put out more barrels in return for more cash.

    Also, weekly data on U.S. crude provided by the Energy Information Administration showed the biggest rise in stockpiles last week since the end of April.

    The oil indexes got support in May from cuts in oil rigs and well shut-ins by U.S. drillers responding to the collapse in fuel demand, which drove WTI to sub-zero prices at one point in April.

    Larger production cuts by OPEC, which aims to remove 9.7 million barrels per day from global output, has also helped. However, some said the market was still some way off to achieving normalcy, and prices appeared frothy after five weeks of nearly non-stop gains.

    Not even a full month into OPEC’s deep production cut agreement, rumors have already surfaced that there is a difference of opinion over a possible extension of the oil production cuts — as usual, with Saudi Arabia on one side and Russia on the other. Looking ahead, OPEC+ is meeting again in June, and Saudi Arabia and some other OPEC members are considering extending record production cuts beyond the June deadline originally agreed. Russia, however, has been slow in agreeing to this move. State-owned giant Rosneft is arguing it does not have enough crude to ship to buyers with which it has long-term supply deals. This would make it very hard for the Russian company to continue with record oil cuts beyond June.

    But those discussions seem premature, as the cartel failed to fully comply with its agreed-upon quotas in May. Overall, the group cut just 5.91 million bpd from April levels, producing 24.77 million bpd. This is 4.48 million bpd of the promised reduction, or 74% compliant. One the reason for OPEC’s failure to bring production down to promised levels is due to contractual obligations with buyers given the short timeframe between the date the agreement was made and its implementation.


    OPEC president and Algerian energy minister Mohamed Arkab urged members of the exporters’ group as well as producers of a global pact to curb production, to consider an earlier date for their June meeting. He proposed advancing the date of the OPEC conference and OPEC+ meetings to June 4 instead of 9 and 10. He said reports of low levels of conformity to the OPEC+ may have an adverse impact as soon as markets are open on Monday. Mr Arkab urged ministers to share “positive messages” of conformity with the pact and indicate actual levels of commitments made.

    At the same time, there are still worries over the slow pickup in demand as economies reopen and over the ability of major producers to maintain production discipline as the year continues

    Investor sentiment has also been soured by rising Sino-U.S. tensions, with U.S. President Donald Trump set to respond on May, 29 to the decision of China’s parliament to back security legislation for Hong Kong. U.S. President Donald Trump promised “strong” and “meaningful” actions against China on Friday, although he did not provide specifics, in response to the NPC decision. Trump’s Secretary of State Mike Pompeo also said on May, 31 that U.S. had no basis to keep Hong Kong’s special trade status as China marches forward to enact the laws.
    Protests in dozens of U.S. cities after the death of George Floyd on Sunday also raised concerns about oil’s demand recovery, as well as fears of a second wave of COVID-19 cases, in the country.

    We expect bunker prices may slightly increase today: 1-3 USD up for IFO, 1-3 USD up for MGO.

    MABUX: Bunker market this morning, June 1

     

    Bunker prices may slightly increase today, expert says

     

    MABUX World Bunker Index (consists of a range of prices for 380 HSFO, VLSFO and MGO (Gasoil) in the main world hubs declined on May 29:

     

    380 HSFO: USD/MT 253.14 (-0.94)

    VLSFO: USD/MT 294.00 (-1.00)

    MGO: USD/MT 368.11 (-3.07)

     

    Meantime, world oil indexes demonstrated upward changes on May 29.

     

    Brent for July settlement increased by $0.04 to $35.33 a barrel on the London-based ICE Futures Europe exchange. West Texas Intermediate for July rose by $1.78 to $35.49 a barrel on the New York Mercantile Exchange. The WTI benchmark traded at the premium of $0.18 to Brent. Gasoil for June delivery added $2.75.

     

    Today morning oil indexes decline on Sino-U.S. tensions, the market also awaits of upcoming OPEC+ meeting.

    The latest survey by Baker Hughes showed a reduction of only 15 oil rigs last week, versus drops more than 60 per week during several weeks over the past 2,5 months. While the oil rig count is down 68% as a whole since the week ended March 13, the rate of decline has slowed in recent weeks, indicating that drillers were holding back on cuts as the surge in crude prices lure them to put out more barrels in return for more cash.

     

    Also, weekly data on U.S. crude provided by the Energy Information Administration showed the biggest rise in stockpiles last week since the end of April.

     

    The oil indexes got support in May from cuts in oil rigs and well shut-ins by U.S. drillers responding to the collapse in fuel demand, which drove WTI to sub-zero prices at one point in April.

     

    Larger production cuts by OPEC, which aims to remove 9.7 million barrels per day from global output, has also helped. However, some said the market was still some way off to achieving normalcy, and prices appeared frothy after five weeks of nearly non-stop gains.

     

    Not even a full month into OPEC’s deep production cut agreement, rumors have already surfaced that there is a difference of opinion over a possible extension of the oil production cuts — as usual, with Saudi Arabia on one side and Russia on the other. Looking ahead, OPEC+ is meeting again in June, and Saudi Arabia and some other OPEC members are considering extending record production cuts beyond the June deadline originally agreed. Russia, however, has been slow in agreeing to this move. State-owned giant Rosneft is arguing it does not have enough crude to ship to buyers with which it has long-term supply deals. This would make it very hard for the Russian company to continue with record oil cuts beyond June.

     

    But those discussions seem premature, as the cartel failed to fully comply with its agreed-upon quotas in May. Overall, the group cut just 5.91 million bpd from April levels, producing 24.77 million bpd. This is 4.48 million bpd of the promised reduction, or 74% compliant. One the reason for OPEC’s failure to bring production down to promised levels is due to contractual obligations with buyers given the short timeframe between the date the agreement was made and its implementation.

     

     

    OPEC president and Algerian energy minister Mohamed Arkab urged members of the exporters’ group as well as producers of a global pact to curb production, to consider an earlier date for their June meeting. He proposed advancing the date of the OPEC conference and OPEC+ meetings to June 4 instead of 9 and 10. He said reports of low levels of conformity to the OPEC+ may have an adverse impact as soon as markets are open on Monday. Mr Arkab urged ministers to share “positive messages” of conformity with the pact and indicate actual levels of commitments made.

     

    At the same time, there are still worries over the slow pickup in demand as economies reopen and over the ability of major producers to maintain production discipline as the year continues

     

    Investor sentiment has also been soured by rising Sino-U.S. tensions, with U.S. President Donald Trump set to respond on May, 29 to the decision of China’s parliament to back security legislation for Hong Kong. U.S. President Donald Trump promised “strong” and “meaningful” actions against China on Friday, although he did not provide specifics, in response to the NPC decision. Trump’s Secretary of State Mike Pompeo also said on May, 31 that U.S. had no basis to keep Hong Kong’s special trade status as China marches forward to enact the laws.

    Protests in dozens of U.S. cities after the death of George Floyd on Sunday also raised concerns about oil’s demand recovery, as well as fears of a second wave of COVID-19 cases, in the country.

     

    We expect bunker prices may slightly increase today: 1-3 USD up for IFO, 1-3 USD up for MGO.




2020 July 14

18:11 Wärtsilä contracted to deliver a scope of integrated solutions for CDWE's MIV
17:57 More States need to act on crew changes, says IMO Secretary-General
17:33 Throughput of Russian seaports in 6M’2020 climbed by 0.1% (detalization)
17:11 Alewijnse completes electrical installation TSHD Anchorage
16:46 Vladimir Putin signs the package of federal laws on the system of privileges in the Arctic
16:21 Mark Sickles named Interim CEO & Executive Director of DCA
15:55 Reconstruction of hydraulic facility No 9 of Tushinsky District’s HES obtains state expert approval
15:32 Green Yard Group takes over Kleven Verft business
15:04 Engineering and geological survey began for construction of Port Dalny terminal in Khabarovsk Territory
14:39 LISCR hires former USCG LNG expert to boost its global team
14:20 Young Russian sturgeon released to Volga as compensatory measure for dredging on Volga Caspian Canal
13:57 Rosmorport releases young keta salmon as compensatory measure for dredging in Shakhtersk
13:36 Straatman BV built solar-powered mooring systems for Port of Hamburg
13:12 ABB to power the world’s largest diamond recovery vessel for De Beers
12:48 Bunker prices are stable at the Far East ports of Russia (graph)
12:23 COMSAT bolsters Inmarsat network with increased C-band and L-band capabilities
11:55 IMO's informal discussions focus on cutting shipping’s carbon intensity
11:31 G3 Terminal Vancouver opens on Canada’s West Coast and transforms Canada’s grain supply chain
11:13 Further progress towards greener and safer ship recycling in Bangladesh reported at SENSREC meeting
10:50 Polish Ministry of Climate signs letter of intent on cooperation in the development of offshore wind energy
10:32 USCG investigates uninspected passenger vessel allision
10:07 Gdynia to be the installation port of Polish wind farms on the Baltic Sea
09:42 More information needed on the impacts of emissions trading in maritime transport
09:26 Oil prices decrease amid demand concerns
09:21 MABUX: Bunker market this morning, July 14
09:08 Baltic Dry Index as of July 13

2020 July 13

18:24 Canada joins Global Ocean Alliance
18:00 Interim report and independent audit of KS1437 Multipass Port project approved by related authority
16:59 Port of Ventspils (Latvia) handled 6.8 million tonnes of cargo in 6M’2020
15:32 Oboronlogistics ensures Northern delivery
15:04 Ørsted and Van Oord have successfully installed all array cables of the Borssele I & II offshore wind farm
14:21 Dublin Port throughput declines by 10.9% in the six months to June
13:53 FSUE Rosmorport’s revenue in HI’2020 grew by 6% YoY
13:30 Average wholesale prices for М-100 HFO grew to RUB 10,425 in RF spot market
13:04 CMA CGM announces FAK rates from Asia to the Mediterranean
12:41 CMA CGM announces FAK rates from Asia to North Europe
12:19 Tallinks’s vessel Romantika to offer two direct sailings from Riga to Helsinki this July and August
12:18 ISO releases environmental report assurance standard
11:55 NOVATEK reports preliminary operating data for the second quarter and first half 2020
11:32 KN increases the volume of biofuel handling
11:02 XELLZ acquires additional 100.000sqm to develop a Free Zone at Rosslare Europort
10:14 Gibdock completes an extensive two-vessel drydocking and maintenance project for returning customer Shearwater GeoServices
10:13 Port of Helsinki throughput in 6M’2019 fell by 9.2% to 6.6 million tonnes
09:58 The Fjords takes delivery of second all-electric passenger ship
09:49 Oil prices continue going down
09:32 RF Government to allocate RUB 320 million as support of shipping companies
09:10 Baltic Dry Index as of July 10
09:05 MABUX: Bunker market this morning, July 13

2020 July 12

16:21 Carnival Corp announces change in leadership team
15:38 UMS Skeldar gets contract to supply mine countermeasures drones system
15:23 Samson introduces the latest in mooring line innovation
14:19 Coast Guard halts 2 illegal charters near Star Island
13:41 Carnival Corporation's AIDA Cruises to restart sailing vacations in August
13:18 New OCIMF Committee structure
12:51 American P&I Club and ABS Consulting join forces to drive cyber awareness for maritime insurance
11:49 Royal Caribbean Group acquires remaining interest in Silversea

2020 July 11

15:28 Cox Powertrain celebrates as first 300hp diesel outboards roll off the production line ready for delivery
14:51 WCI names Tracy R. Zea as President & CEO
13:45 NOS expands its fleet with two additional M-Class vessels
11:37 Huisman to deliver 250mt Knuckle Boom Crane and 500mt Towing Winch for Nanhai Rescue Bureau