The Bunker Review was contributed by Marine Bunker Exchange (MABUX)
MABUX World Bunker Index (as index calculated on current prices for 380 HSFO, VLSFO and MGO in the main world hubs) demonstrated upward changes on Aug. 25:
380 HSFO - USD/MT – 604.96 (+4.75)
VLSFO - USD/MT – 861.96(+5.76)
MGO - USD/MT – 1 238.95 (+34.82)
As of August 25, the MABUX MBP/DBP Index (MDI) (comparison of market bunker prices versus the MABUX digital bunker price benchmark) showed overprice premium down and the rise of underprice premium in the HSFO segment, downward overcharge dynamics in the VLSFO segment and the return of the all selected ports into the overprice zone in the MGO LS segment.
380 HSFO fuel grade, according to MDI, were undervalued on August 25 in all selected ports: the underestimation premium was registered as: Rotterdam - minus $53 (minus $44 the day before), Singapore - minus $103 (minus $86), Fujairah - minus $114 (minus $101 the day before), in Houston - minus $6 (plus $13 the day before). The most significant changes were registered in Houston , where the overcharge level decreased by 19 points and this fuel grade became undercharged.
In the VLSFO fuel grade segment, all four selected ports, according to the MDI index, remain in the overcharge zone: Rotterdam - plus $ 9 (plus $ 22 the day before), Singapore - plus $ 38 (plus $ 54 the day before), Fujairah - plus $ 74 (plus $82 the day before) and Houston plus $27 (plus $41 the day before). As per MDI, downward trend registered in the VLSFO segment: the overcharge premium decreased for all selected ports. The most significant changes were registered in Singapore – Overcharge level decreased by 16 points.
MGO LS became overcharged in all selected ports: in Rotterdam – by plus $ 33 (0 the day before), in Singapore – by plus $4 (minus $34 the day before), in Fujairah – by plus $201 (plus $203 the day before) and in Houston – by plus $34 (minus $18 the day before). MDI index increased in most of selected ports. The most significant changes were registered in Houston, where the undercharged level decreased by 52 points and, as a result, this fuel grade became overcharged.
We expect Global bunker prices to change irregularly with downward tendency on August 26: the price for 380 HSFO may decline by 8-12 USD/MT, VLSFO – by minus 10-15 USD/MT, MGO LS – may change within plus/ minus 5-15 USD/MT.
