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  • 2022 August 4 14:46

    MABUX: Bunker Weekly Outlook, Week 31, 2022

    Downward changes to continue in Global bunker market next week

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

    Over the Week 31 MABUX global bunker indices continued firm downward trend. The 380 HSFO index declined by 7.44 USD: from 612.55 USD/MT to 605.11 USD/MT. The VLSFO index, also fell by 33.91 USD: from 915.11 USD/MT to 881.20 USD/MT. The MGO index also lost 38.33 USD: from 1205.15 USD/MT to 1166.82 USD/MT).

    The Global Scrubber Spread (SS) weekly average - the difference in price between 380 HSFO and VLSFO - decreased for the fourth week in a row - minus $13.79 ($292.29 vs. $306.08 last week). In Rotterdam, the average SS Spread also declined: $289.17 vs. $301.17 (down $12.00 from last week). The average weekly price difference 380 HSFO/VLSFO in Singapore (the most significant decline): minus $67.67 ($381.33 vs. $449.00 last week). More information is available in the Price Differences section of mabux.com.

    The natural gas market in Europe remains highly volatile amid the risks of gas supplies outages from Russia. LNG as bunker fuel in the port of Sines (Portugal) rose again on Aug 02 by 191 USD/MT to 3023.00 USD/MT (versus 2832.00 USD/MT last week). LNG prices are still more than double the price of the most expensive conventional bunker fuel: MGO LS at the port of Sines was quoted on Aug 03 at 1249 USD/MT.

    Over the Week 31, the MDI index (comparison of MABUX MBP Index (market bunker prices) vs MABUX DBP Index (MABUX digital bunker benchmark)) showed an undercharge of 380 HSFO fuel grade in three out of four ports selected: Houston remained in the overprice zone: plus $40. In other ports, the undercharge level declined slightly in the most of them and amounted to: Rotterdam - minus $110, Singapore - minus $123 and Fujairah - minus $148.

    VLSFO fuel, according to MDI, remained, on the contrary, overpriced in all selected ports: plus $23 in Rotterdam, plus $112 in Singapore, plus $121 in Fujairah and plus $89 in Houston. The MDI index still did not have firm dynamics: the overcharge decreased in Rotterdam, Singapore and Fujairah, but increased again in Houston. The most significant changes were registered in Singapore and Fujairah, where the overprice level declined by 47 and 59 points respectively. Nevertheless, VLSFO remains the most overvalued segment in the global bunker market.

    As for MGO LS grade, MDI index registered a fuel undercharge in two out of four selected ports: in Rotterdam - by $ 11, and in Singapore – by minus $53. This fuel grade remained overcharged in Fujairah – by plus $ 191 and Houston – by plus $ 60. The MDI index declined in all selected ports.

    The Port of Rotterdam has reported that Q2 sales of marine fuel oils and distillates totalled 2,432,780 metric tonnes (mt) – down from 2,507,146 mt in the previous quarter – while LNG sales were down almost 44% from 111,804 cubic metres (cbm) to 63,497 cbm. The Q2 statistics also showed a drop in VLSFO volumes – from 1,067,532 mt to 1,039,397 mt – and a hike in high sulphur fuel oil (HSFO) sales from 708,131 mt to 737,004 mt. Following the introduction of the IMO 2020 sulphur cap, VLSFO accounted for a very big chunk of the market, but HSFO sales have been rising as more scrubber-equipped vessels have continued to come onto the market and the price differential between the two grades has made it very advantageous to use the higher sulphur grade of fuel. The Q2 sales figures were a mixed bag for bio-blended fuels. Sales of bio-blended ultra low sulphur fuel oil (ULSFO) more than doubled from last quarter, from 9,520 mt to 22,167 mt, and bio-blended HSFO saw a huge hike from 819 mt to 18,679 mt. Sales of bio-blended VLSFO, however, were down from 137,051 mt to 119,174 mt.

    We expect downward changes continue in Global bunker market next week.

    By Anastasia Pervova, Marketing analyst, MABUX

2022 August 12

17:20 Avenir LNG signs MoU for the development and construction of an LNG/BioLNG Terminal in the Port of Oxelösund, Sweden
17:02 NE China ports handle over 3,100 China-Europe freight train trips - The State Council the People's Republic of China
16:31 Russian Railways boosts loading of cargo bound for Azov-Black Sea Basin by 2.5% in 7M’22
16:24 Global container fleet to grow more than demand - Hapag-Lloyd CEO - Reuters
15:30 ZIM invested $5.5 million in provider of asset and fleet visibility solutions
15:03 Equinor’s H2H Saltend selected to proceed as one of the first large-scale hydrogen projects in the UK
14:58 Three new barges delivered cargo for construction of Amur Gas Chemical Complex
14:13 Grimsby River Terminal welcomes the first sustainable car carrier
14:03 CMA CGM service starts to call Yilport Gemlik
13:42 Maersk Drilling awarded two-month extension with TotalEnergies offshore Denmark
13:14 De Vlaamse Waterweg and Port of Antwerp-Bruges maintain the water level in the docks and the Albert Canal with a temporary pump installation
12:00 First Rijeka–Czech Republic direct cargo rail service established
11:55 Kazakhstan Transport Week will be held in Almaty from September 20-22, 2022
11:32 MacGregor has received a significant order to supply all-electric RoRo equipment to four PCTC vessels
11:02 Diana Shipping announces the acquisition of nine Ultramax dry bulk vessels from Sea Trade
10:42 First hydrogen bunkering license issued in the Netherlands
10:28 Throughput of Russian seaports in 7M’2022 declined by 0.2% YoY
10:20 Teekay сompletes the first ship-to-ship operations at Port Sudeste Brazil
10:09 Höegh Autoliners posts Q2 2022 results
09:31 ZeroNorth signs deal with X-Press Feeders to propel carrier’s decarbonisation strategy
09:16 Crude oil futures decrease after growing for two days
08:51 MABUX: Global bunker indices to keep rising on August 12
08:33 Pakistan Navy saves 9 Indian crew members after ship drowns - Geo News

2022 August 11

18:30 Valenciaport strengthens relations with the Chinese region of Fujian
18:05 Yang Ming publishes financial report for H1 2022
17:57 Yara Latvija opens a mineral fertilizer packaging and storage warehouse at “Riga Nordic Terminal”
17:26 KSOE lands LNG carrier order worth KRW2tn from Qatar - BusinessKorea
17:06 UECC signs up for Svitzer’s EcoTow solution in Scandinavia
16:51 Aleksandr Lukashenko gave instructions to make the maximum use of the Russian ports to ship Belarus’ goods
16:25 Saipem awarded three new EPC contracts in Angola for a total amount of around 900 million USD
16:05 Australian Maritime Safety Authority issues the Port State Control Annual Report for 2021
15:39 Maersk Supply Service wins another integrated solutions project in Brazil
15:14 Cleaning and dredging of water area near Moskva-river berths completed
14:48 Port of Tallinn closes operations in Paljassaare harbour
14:23 Germany's RWE widens global search for LNG supplies - Reuters
13:33 Nuclear-powered container ship Sevmorput came to Murmansk from Petropavlovsk-Kamchatsky
13:15 Dozens missing after migrant boat sinks off Karpathos, Greece - The Associated Press
13:02 MABUX: Bunker Weekly Outlook, Week 32, 2022
12:41 MacGregor receives an order to supply all-electric RoRo equipment to four PCTC vessels
12:12 Milaha reports a 46% increase in net profit for H1 2022
11:52 MAN Energy Solutions signs MoU with Stena and Proman
11:17 Aker Solutions to provide subsea production system for the Trell & Trine development
11:04 Hapag-Lloyd revenues up to EUR 17 billion in first half year of 2022
10:40 Equinor’s new floating production vessel Johan Castberg catches fire
10:33 EU ban on Russian coal imports comes into force - Deutsche Welle
10:01 Gubkin University supports 6th LNG Bunkering and Alternatives conference as its Industry Partner
09:41 QatarEnergy awards McDermott FEED contract for the North Field South Offshore Pipelines Project
09:40 Rosatom exercised option to purchase share in Delo Group and increased its stake to 49%
09:18 Crude oil futures decrease on surge of US reserves
08:59 MABUX: Uptrend to continue in Global bunker market on August 11

2022 August 10

18:37 Awilco LNG ASA enters a new time charter contract for the WilForce with an oil major
18:07 BHP, Pan Pacific Copper and Norsepower partner to harness the power of wind-assisted propulsion
17:55 Water area of Ust-Luga port’s southern district put into operation
17:46 Drydocks World-Dubai signs strategic partnership with Silverstream Technologies
17:26 US antitrust Commission seeks feedback on performance of exemption for liner shipping consortia
17:19 Throughput of port Shanghai (China) in 7M’2022 fell by 7% YoY to 291 million tonnes
16:52 STC INSISO secures six-figure contract extension with Peel Ports
16:40 The three major Korean shipbuilders account for 55% of global ship orders in July - BusinessKorea
16:17 “K” Line enters into long-term time charter with QatarEnergy for seven newbuilding LNG vessels
15:46 Crowley partners with EcoVadis