• 2020 June 24 09:35

    MABUX: Bunker market this morning, June 24

    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) rose slightly on Jun.23:

    380 HSFO - USD/MT - 293.60 (+3.28)

    VLSFO - USD/MT – 350.00 (+3.00)

    MGO - USD/MT – 427.50 (+2.39)

    Meantime, world oil indexes changed irregular on Jun.23, after U.S. President Donald Trump’s assurance on China trade deal.

    Brent for August settlement decreased by $0.45 to $42.63 a barrel on the London-based ICE Futures Europe exchange. West Texas Intermediate for August delivery fell by $0.36 to $40.37 a barrel on the New York Mercantile Exchange. The Brent benchmark traded at the premium of $2.26 to WTI. Gasoil for July delivery gained $3.25 – $367.75.

    Today morning global oil indexes continue slight downward trend.

    President Trump wrote in a tweet that the agreement was “fully intact”. Earlier markets were unsettled by surprise comments from White House trade adviser Peter Navarro who said the hard-won deal was “over”. U.S.-China relations have reached their lowest point in years since the coronavirus pandemic that began in China hit the United States hard.

    Despite fears of a second wave of COVID-19, fuel markets rebounded last week, showing signs of improving fundamentals as global supplies continue to tighten. Oil demand is currently stand close to 90 million barrels per day (bpd). U.S. oil inventories rose by 1.7 million barrels, while U.S. oil production stands at 10.5 million bpd, down by 1.7 million bpd year-on-year. U.S. oil rigs saw a 15th consecutive week of decline, dropping by 10 rigs to bring the total number of rigs to 189. There are also another positive signs for fuel markets, with the return of economic activity around the world. The U.S. manufacturing PMI rose to 43.1 in May from 41.5 in April 2020.

    Bank of America estimates that the market saw a supply surplus on the order of 11 million bpd in the first half of 2020, but that quickly flips to a deficit of 2.5 million bpd for the remainder of the year. The bank noted that in the last 15 years, Brent crude averaged less than $50 per barrel only once – in 2016. Not even during the depths of the financial crisis in 2008 and 2009 was Brent below $50 for the full year. It will likely occur again in 2020, but Bank of America thinks Brent will return to $50 in 2021.

    China looks to raise its crude oil production by 1 percent to 3.85 million bpd and natural gas output by 4.3 percent this year. In order to increase its domestic oil and gas production, China will boost efforts to develop oil- and gas-rich areas in the Bohai Bay offshore northern China in the Sichuan province and far western region of Xinjiang. Last year, China’s crude oil production rose for the first time in four years after the government started to urge local state oil majors to boost the development and production of local resources to increase the energy security of the world’s top oil importer.

    China’s new low-sulphur fuel oil (LSFO) futures contract surged in its debut on Jun.22, rising as much as 13% on the Shanghai International Energy Exchange. The January contract was last up 10.5% at 2,617 yuan ($369.82) per tonne, versus a listing price of 2,368 yuan per tonne. The launch of the contract with sulphur content lower than 0.5% comes after an International Maritime Organization (IMO) ruling which bans ships from using high sulphur content fuel oil this year unless equipped with exhaust scrubbers.  The contract could help boost China’s ambition to build a regional bunkering hub in its eastern Zhoushan port to vie with the ship fuel market dominated by Singapore.

    The U.S. LNG industry expects to see buyers cancel as many as 45 LNG cargoes for August loading as natural gas demand in the Asian market and bloated European LNG inventories sap enthusiasm for U.S. LNG. That’s similar to the number of U.S. LNG cargoes that were canceled for July loading as well. For June loading, the cancellations were fewer but still substantial—anywhere from 20 to 30. Part of the problem is the narrow profit margin for U.S. LNG, with Henry Hub prices staying too close to European gas prices. Just 10 cents per million British thermal units separate the two. At that price, it’s impossible to turn a profit when factoring in shipping costs.

    The American Petroleum Institute (API) estimated another build in crude oil inventories, this time of 1.749 million barrels for the week ending June 19. Forecasts had predicted a smaller inventory build of 299,000 barrels. In the previous week, the API shocked the market with an increase in crude oil inventories of 3.857 million barrels, after analysts had predicted a smaller build.

    We expect IFO bunker prices may slightly decline by 1-3 USD today, VLSFO – minus 2-4 USD, while MGO prices may change irregular in a range of plus-minus 2-4 USD.


2024 April 23

15:24 Overseas Shipholding Group awarded federal grant to design marine transport for liquified CO2 captured by Florida’s largest emitters
14:53 H2Carrier to establish Norway's first integrated PtX and wind power project
14:23 IBIA and BIMCO sign collaboration deal
13:52 Container ship Xin Xin Shan arrested in Singapore
13:22 MOL to merge its subsidiaries in the Philippines
12:53 Haiti fuel terminal operations halted as gangs seize trucks
12:30 HHLA acquires interest in Austrian intermodal service provider Roland
11:42 South Korean yards built 500 LNG carriers for export in 30 years
11:19 Wartsila to provide a range of solutions for the six PCTCs being built for Sallaum Lines
10:36 Thecla Bodewes Shipyards successfully launches 'Vertom Anette’ for Vertom Group
10:12 Carras Aquataurus becomes world’s first vessel to earn ABS Biofuel-1 notation

2024 April 22

18:10 Cosco Shipping and Shenzhen port partner for automobile exports
17:42 SBM Offshore signs a US$250 million short-term corporate facility
17:06 MSC Group, MSC Foundation and Mercy Ships to build a hospital ship
16:45 Port of Valencia container volumes up to 459,749 TEUs in March 2024
16:13 TotalEnergies launches the Marsa LNG project and deploys its multi-energy strategy in the Sultanate of Oman
15:24 ABS and DOE sign MOU to collaborate on clean energy development and maritime decarbonization research
14:51 MOL becomes first Japanese operator to commercially install onboard CO2 capture system
14:24 Wartsila receives contracts to supply cargo handling and fuel gas supply systems for three new VLECs
13:54 Yang Ming revamp Far East-East Coast of South America Service
13:24 Cunard officially welcomes new ship Queen Anne with ceremony at Fincantieri shipyard
12:01 Value Maritime and MOL sign contract to supply an Exhaust Gas Cleaning System for an LR1 Product Tanker
11:43 Diamond Line enhances its NET2 service
11:24 Kotug International selected EST-Floattech for the containerized battery system for world’s first fully electric pusherboat
10:51 Torqeedo to integrate ocean plastics into its pioneering products

2024 April 21

15:07 Steerprop selected to supply main propulsion and tunnel thrusters for CCG's multi-purpose vessels program
13:51 First of its kind TRAktor V3900-DF launched at Uzmar Shipyard
12:37 ABS and DOE sign MOU to collaborate on clean energy development and maritime decarbonization research
11:25 SCHOTTEL to equip four new compact Damen ASD tugs with SRP 270 RudderPropellers
09:57 Hanwha Ocean expands offshore construction presence

2024 April 20

15:02 European ports contend with slow economic growth, geopolitical impact
13:43 AD Ports Group signs strategic agreement with ADNOC distribution for marine lubricants supply
12:17 Stena Bulk completes sale of Stena Blue Sky
10:05 Newbuild ocean tug bolsters growing LNG bunker fleet

2024 April 19

18:02 CMA CGM to strengthen and reshuffle its SEAS1 & SEAS2 services connecting Asia and East Coast South America
17:25 OOCL upgrades Transpacific Latin Atlantic 1/ 2 (TLA1/ 2) service
16:45 The world's two largest hydrogen ships are to be built in Norway
16:15 KEYS Azalea completes first ship-to-ship LNG bunkering in Western Japan
15:40 Port Houston surpasses 1mln TEU mark in Q1 2024
15:29 World's first ammonia dual-fuel Aframaxes to be developed by MISC
14:55 Port of Rotterdam total cargo throughput up 2.0% to 3.3 million TEUs in Q1 2024
14:06 DNV awards certificates for Fortescue’s dual-fuelled ammonia-powered vessel
13:44 Imoto Lines and Marindows launch next-generation zero-emission container ship project
12:41 The Port of Los Angeles and the Port of Long Beach complete a comprehensive Green and Digital Shipping Corridor study
12:20 Ulsan Port Authority signs MOU with Pacific Environment to decarbonize shipping ports in Singapore
11:50 Cavotec signs USD 5 million shore power order with global shipping company
11:22 Rio Tinto selects Alfa Laval OceanGlide fluidic air lubrication with a focus on advancing efficient shipping and reducing emissions
10:45 Steerprop selected to supply main propulsion and tunnel thrusters for Canadian Coast Guard multi-purpose vessels program
10:14 ST Engineering AirX and Bureau Veritas sign cooperation agreement to advance Wing-in-Ground technology
09:38 Solar panels at the Port of Valencia will generate 22% of the energy it consumes

2024 April 18

18:02 DEME wins cable installation contracts from Prysmian for IJmuiden Ver Alpha and Nederwiek 1 offshore grid systems
17:31 RINA awarded contract for Carnival Cruise Line 4th and 5th Excel-class ships
17:18 Cepsa and Evos join up for green methanol storage in Spain and the Netherlands
16:48 ClassNK commences joint research project with JAXA on material compatibility evaluation methods for liquefied oxygen
16:24 Panama Canal announces new measures regarding number of transits and maximum draft
15:50 Kongsberg Maritime secures contract to supply propeller systems to Damen Naval for four Anti-Submarine Warfare frigates
15:24 LR to class Torghatten Nord’s hydrogen-powered ferry duo for Arctic sailings
14:04 CMA CGM sells part of the foreign activities of Bolloré Logistics to the Balguerie Group
13:40 Methanol Institute and SEA-LNG unite against EU trade barriers to biomethane and biomethanol fuels
13:23 DP World launches a new Air Tracking feature to its SeaRates platform
12:31 Port of Los Angeles container volume increases 19% to 743,417 TEU in March 2024
12:16 MABUX: Bunker Outlook, Week 16, 2024
12:11 Coastal Sustainability Alliance boosts development and adoption of maritime biofuel in Singapore
11:43 Ocean Network Express launches reduced emissions shipping service
11:23 Wartsila cargo handling and fuel gas supply systems selected for three new Very Large Ethane Gas Carriers
10:45 Singapore plans production of biofuel blends up to B50 in grade
10:25 Maritime and Port Authority of Singapore and International Energy Agency сollaborate on maritime energy transition

2024 April 17

18:03 Australia and Singapore partner in a $20 million initiative to help reduce emissions in the maritime sector
17:38 EPS strengthens green collaboration with MPA with six Singapore-registered ammonia dual-fuel newbuilds
17:03 HD Hyundai, Scottish firms to cooperate on offshore wind power