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  • MABUX: Bunker Weekly Outlook, Week 12, 2022
  • 2022 March 24 12:55

    MABUX: Bunker Weekly Outlook, Week 12, 2022

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

    Sparked by the military conflict in Ukraine and the potential of up to 3 million bpd loss of Russian supply, the extreme volatility in bunker markets is here to stay. As a result of Week 12, the 380 HSFO Index rose by 35.97 USD: from 685.86 USD/MT to 721.83 USD/MT. The VLSFO index went up by 47.87 USD: from 895.98 USD/MT to 943.85 USD/MT. The MGO index gained 47.15 USD (from 1111.93 USD/MT to 1159.08 USD/MT). At the same time, growth rates have significantly decreased compared to those two weeks earlier.

    The Global Scrubber Spread (SS) weekly average - the difference between 380 HSFO and VLSFO - fell slightly over the week compared to the sharp growth two weeks earlier: minus $22.42 ($215.59 vs. $238.00 last week). In Rotterdam, the average SS Spread dropped from $267.67 to $217.17 (minus $50.50 from last week). In Singapore, the average SS Spread also fell by $40.50 from $261.17 to $220.67. The average Global SS Spread and Ports SS Spread continue to stay above the $200 mark. More information is available in the Price Differences section of mabux.com.

    Gas prices in Europe remain at record levels amid escalating geopolitical risks. LNG as a bunker fuel is still not listed. A per Avenir LNG, with gas prices surging in Europe, LNG as a marine fuel is currently more interesting in the Americas and Asia than in the Baltic Sea region. Many of the dual fuel vessels, originally designed to allay concerns over LNG availability, are now using small volumes of LNG to keep the tanks cold or to operate on LNG when they’re in port, but obviously the majority of the dual fuel fleet is running on diesel. ‘The LNG consumption is rather low currently and there’s only a few companies that are still highly invested in LNG or running on LNG, or even LBG (liquefied biogas), which is even more costly. Customers that are taking LNG volumes are doing so sparingly. A shipowner with a weekly bunkering schedule may now be going as much as two months before refuelling. LNG-fuelled vessels, especially tankers and feeder ships, are at a significant cost disadvantage to diesel-fuelled equivalents.

    Over the Week 12, the average correlation of MABUX MBP Index (market bunker prices) vs MABUX DBP Index (MABUX digital bunker benchmark) showed that the global bunker market was still prevailed by an overpriced fuel trend amid high volatility. Thus, 380 HSFO fuel grade remained overpriced in all four selected ports: in Rotterdam - plus $54, in Singapore - plus $4, in Fujairah - plus $25 and in Houston - plus $100. The most significant was a 54-point drop in 380 HSFO overpricing level in Singapore.

    VLSFO fuel grade, according to the MABUX MBP/DBP Index, also remained overpriced in all selected ports: plus $105 in Rotterdam, plus $43 in Singapore, plus $104 in Fujairah and plus $9 in Houston. Decline by 50 points in fuel overprice ratio at Singapore was the most significant.

    As for MGO LS, the MABUX MBP/DBP Index registered an overpricing of this fuel grade in three out of four selected ports: Singapore was in the undervaluation zone with minus $ 44. In Rotterdam, Fujairah and Houston, MGO LS was overvalued by $ 12, $ 82 and $124 respectively. The most significant change was a sharp drop of the overprice margin in Houston by 65 points.

    The escalation of the military conflict in Ukraine continues to be a potential driver for bunker prices uptrend, while growth rates have significantly slowed down. We expect the global bunker market to remain highly volatile with a predominance of sharp irregular changes next week.

    By Sergey Ivanov, Director, MABUX




2022 June 27

18:13 BW Energy signs agreement to acquire the FPSO Cidade de Vitoria, currently producing on the Golfinho field
18:07 Boskalis vessels switch to green shore power facility in Rotterdam in co-development with Port of Rotterdam Authority and Eneco
17:58 Rosmorport provides continuous ferry traffic on the Ust-Luga - Baltiysk line
17:30 FSRU contract Höegh LNG with AIE in Australia confirmed
17:02 Investigation into ammonia leak on Spanish tuna vessel begins in Seychelles - Seychelles News Agency
16:27 World’s first climate-neutral container handling facility recertified
15:58 Russia, India, China, Brazil and RSA to sign agreement on cooperation in customs area
15:45 Inmarsat and Thetius report explores human element in maritime digitalisation
15:45 Asia coal prices hit record on hot global competition for fuel - Bloomberg
15:21 Vestdavit to deliver telescopic davit for Danish Navy
14:27 Nuclear-powered container ship Sevmorput leaves for its first subsidized coastwise voyage to Petropavlovsk-Kamchatsky
14:06 Bureau Veritas completes new study on ammonia as fuel
14:02 BW LPG completes dual-fuel retrofits
13:33 Hydrographic Company holds tender for dredging of Utrenny terminal’s water area
13:15 Nakilat and Keppel to provide after-sales technical support for ballast water treatment systems in Qatar
12:30 Matson signs contract for ME-GI retrofit
12:14 International taskforce established to drive forward the development of Clean Energy Marine Hubs
12:01 Port Tanjung Pelepas turns to AI-powered management system
11:29 Seanergy Maritime acquires a modern Capesize vessel
11:02 Chernomorneftegaz platform in Black Sea shelled by Ukrainian troops
10:29 Sevmash lays down manned underwater vehicle of Project 03660 Jason
10:29 Dongwon Global Terminal selects CyberLogitec’s terminal operating system
10:03 The Getting to Zero Coalition convenes to develop action plan for maritime decarbonization
09:43 Metal structures and general cargo to be delivered by MV Kholmogory on its first voyage to Kaliningrad Region
09:21 Oil prices decrease after a growth on June 24
08:58 MABUX: Bunker prices may increase on June 27

2022 June 26

15:18 BW LPG carriers completed DF retrofits at Yiu Lian Dockyards in Shenzhen, China
13:42 Aegean Shipping accepts delivery of its first of four Aframax tankers
12:14 Large-scale offshore tender sets TenneT on course to deliver 2030 offshore expansion targets
11:03 KHI delivers bulk carrier PHILHOKUSAI

2022 June 25

15:07 The Getting to Zero Coalition convenes to develop action plan for maritime decarbonization
14:31 Manor Marine to build two Hybrid CTVs for Manor Renewable Energy with Chartwell Marine
13:04 ČEZ Group becomes first Czech company to have climate targets validated
10:13 FSL Trust agrees to sell one chemical tanker

2022 June 24

18:37 OneSea Energy B.V. and Subsea 7 conclude an MOU on collaboration in offshore hydrogen production
18:06 HJSC wins a bid to build two dual-fuel LNG 7,700 TEU-class container ships
17:57 PortNews’ week headlines summary
17:06 MOL, Tsuneishi Shipbuilding and Mitsui E&S Shipbuilding start joint development on net zero emission ammonia-fueled ocean-going liquefied gas carrier
16:51 Samsung Heavy Industries lands orders for 14 LNG carriers - Businesskorea
16:01 Expert says Russia’s Far Eastern seaports set for handling up to 1.5 million TEUs of exports
15:46 Alicat secures £2 million contract to build further two new vessels for North Star’s renewables fleet
14:55 CMA CGM and Port Authority of Singapore sign MoU
14:30 Gazprom Dobycha Nadym to start reclamation project for the development of the Yamal’s Kruzenshternskoye field
14:03 Chevron Marine Lubricants white paper assesses future cylinder oil needs
13:21 Bureau Veritas delivers AiP to the MANTA, an innovative clean up vessel
12:42 Sea Port of St.Petersburg beefs up its crane fleet
12:35 DP World and PCFC to modernise Romania’s Constanta Port with new RO-RO terminal
12:29 Sber CIB expects oil price to hit $100 a barrel by year-end
12:09 Successful completion of CNF19M ferry "General Chernyakhovsky" sea trials
12:09 Crowley, ESVAGT strengthen venture for U.S. offshore wind vessels
11:52 Port of Corpus Christi sets new tonnage and revenue records in first four months of 2022
11:35 Samskip and Ocean Infinity secure funds to drive forward hydrogen-fuelled SeaShuttle container ship
11:33 Oil prices show weak growth, mixed changes
11:25 “Viking Saturn” floated out in Ancona
10:53 HYPORT Coordination Company signs second land reservation agreement for a green hydrogen and ammonia production plant with OPAZ
10:41 Chinese shipbuilders delivered the largest container ship ever
10:30 Baltic Enabler transferred to the WALLENIUS SOL shipping line
10:12 Wilhelmsen enters into agreement to acquire Stromme to join forces on cargo hold cleaning
08:58 MABUX: Bunker prices may demonstrate irregular changes on June 24

2022 June 23

18:35 Emanuele Grimaldi appointed ICS Chairman