• 2023 February 2 13:39

    MABUX: Bunker Weekly Outlook, Week 05, 2023

    World bunker indices may show a moderate uptrend next week

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

    Over the Week 05, MABUX global bunker indices showed a moderate downward correction. The 380 HSFO index fell by 9.32 USD: from 490.19 USD/MT last week to 480.87 USD/MT. The VLSFO index, in turn, decreased by 8.46 USD (713.73 USD/MT versus 722.19 USD/MT last week). The MGO index also lost 35.10 USD (from 1076.50 USD/MT last week to 1041.40 USD/MT). We expect this is a short-run downward correction and the global bunker market still retains the potential for further uptrend.

    Global Scrubber Spread (SS) - the price differential between 380 HSFO and VLSFO - remained virtually unchanged over the Week 05 - plus $0.86 ($232.86 vs. $232.00 last week), although the average increased by $9.66. In Rotterdam, SS Spread rose by $13.00 to $206.00 (vs. $193.00 last week), breaking the psychological $200 mark. In Singapore, the 380 HSFO/VLSFO price difference was flat at $268.00. Meantime, the SS Spread weekly averages in Rotterdam and Singapore also added $13.16 and $8.16, respectively. More information is available in the "Differentials" section at www.mabux.com.

    EU gas inventories are still unusually high for this time of the year – at full across the EU and well above the five-year average for the winter heating season. The high volumes of gas in storage and the constant influx of LNG cargoes are easing supply concerns in the absence of most of the Russian pipeline gas.

    Despite that the price of LNG as bunker fuel at the port of Sines (Portugal) unexpectedly rose significantly for the first time in the last 8 weeks and reached 1446 USD/MT on January 30 (plus 271 USD compared to last week). The price difference between LNG and conventional fuel was 390 USD on January 30: MGO LS at the port of Sines was quoted at 1056 USD/MT that day. We expect LNG bunker prices may fall again next week.

    During the Week 05, the MDI index (comparison of MABUX market bunker prices (MBP Index) vs MABUX digital bunker benchmark (DBP Index)) maintained an underestimation of 380 HSFO fuel in all four selected ports. The underprice premium sharply decreased in Rotterdam to minus $34 from minus $123 last week. In the other selected ports, the undercharge ratio changed insignificantly and amounted to minus $ 125 in Singapore, minus $ 163 in Fujairah and minus $ 80 in Houston.

    In the VLSFO segment, according to MDI, three selected ports: Singapore, Fujairah and Houston are still in the overcharge zone: plus $45, plus $28 and plus $16, respectively. Rotterdam remains the only VLSFO underestimated port: minus $24. Overprice margins have risen while underpricing has declined.

    In the MGO LS segment, Fujairah remains the only overvalued port: plus $ 116 while overcharge ratio moderately increased. In all other ports, the MDI registered an underpricing of MGO LS: Rotterdam – minus $63, Singapore – minus $91 and Houston –  minus $12. The underprice levels narrowed slightly.

    More information on the correlation between market prices and the MABUX digital benchmark is available in the “Digital Bunker Prices” section at www.mabux.com.

    The Port of Rotterdam Authority registered 29,029 sea-going vessel arrivals in 2022 – 0.5% up on the 28,876 seen in 2021. However, the number of inland vessels saw a slight decrease on the year, from 98,469 in 2021 to 97,459 in 2022. Looking ahead, the Port Authority noted that from July methanol ‘will be bunkered regularly’. ‘Ahead of this, the preconditions for safe bunkering have now been agreed with the parties involved,’ the Port of Rotterdam Authority said. Methanol was included on the European bunker hub’s 2022 marine fuel statistics. The total volume of traditional and bio-blended marine fuel oil and distillate products delivered in Rotterdam last year was 10,510,355 metric tonnes – up substantially on the 9,592,145 mt sold in 2021. However, LNG bunker volumes fell 45% on the year.

    There are a lot of uncertainties regarding Russian fuel supply in the coming months, the key being whether Russia can place the fuel displaced from Europe elsewhere, and whether a planned price cap on Russia’s fuels would work as intended. Despite the current downward correction in the global bunker market, we are of option that there is still the potential for further growth. World bunker indices may show a moderate uptrend next week.

    By Sergey Ivanov, Director, MABUX


2024 March 19

13:42 ESL Shipping to sell its Supramax vessels
13:22 Ocean Network Express finalises European Union Allowances transaction with BNP Paribas
12:41 Wartsila Lifecycle Agreement provides operational support and cost savings for Korean container vessels
12:10 MOL, Idemitsu, HIF team up to develop e-fuel/e-methanol supply chain
11:42 MAN CEON digital platform receives Cyber Security Product Design Assessment certification from ABS
11:23 “K” Lline begins participating in joint study on liquefied CO2 marine transportation
10:48 Port of Los Angeles container volume increases 60% in Feb 2024
10:24 PortXL signs a partnership agreement with MINDbase
09:47 IMO to open regional office in Fiji to serve the Pacific

2024 March 18

18:13 Brunvoll propulsion chosen for ESVAGT's growing fleet of SOVs
17:42 ADNOC signs second long-term Heads of Agreement for Ruwais LNG Project
17:37 Cemre Marin Endustri shipyard holds launching ceremony for CMAL's MV Isle of Islay
17:24 Fortescue successfully conducts world’s first use of ammonia as a marine fuel in a dual-fueled ammonia-powered vessel in the Port of Singapore
17:02 APL updates on European Union’s Import Control System 2
16:03 MED Marine contracted to build MED-A2575 series tug for SVS Maritime
15:31 Hanwha Ocean and BV join hands to develop a 270K LNG carrier
15:17 HD Korea Shipbuilding awarded contracts for three VLACs
14:18 Port of Skagen and Stillstrom partner to decarbonise anchorage zone with offshore charging solutions
13:22 Sanmar delivers 6th battery electric power tugboat to Norwegian operator
13:16 COSCO SHIPPING Lines announces the launch of OCEAN Alliance DAY 8 product this year
12:21 Dutch offshore wind farm approved by LR
11:39 ClassNK awards first-ever notation for improvements in living and working environment to Fuyo Kaiun's bulk carrier "ELETTRA"
11:31 Davie strengthens Québec’s shipbuilding industry by supporting the reorientation of AFCDC
10:44 Storylines and Brodosplit shipyard renew ship building contract to construct private residence ship
10:25 BOEM announces environmental review of proposed wind energy project offshore New Jersey
09:51 First ‘flying’ electric ferry to debut in New Zealand in 2025

2024 March 17

16:31 Norwegian Shipowners' Association names Harald Fotland as its President
15:22 ABS Wavesight Nautical Systems now supports fully digital, streamlined SIRE 2.0 inspections
14:15 TechnipFMC selected by NEP to deliver the first all-electric iEPCI for CCS
13:03 US sanctions shipping company, targeting Iran and Houthi rebels
11:01 The first hybrid electric vessel built in South America will use a Corvus battery system
09:47 Kalmar and Forterra sign JDA for autonomous terminal tractor

2024 March 16

16:24 The Netherlands selects Naval Group for its submarine replacement program
15:41 Equinor exercises options to extend four-year drilling contracts
14:17 GONDAN Shipbuilders hosts launching ceremony for Edda Wind's CSOV C503
13:47 Van Oord, Van Aalsburg partner to further develop circular fascine mattresses
12:13 Snam wins "A" raing in CDP's Suppliers Engagement Rating for efforts against climate change
10:54 ULSTEIN unveils new subsea vessel for offshore energy tasks

2024 March 15

18:07 DNV gives nod to Friede & Goldman BargeRack solution
18:02 New partnership enables faster offshore wind installations in the U.S.
17:53 First production line at ‘World’s Largest Monopile Factory’ to go live in July
17:21 Brunvoll DP2 upgrades for more Mokster vessels
16:55 CMA CGM to suspend its calls at Port au Prince, Haiti
16:03 GEFO's LNG DF chemical tanker Tosca gets Green Award
15:19 CEVA Logistics develops new vehicle logistics business at the Port of Dunkirk
14:11 MPA: SaR operation continues for a missing crew member of the Liberia-flagged UTOPIA
13:07 To develop the Far East it makes sense to build a new shipyard in the country’s eastern regions, President Putin said
12:48 World’s first use of ammonia as a marine fuel in a dual-fuelled ammonia-powered vessel in the Port of Singapore
11:39 COSCO Shipping calls Port of Genoa, Italy with 20,000 TEU vessels on regular basis
10:03 DMC contracted to supply rudder systems for the world’s largest PCTCs

2024 March 14

18:04 Shearwater awarded seismic survey for UK carbon capture and storage project
17:15 UAE, world leaders discuss maritime corridor for aid to Gaza
16:05 Marine fuel sales at Singapore drop to a three-month low in February
15:43 World Shipping Council selects NCB for liner shipping Cargo Safety Program
15:00 ZIM reports results for 2023
14:57 DP World announces 2023 results
14:29 HaiSea unveils new operations facility for the world’s greenest tugboat fleet
13:44 DEME awards KENC with engineering and fabrication scope on multiple offshore wind installation projects
13:25 MABUX: Bunker Outlook, Week 11, 2024
12:43 Wartsila Lifecycle Agreement to support optimised low-emission operations for two P&O Ferries vessels
11:35 Hapag-Lloyd transport volumes up by 0.5% to 11.9 million TEU in 2023
10:51 NYK and Astomos Energy christen new dual-fuel LPG carrier
10:25 Port of Long Beach container volume up 24.1% to 674,723 TEUs in Feb 2024

2024 March 13

18:02 Lebanese, French officials float a plan to rebuild Beirut port nearly 4 years after huge explosion
17:23 Ascenz Marorka obtains type approval for cyber-security from Bureau Veritas for its digital solutions
16:58 USDOT announces $500 mln for ports available through the Port Infrastructure Development Program
15:44 RINA wins contract to create global investment plan for cruise sector
15:23 Hede International Shipping enters the Transpacific container trade
14:43 Concordia Damen wins contract to deliver a CDS2410 River Pusher to Transporte Fluviales Frey Bentos
14:13 CMA CGM Group launches its first loyalty program SEA REWARD