• 2020 January 24 10:22

    MABUX: Bunker market this morning, Jan 24

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

    MABUX World Bunker Index (consists of a range of prices for 380 HSFO, 180 HSFO and MGO (Gasoil) in the main world hubs) demonstrated irregular changes on Jan.23:

    380 HSFO: USD/MT 380.18 (+0.70)
    VLSFO: USD/MT 615.00 (-9.00)
    MGO: USD/MT 659.61 (-7.82)


    Meantime, world oil indexes fell on Jan.23 on concern that the spread of a respiratory virus from China could lower fuel demand if it stunts economic growth.

    Brent for March settlement decreased by $1.17 to $62.04 a barrel on the London-based ICE Futures Europe exchange. West Texas Intermediate for March fell by $1.15 to $55.59 a barrel on the New York Mercantile Exchange. The Brent benchmark traded at the premium of $6.45 to WTI. Gasoil for February delivery lost $6.75.

    Today morning global oil indexes turned into slight upward trend so far.

    China put on lockdown two cities that were at the epicentre of a new coronavirus outbreak that has killed 17 people and infected nearly 600, as health authorities around the world scrambled to prevent a global pandemic. The potential for a pandemic has stirred memories of the Sudden Acute Respiratory Syndrome outbreak in 2002-03, which also started in China and dented economic growth and caused a slump in travel. Cases have been detected as far as away as the United States and global stock markets were also down in part due to fears of the virus spreading further as millions of Chinese prepare to travel for the Lunar New Year.

    The Energy Information Administration reported a modest crude oil inventory draw of 400,000 barrels for the week to January 17. This compared with forecast expectations of a 1.117-million-barrel inventory decline and a draw of 2.5 million barrels reported a week earlier. Last week, however, oil prices were pressured by the EIA’s reporting of hefty builds in both gasoline and distillate fuel.

    The Energy Information Administration also said that oil production in the seven most prolific shale plays in the United States is set to increase by 22,000 bpd in February to 9.2 million bpd. Oil and gas companies drilled a total of 1,036 wells in December and completed 1,086. The number of drilled but uncompleted wells has shrunk to just 7,573. This is down from 8,055 year over year, and the lowest number since October 2018. Overall, oil production in the United States continues to increase unchecked, reaching 13 million bpd for week ending January 10.

    Alexander Novak will continue to be the face of Russia’s energy diplomacy at OPEC+ summits as he remains Russia’s Energy Minister in the new government that President Vladimir Putin appointed Jan.21. Novak, who has been leading the energy ministry since 2012, has been a key figure in the talks between OPEC and its leader and largest producer, Saudi Arabia, and the Russia-led alliance of non-OPEC producers in cutting deals to reduce oil production in recent years. After a week of speculation and uncertainty about who will hold which posts, including that of the energy minister, Putin signed the executive order to appoint the new government. Several key ministers, including Novak and Finance Minister Anton Siluanov, will keep their posts. Russia’s position regarding the fate of the deeper production cuts in place until the end of March will be much less familiar, as Novak is known for keeping it ‘a secret’ until the day of the meeting.

    The European Union is eyeing long promised punitive measures against Turkey for its illegal military incursion into northern Syria, as well as its unauthorized natural gas drilling off Cyprus' coast. The EU has moved to cut pre-accession aid to Turkey by 75 percent (the Instrument for 'Pre-Accession Assistance' (IPA) is offered in support of reforms in countries in the process of joining the EU). The cut in aid, however, doesn't affect the €3.5 billion offered to Turkey as part of a larger EU deal to prevent refugees from reaching European shores. Meantime, the EU has already warned Turkey of possible repercussions over illegal gas drilling off the coast of Cyprus.

    General Khalifa Haftar has shut off more than half of Libya’s oil exports, and the National Oil Company (NOC) has declared force majeure, taking 800,000 barrels per day of crude offline for export, and costing the country some $55 million in lost revenues daily. Four key ports - Hariga, Brega, Sidra and Ras Lanuf - are closed and under force majeure as of 18 January. Once these ports reach their storage capacity, which is limited, the NOC will have to shut down crude oil production. Right now, the NOC is reducing crude oil production rates to avoid a total shutdown of production. A total shutdown would take all 1.2 million bpd offline and cost the country $77 million a day. However, even if Libya shutters its entire 1.2 million bpd, OPEC can offset the supply disruption with a spare 3 million bpd of capacity, so the impact would be limited.

    IBIA found that most shipping and bunkering companies had experienced a ‘surprisingly smooth transition’ for IMO 2020, but there was uncertainty on how to deal with sulphur test results marginally above the 0.50% limit. As per IBIA, the problem lies in the difference between commercial contract interpretation around test precision principles and the MARPOL Annex VI sulphur verification procedures approved by the IMO for authorities to use when obtaining samples from ships to check for compliance. It was also noted that majority of the companies have not had the operational problems that have been predicted due to fuels with serious stability issues or due to mixing incompatible fuels onboard the ship, although VLSFO testing off-spec for sediment, an indicator of poor fuel stability, has been reported in some ports during December and January.

    We expect bunker prices to fall slightly in a range of minus 3-6 USD.

    MABUX: Bunker market this morning, Jan 24

     

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

     

    MABUX World Bunker Index (consists of a range of prices for 380 HSFO, 180 HSFO and MGO (Gasoil) in the main world hubs) demonstrated irregular changes on Jan.23:

     

    380 HSFO: USD/MT 380.18 (+0.70)

    VLSFO: USD/MT 615.00 (-9.00)

    MGO: USD/MT 659.61 (-7.82)

     

    Meantime, world oil indexes fell on Jan.23 on concern that the spread of a respiratory virus from China could lower fuel demand if it stunts economic growth.

     

    Brent for March settlement decreased by $1.17 to $62.04 a barrel on the London-based ICE Futures Europe exchange. West Texas Intermediate for March fell by $1.15 to $55.59 a barrel on the New York Mercantile Exchange. The Brent benchmark traded at the premium of $6.45 to WTI. Gasoil for February delivery lost $6.75.

     

    Today morning global oil indexes turned into slight upward trend so far.

     

    China put on lockdown two cities that were at the epicentre of a new coronavirus outbreak that has killed 17 people and infected nearly 600, as health authorities around the world scrambled to prevent a global pandemic. The potential for a pandemic has stirred memories of the Sudden Acute Respiratory Syndrome outbreak in 2002-03, which also started in China and dented economic growth and caused a slump in travel. Cases have been detected as far as away as the United States and global stock markets were also down in part due to fears of the virus spreading further as millions of Chinese prepare to travel for the Lunar New Year.

     

    The Energy Information Administration reported a modest crude oil inventory draw of 400,000 barrels for the week to January 17. This compared with forecast expectations of a 1.117-million-barrel inventory decline and a draw of 2.5 million barrels reported a week earlier. Last week, however, oil prices were pressured by the EIA’s reporting of hefty builds in both gasoline and distillate fuel.

     

    The Energy Information Administration also said that oil production in the seven most prolific shale plays in the United States is set to increase by 22,000 bpd in February to 9.2 million bpd. Oil and gas companies drilled a total of 1,036 wells in December and completed 1,086. The number of drilled but uncompleted wells has shrunk to just 7,573. This is down from 8,055 year over year, and the lowest number since October 2018. Overall, oil production in the United States continues to increase unchecked, reaching 13 million bpd for week ending January 10.

     

    Alexander Novak will continue to be the face of Russia’s energy diplomacy at OPEC+ summits as he remains Russia’s Energy Minister in the new government that President Vladimir Putin appointed Jan.21. Novak, who has been leading the energy ministry since 2012, has been a key figure in the talks between OPEC and its leader and largest producer, Saudi Arabia, and the Russia-led alliance of non-OPEC producers in cutting deals to reduce oil production in recent years. After a week of speculation and uncertainty about who will hold which posts, including that of the energy minister, Putin signed the executive order to appoint the new government. Several key ministers, including Novak and Finance Minister Anton Siluanov, will keep their posts. Russia’s position regarding the fate of the deeper production cuts in place until the end of March will be much less familiar, as Novak is known for keeping it ‘a secret’ until the day of the meeting.

     

    The European Union is eyeing long promised punitive measures against Turkey for its illegal military incursion into northern Syria, as well as its unauthorized natural gas drilling off Cyprus' coast. The EU has moved to cut pre-accession aid to Turkey by 75 percent (the Instrument for 'Pre-Accession Assistance' (IPA) is offered in support of reforms in countries in the process of joining the EU). The cut in aid, however, doesn't affect the €3.5 billion offered to Turkey as part of a larger EU deal to prevent refugees from reaching European shores. Meantime, the EU has already warned Turkey of possible repercussions over illegal gas drilling off the coast of Cyprus.

     

    General Khalifa Haftar has shut off more than half of Libya’s oil exports, and the National Oil Company (NOC) has declared force majeure, taking 800,000 barrels per day of crude offline for export, and costing the country some $55 million in lost revenues daily. Four key ports - Hariga, Brega, Sidra and Ras Lanuf - are closed and under force majeure as of 18 January. Once these ports reach their storage capacity, which is limited, the NOC will have to shut down crude oil production. Right now, the NOC is reducing crude oil production rates to avoid a total shutdown of production. A total shutdown would take all 1.2 million bpd offline and cost the country $77 million a day. However, even if Libya shutters its entire 1.2 million bpd, OPEC can offset the supply disruption with a spare 3 million bpd of capacity, so the impact would be limited.

     

    IBIA found that most shipping and bunkering companies had experienced a ‘surprisingly smooth transition’ for IMO 2020, but there was uncertainty on how to deal with sulphur test results marginally above the 0.50% limit. As per IBIA, the problem lies in the difference between commercial contract interpretation around test precision principles and the MARPOL Annex VI sulphur verification procedures approved by the IMO for authorities to use when obtaining samples from ships to check for compliance. It was also noted that majority of the companies have not had the operational problems that have been predicted due to fuels with serious stability issues or due to mixing incompatible fuels onboard the ship, although VLSFO testing off-spec for sediment, an indicator of poor fuel stability, has been reported in some ports during December and January.

     

    We expect bunker prices to fall slightly in a range of minus 3-6 USD.




2020 March 31

18:06 APM Terminals Nigeria donates $US 200,000 to UN Nigeria Basket Fund
17:51 New publication offers updated maritime security guidance for mariners operating off West Africa and Gulf of Guinea
17:36 Manila ports fear shut down due to continued cargo congestion
17:20 Floating workshop of RF Navy's Baltic Fleet completed tasks in Mediterranean Sea
17:06 Yang Ming reveals 2019 financial report
16:55 State Duma of Russia approved in first reading expansion of resource base for LNG production projects
16:23 Rolls-Royce supplies innovative propulsion system for new multi-purpose vessels in the North and Baltic Seas
16:18 Nauticor and Novatek cooperate in the development of small-scale LNG supply infrastructure in the Baltic Sea
15:28 Bunker prices continue going down at the Far East ports of Russia (graph)
15:04 ClassNK establishes "Rules for the Survey and Construction of Governmental and Naval Ships"
14:42 NOVATEK declares LNG transshipment in Norway to be a temporary measure caused by Covid-19 pandemic
14:23 Wärtsilä Translink becomes first ever solution fully compliant with latest IEC and DNV GL Cyber Security rules
13:36 Krasnoye Sormovo to build three more ships of RSD59 design
13:09 Hapag-Lloyd revises North Europe – CAF May 1, 2020
12:51 Navigation season opens at Coal Sea Port of Shakhtersk
12:27 Krasnoye Sormovo shipyard completed sea and mooring trials of Pola Yaroslava, dry cargo carrier of Project RSD59
12:09 Verifavia partners with OSM Maritime Group to provide IHM services
11:44 Operations under quarantine arranged by Troitsa Bay Seaport (MPBT)
11:30 Vostochny Port arranged operations under quarantine
11:08 ABS supports U.S. COVID-19 response
10:45 Cruise shipping to be suspended in the port of Kiel until end of April
10:08 COSCO SHIPPING Holdings announces 2019 results
09:46 MABUX: Bunker market this morning, Mar 31
09:33 Baltic Dry Index is down to 548 points
09:16 Brent Crude futures price is up 2.12% to $26.99, Light Sweet Crude – up 5.67% to $21.25
09:08 Sergey Shishkarev headed the Board of Directors of PJSC TransContainer
08:44 Hapag-Lloyd appoints new executive in Asia
08:44 Aker Solutions secures brownfield services contract in Brunei

2020 March 30

18:30 Ecochlor announces collaboration with Horizon Air Freight to expand shipping services
18:15 Inmarsat takes founding role in first Decarbonising Shipping programme for Asian start-ups
18:05 Start of cruise season in Kiel to be postponed until end of April
17:57 Globaltrans’ profit for 2019 climbed 16% YoY to RUB 22.7 billion
17:03 CMA CGM announces PSS from Romania to the Mediterranean
16:35 OOCL announces Transpacific product update
16:20 About 40 small- and mid-size ships to be built for Russia’s Far East by 2025
16:03 ClassNK releases Guidelines for Non-destructive Inspection by Phased Array Ultrasonic Testing
15:45 Gasum to supply Preem with renewable maritime fuel
15:24 Two ferries operate between seaports of Kaliningrad and Ust-Luga
15:03 NuStar extends Svitzer contract in Point Tupper, Canada, by five years
14:58 5G innovation put to a practical use in the Port of Zeebrugge
14:46 Global Ports terminals add new transit intermodal service from Europe to Asia via Russia
14:28 BPO and BTJ prepared overview of measures introduced in ports and shipping lines within Baltic Sea region
14:02 Port Houston posts cargo volume results for Feb 2020
13:51 Average wholesale prices for М-100 HFO fell to RUB 8,177 in RF spot market
13:20 Wärtsilä signs agreement with Kuribayashi Steamship in Japan for deployment of innovative gate rudder technology
13:10 Maersk’s first intercontinental train from Europe to Asia dispatched from St. Petersburg
13:03 Tianjin Port Development announces 2019 unaudited annual results
12:29 United Shipbuilding Corporation establishes center for prevention of Covid-19 spread
12:02 Ports of Bremen fully functioning
11:37 Abu Dhabi, UAE to host ADIPEC 2020 on November 9-12
11:12 MABUX Digest: Top events on global bunker market. Week 13
11:02 First-stage land usage permit issued to APM Terminals Poti
10:50 KN moves its LNG Terminal from its normal location due to cleaning work
10:28 Port of Riga reports no significant changes in cargo handling
10:21 Panama Canal backs efforts to expedite return home of the passengers and crew on Holland America’s Zaandam
10:04 NCSP Group published its consolidated financial results for 12 months 2019
09:41 MABUX: Bunker market this morning, Mar 30
09:26 RF Government limits crossing of state border checkpoints
09:09 Baltic Dry Index is down to 556 points

2020 March 29

16:29 Coast Guard and a salvage towing company rescued three people near Key Largo