• 2020 September 2 09:08

    MABUX: Bunker market this morning, Sep 02

    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) demonstrated slight irregular changes on September 01:

    380 HSFO: USD/MT 315.82 (+0.19)
    VLSFO: USD/MT 366.00 (-1.00)
    MGO: USD/MT 443.75 (-0.82)

    Meantime, world oil indexes demonstrated upward changes on Sep.01 on positive economic news from China, and plans by the UAE's state oil company to reduce crude oil supplies by as much as 30 percent in October.

    Brent for November settlement increased by $0.30 to $45.58 a barrel on the London-based ICE Futures Europe exchange. West Texas Intermediate for October rose by $0.15 to $42.76 a barrel on the New York Mercantile Exchange. The Brent benchmark traded at the premium of $2.82 to WTI. Gasoil for September delivery added $3.75.

    Today morning oil indexes rise after the American Petroleum Institute (API) announced a larger-than expected draw in crude oil inventory.

    API reported a 6.360 million-barrel draw for the week ended August 28, much larger than the forecast of 1.950 million, and the previous week’s 4.524 million-barrel draw. The market will now be looking at the U.S. Energy Information Administration’s figures on crude oil supply, due later in the day.

    Strong Chinese manufacturing data also lifted oil prices. The Caixin Media Co. & Markit Manufacturing Purchasing Managers' Index (PMI) showed China's factory activity expanded at the fastest clip in nearly a decade in August, bolstered by the first increase in new export orders this year. The demand in China has also driven the current rise in oil prices, but weaker crude imports could limit the rally, especially if the demand recovery in Europe and the U.S. fails to materialize in September.

    Also supporting oil was better-than-expected U.S. manufacturing activity data released on Tuesday. August’s ISM Manufacturing Purchasing Managers Index (PMI) rose to 56, beating July’s reading of 54.2 and the 54.5 forecast. A rise in new orders saw the index climb to its highest level in more than a year.

    At the same time, slower-than-expected resumption of oil output in the United States after Hurricane Laura raised concerns over tighter supply. Output in the Gulf of Mexico is slowly recovering as activity resumes and was down by 525,099 barrels per day, or 28.4% of the region’s daily production, on Sep.1. 71 of the 643 manned platforms in the Gulf of Mexico remain closed in the aftermath of the storm that hit the region last week - the number was down from 117 platforms on Aug.31.

    The decline of U.S dollar gave some support to oil indexes. The USD was down 0.04% at 92.146 against a basket of currencies, after hitting its lowest since May 2018 in the wake of the U.S. Federal Reserve's policy shift on inflation announced last week. The weakening U.S. dollar makes oil and other commodities priced in dollars more attractive to global buyers.

    The U.S. Energy Information Administration U.S. said in a monthly report on Sep.01 that U.S oil production rose in June, but did not fully recover from a dramatic plunge in May. U.S. oil output rose 420,000 barrels per day in June to 10.436 million barrels a day. Production remained far below April levels of 11.99 million bpd. U.S. oil output had dropped sharply in the previous month as producers had scaled back as oil prices sank and demand fell due to the coronavirus pandemic and global oversupply.

    Meanwhile, the Organization of the Petroleum Exporting Countries (OPEC) said that its oil output reportedly rose by around 1 million barrels per day (bpd) in August. A sharp drop in fuel demand due to COVID-19 prompted OPEC+ to cut production by a record 9.7 million bpd from May 1, but this cut was eased to 7.7 million bpd from Aug. 1, with the eased cuts to remain in place until December. In August, OPEC countries bound by the deal delivered 99% of the pledged reduction. Compliance in July was revised up to 95%.

    Goldman Sachs expects Brent crude to reach $65 a barrel in the third quarter of 2021, although it could end the year lower, at $58 a barrel. It is also said it is expected WTI to rally to $55.88 a barrel by the third quarter of next year, up from $51.38 a barrel in earlier forecasts. Separately, Goldman analysts said back in July that demand for oil would likely recover to pre-crisis levels by 2022, spurred by a return to work for millions, a shift towards more private transport, and government support in the form of infrastructure spending. In their latest note, the investment bank's analysts said they expected oil demand to improve by 3.7 million bpd between January and August next year, while supply remains capped thanks to OPEC+' continuing production cuts and a modest increase in non-OPEC supply.

    At the same time, the market also assessing the stalled recovery in fuel demand as countries continue to battle the coronavirus pandemic with rolling COVID-19 lockdowns. This has created uncertainty about whether demand for transportation fuels will ever return to normal.

    We expect bunker prices may increase today: 1-3 USD up for IFO and 2-4 USD up for MGO.




2021 July 29

11:08 MARAD awards vessel acquisition management contract to Crowley
10:43 Rosmorport’s tugboats assisted sailing boat Pallada mooring in Egvekinot and Provideniya ports
10:08 Thun Tankers announces the launching of product tanker Thun Empower
10:00 British Ports Association welcomes the resumption of international cruise in England
09:35 Baltic Dry Index as of July 28
09:18 SCHOTTEL to deliver a total of ten rudder propellers and two transverse thrusters to Sanmar Shipyards
09:09 Crude oil prices rise on reduction of US reserves
08:00 Verifavia shipping highlights widespread confusion over EEXI technical parameters
07:55 Drewry launches shipmanager Steering Group to power vessel opex benchmarking

2021 July 28

18:20 NOVATEK announces consolidated IFRS results for Q2 and H1 of 2021
18:01 New BIMCO/ICS Seafarer Workforce Report warns of serious potential officer shortage
17:09 PSA & ONE team up to enhance sustainability and reduce maritime environmental footprint
16:28 ECSA and ETF welcome WHO decision to prioritise seafarers’ vaccination
16:03 Rosmorrechflot supports the International Conference “Development of Icebreaking and Support Fleet”
15:42 ERMA FIRST adds world’s smallest ballast water treatment system to product range
15:18 DCT Gdańsk and the Port of Gdańsk enter a new era of container handling on the Baltic Sea
14:51 Oleg Shakhmardanov appointed as head of FSBI Moscow Canal
14:10 MAN wins the world-first order for methanol engine within container segment
13:56 Amursky Shipyard should enter the APR markets – Prime Minister Mikhail Mishustin
13:14 Norcod finalizes transfer of 2.4 million fish into sea phase
12:55 Captain Guryev, rescue vessel of RF Navy's Black Sea Fleet passed the Suez Canal
12:32 Onezhsky Shipyard to get first federal tranche of RUB 1.3 billion for creation of ‘digital shipyard’ this year
12:13 DNV backs crew change programme in South East Asia
11:10 Firth of Forth proposed as Scotland’s Green Port
10:38 The Port of Gdansk welcoms the first cruise ship of the season
10:10 Andrey Severilov re-elected Chairman of the Board of Directors of FESCO
10:03 Haldor Topsoe and Yanchang form joint venture and build methanol catalyst facility in China
09:47 FESCO held repeated Annual General Meeting of Shareholders
09:28 Crude oil prices rise on reduction of US reserves
09:12 Baltic Dry Index as of July 28
09:05 Neal elected Long Beach Harbor Commission President
08:59 Seanergy announces delivery of one Capesize vessel and new bank loan facility

2021 July 27

18:34 Port of Kaohsiung wins International Association of Ports and Harbors (IAPH) 2021 Award
18:16 Port Houston launches business equity program
17:56 The UK’s most eastern port welcomes the maiden call of Noble Caledonia’s flagship vessel
17:36 ONE offers free transportation of oxygen tanks to India to fight the COVID-19
17:06 Pilbara Ports Authority launches its annual Recreational Vessel Safety Campaign
16:42 Carbon Trust to support BEIS in development and demonstration of innovative floating offshore wind technologies for the UK
16:14 Cargo Integrity Group calls for risk-based measures to prevent pest contamination
16:03 Passengers travelling via the Port of Helsinki should prepare for occasional congestion
15:33 APM Terminals Mobile targets Midwest supply chains
15:02 MOL jointly develops new energy-saving sail to boost ship propulsion
14:42 ICTSI South Pacific starts bulk coffee operations
14:24 GTT receives an order for the tank design of six new LNG carriers
14:11 IPEM and IAA PortNews launch their joint analytical project on cargo handling in Russian seaports
13:42 Port of Savannah moves 5mln TEUs in H1 2021
13:29 Launching of sea cruise between Aktau and Astrakhan under consideration
13:12 Port of Zeebrugge posts results for H1 2021
12:52 MSC takes delivery from Fincantieri of MSC Seashore
12:25 ABS leads EMSA consortium studying alternative fuels and technologies
12:12 IADC reveals the fifteen nominations in the running for the IADC Safety Awards 2021
11:44 FESCO performs its first intermodal shipment of containers with shoes from China to Krasnodar via CPV
11:26 MSC, Fincantieri and Snam to partner for world’s first oceangoing hydrogen-powered cruise ship
11:10 Yang Ming takes delivery of one more 11,000 TEU ship to upgrade Trans-Pacific service
10:45 The President of the European Council Charles Michel was briefed on the capabilities of the Port of Baku
10:39 Damen Marine Components awarded contract to provide rudders and steering gear for Navantia
10:23 DCT Gdańsk and the Port of Gdańsk enter a new era of container handling on the Baltic Sea
09:59 CMA CGM to launch a new RORO Short Sea Med service connecting Marseille & Barcelona with Casablanca
09:51 LNG terminal to be built on Sakhalin by the end of 2023
09:32 Baltic Dry Index as of July 26