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  • MABUX: Bunker Weekly Outlook, Week 27, 2022
  • 2022 July 7 13:04

    MABUX: Bunker Weekly Outlook, Week 27, 2022

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

    Over the Week 27, the world bunker indices showed a sharp decline, primarily due to the fall in oil prices on July 05. The 380 HSFO index fell by 52.10 USD: from 734.52 USD/MT to 682.42 USD/MT. The VLSFO index, in turn, decreased by 33.17 USD: from 1069.54 USD/MT to 1036.37 USD/MT. The MGO Index suffered the most significant losses: minus 80.29 USD (from 1378.31 USD/MT to 1298.02 USD/MT), dropping below 1300 USD.

    Despite the decline in fuel prices, the Global Scrubber Spread (SS) weekly average - the price difference between 380 HSFO and VLSFO - continued to increase over the week - plus $ 14.70 ($ 348.90 vs. $ 334.20 last week). In Rotterdam, the average SS Spread also rose: $324.50 vs. $307.00 (up $17.50 from last week). The most significant growth in the average weekly 380 HSFO/VLSFO price difference was registered in Singapore: plus $ 51.67, breaking the $ 500 mark: $ 541.50 versus $ 489.83 last week. For more information, please visit the Price Difference section on mabux.com.

    Tight supply and energy security uncertainty pushed natural gas prices to record highs over the week. The price of LNG as bunker fuel in the port of Sines (Portugal) rose on July 4 by 193 USD, exceeding 3000 USD mark: 3156 USD/MT (versus 2963 USD/MT a week earlier). LNG prices are more than double those of traditional bunker fuels: MGO LS at the port of Sines was quoted on July 06 at 1426 USD/MT.

    Over the Week 27, the MDI index (comparison of MABUX MBP Index (market bunker prices) vs MABUX DBP Index (MABUX digital bunker benchmark)) continued to register an underestimation of 380 HSFO fuel in three out of four ports selected: Rotterdam - minus $ 72, Singapore - minus $ 105 and Fujairah - minus $71. Houston remains the only overpriced port - plus $ 20. The underprice premium rose in all three ports. In Houston, the overcharge margin continued to decline, approaching 100-percent correlation’s mark.

    VLSFO fuel grade, according to MDI, remained overpriced in all four selected ports: plus $75 in Rotterdam, plus $261 in Singapore, plus $281 in Fujairah and plus $66 in Houston. Here, the MDI index did not have a firm trend: the overprice premium increased in Rotterdam, Singapore and Fujairah, but decreased in Houston. VLSFO fuel remains the most overvalued segment in the global bunker market.

    As for MGO LS grade, MDI registered an overcharge of this fuel in all selected ports: in Rotterdam - plus $ 20, in Singapore - plus $ 29, in Fujairah - plus $ 223 and in Houston - plus $ 112. The most significant changes were in Fujairah - plus 76 points and Houston - plus 63 points. In Rotterdam and Singapore, over the week, overcharge premium decreased, while in Fujairah and Houston it rose.

    DNV reported there were just six vessels added to DNV’s database in June but in spite of a quiet month for contracting, Q2 2022 was the strongest ever quarter for LNG-fuelled tonnage orders, with 83 vessels added to the tally. Meantime, while six orders were placed last month, an adjustment to a previously reported containership booking meant that net growth in June was actually only two additional vessels. Looking ahead to the next few months, however, the LNG bunkering market looks set to witness a ‘ketchup-bottle effect’, with LOIs in the pipeline and reports of ‘numerous’ container vessel and car carrier orders. DNV also highlighted growing momentum in methanol-fuelled vessel orders, with two offshore construction vessels added to its database in June.

    We expect next week the global bunker market to pass into upward correction after a sharp fall this week.

    By Sergey Ivanov, Director, MABUX

2022 August 17

10:09 Port of Long Beach releases the Deep Draft Navigation Integrated Feasibility Report
09:41 Crowley secures subcontract for hybrid-electric ferry
09:38 Delo Group acquired Sakhalin Shipping Company
09:17 Crude oil futures rise after a fall at the previous session
08:55 MABUX: Global bunker prices to continue firm downward trend on Aug 17

2022 August 16

18:11 Viktor Chernomyrdin icebreaker officially received the status of a passenger ship
17:55 Sailing ship Mir takes on board second shift of cadets this year
17:36 Wan Hai Lines acquired four 3,000 TEU containerships from CSBC Corporation
17:06 Gulf Navigation seals refinancing deal for 5 petrochemical tankers
16:42 ABP appoints the lead for Port Talbot Transformation Programme
16:23 Port of Singapore bunker sales in 7M’2022 fell by 8.6% YoY
16:04 More than 500 workers of the port of Liverpool to strike over an ‘inadequate’ pay offer - Unite
15:38 Port of Singapore throughput in 7M’2022 fell by 3.7% to 339.1 million tonnes
15:14 Reefer container freight rates stabilise but to outpace dry box pricing - Drewry
15:04 A.P. Moller - Maersk to adopt Viking’s HydroPen container firefighting system
14:49 Port of Helsinki throughput in January-July 2022 rose by 8.4% YoY
14:30 Suez Canal Authority and Maersk sign bilateral cooperation agreement
14:20 GoodFuels’ Asia-Pacific branch starts sustainable biofuel deliveries with NYK as first client
14:03 Paxocean, Hong Lam Marine and Bureau Veritas sign Mou to develop ammonia bunker vessel design
13:31 Korea’s automobile exports top US$5bn in July - BusinessKorea
13:02 Ship travel passenger numbers in Helsinki late summer up to 80% of pre-COVID levels
12:38 Equinor extends contracts for AHTS’s in Norway and Brazil
12:37 Vladivostok Sea Fishing Port included into China’s list of Russian fishery products suppliers
12:01 Maersk and Castlery sign multi-year global logistics and fulfilment agreement
11:48 IAA PortNews to hold discussion on fish ports development and fish delivery logistics at Seafood Expo Russia
11:30 Steerprop to supply a complete propulsion package for first-of-its- kind wind installation vessel
11:01 Kalmar and Tropical Shipping strengthen long-term relationship with new order for straddle carriers
10:20 Eneti announces sale of shareholding in Scorpio Tankers
10:09 Ocean Network Express connects to CargoWise to enable automatic digital rate transfer
09:37 Freeport of Riga increased its cargo turnover in 7M’22 by 13.1% YoY
09:18 MABUX: Downward trend returns back to Global bunker market on Aug 16
09:14 Crude oil futures continue decreasing after a fall due to reduction of demand in China
09:13 Furetank and Algoma establish joint venture to construct four climate friendly dual-fuel product tankers

2022 August 15

18:26 Fujian MSA and Fishing Authorities announce the 1st batch of hgh risk warning areas of collision between merchant ships and fishing boats
18:06 Port digitisation project at APM Terminals Liberia set to improve efficiency and ease of doing business
17:55 Vladivostok Sea Fishing Port to convert one of its berth into container storage yard
17:26 King Abdulaziz Port in Dammam breaks container throughput record in June
17:06 Keppel O&M wins US$2.9bn newbuild FPSO P-80 contract from Petrobras
16:41 Zero-carbon fuel readiness on the rise but challenges remain - LR
16:20 Container throughput of Hong Kong port (China) in 7M’2022 fell by 4.3% to 8.65 million TEU
16:01 De-Kastri port to handle four ships loaded with oversize cargo for Amur Gas Chemical Complex in 2022
15:23 TECO2030 receives BWTS order
15:02 Greenpeace activists target Oldendorff vessel as part of ‘No new gas’ protest
14:23 Fishing vessel sinks off San Juan Island, oil sinks - U.S. Coast Guard
14:03 ZeroLab by Klaveness and South32 complete shipping emissions analysis
13:35 Nordic Engineering and Information & Analytical Center of State Commission for Arctic Development sign cooperation agreement
13:13 The Lower Parana Coast Guards revises speed regulations on Parana river
12:41 Alfa Laval FCM Methanol chosen as the fuel supply system for six methanol-fuelled container vessels
12:12 AMSA provides aerial support for catamaran
11:42 ONE adds Mombasa port call to MIM service
11:36 FESCO’s foreign trade cargo turnover via Far East ports rose by 19% to 131,000 TEU in H1’22
11:19 DEME’s next-generation vessel ‘Orion’ successfully installs the Fécamp offshore substation jacket and topside
10:49 Port of Tanjung Pelepas becomes first container terminal in Malaysia to surpass 1 mln TEUs a month
10:24 Waleid Gamal Eldien appointed as Chairman for Suez Canal Economic Zone
09:45 Far East Shipping Company (FESCO) reports 6-fold surge of its RAS net profit
09:17 Crude oil futures decrease with U.S. attempts to cap Russian oil prices
08:44 MABUX: Global bunker prices may change irregularly on Aug 15

2022 August 14

14:51 DEME’S next-generation vessel "Orion" successfully installs the Fécamp offshore sustation jacket and topside
13:18 USCG awards contract to expand East Tongue Point facilities
12:46 Diana Shipping announces the acquisition of nine Ultramax dry bulk vessels from Sea Trade Holdings Inc.