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  • MABUX: Bunker market this morning, Jan 22
  • 2020 January 22 10:10

    MABUX: Bunker market this morning, Jan 22

    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) changed irregular on January 21:

    380 HSFO: USD/MT 381.13 (+1.77)
    VLSFO: USD/MT 627.00 (0.00)
    MGO: USD/MT 673.95 (-0.26)


    Meantime, world oil indexes fell on Jan.21 on expectations that a well-supplied market would be able to absorb disruptions that have cut Libya’s crude production to a trickle.

    Brent for March settlement decreased by $0.61 to $64.59 a barrel on the London-based ICE Futures Europe exchange. West Texas Intermediate for March fell by $0.38 to $58.38 a barrel on the New York Mercantile Exchange. The Brent benchmark traded at the premium of $6.21 to WTI. Gasoil for February delivery lost $7.75.

    Today morning global oil indexes continue slight downward evolution.

    The International Monetary Fund (IMF) said, Saudi Arabia’s economy is expected to grow by 1.9 percent this year, revising down its forecast of 2.2-percent growth from just three months ago, due to expected lower Saudi oil production as the Kingdom has pledged to overcomply with the OPEC+ oil production cuts. At the OPEC+ meeting in December, OPEC and its partners decided to deepen the current cuts by 500,000 bpd in the first quarter of 2020, when demand is expected at its weakest for 2020. This brings total production reductions at 1.7 million bpd—that is if rogue members fall in line with their quotas. Considering the pledge from OPEC’s largest producer and de facto leader Saudi Arabia that it would continue to significantly overcomply with its share of the cuts, the total OPEC+ cuts could be as high as 2.1 million bpd.

    Local Libyan tribes, allies of Libya’s General Haftar’s LNA, disrupted production at the El Feel and Sharara fields and blocked the transportation of crude oil to the Zawiya export terminal. The fields, producing 70,000 and 300,000 bpd, are the country’s main producing fields. Haftar’s allies acted while France, Italy, Germany, Russia, Turkey and several others gathered in Berlin to discuss a possible ceasefire between the Tripoli based and UN backed El Serraj government (GNA) and Haftar’s UAE-Egypt backed LNA. The shut-ins at the El Feel and Sharara field are not the only outages in the country.

    The Tripoli based National Oil Corporation (NOC) recently declared a force majeure after the LNA blocked the exports from Brega, Ras Lanuf, Hariga, Zueitina and Sidra. The force majeure was called after the LNA ordered the units managing local production to halt exports via these ports. The closure of operations in the East of the country has taken out around 800,000 bpd. Taking into account all outages, only around 60,000 bpd of capacity will still be online, compared to the 1.23 million bpd the country produced in November. The impact of Libya’s oil outages on global markets are relatively small so far, but a protracted supply disruption surely affect global fuel prices.

    Escalating protests in Iraq have led to a halt in production at the Al Ahdab oil field, which pumps some 70,000 bpd. It has been blockaded by security guards who are protesting against the absence of permanent employment contracts. The other field at risk of closure, Badra, produces about 50,000 bpd. Iraq is the second-largest oil producer and exporter in OPEC. It has been hit by a series of economic protests that started last year and are not showing any sings of ending any time soon as disgruntled citizens demand better public services and economic reforms and protest against widespread government corruption. Serious supply disruptions from Iraq have not happened recently, and therefore have the potential to push prices a lot higher.

    The governments of Belgium, Denmark, France, Germany, Greece, Italy, the Netherlands and Portugal have pledged their political support for the creation of a European-led maritime surveillance mission in the Strait of Hormuz. The governments of the eight countries share the assessment that the current situation in the Gulf and the Strait of Hormuz remains unstable in a region critical to global stability, and support the de-escalation approach when it comes to dealing with regional security issues. It is expected, that the mission will concretely provide enhanced maritime situation awareness and surveillance through the deployment of additional maritime surveillance assets in the Gulf and Arabian Sea.

    A submission by Finland and Germany to the IMO’s Pollution Prevention and Response (PPR) sub-committee includes the finding of a recent report which are said to ‘clearly indicate’ that new IMO 2020-compliant 0.50% sulphur fuel blends contain high aromatic compound levels, which can directly impact on black carbon (BC) emissions. A comparison was made between the BC emissions of 0.50% hybrid fuels and HFO and DMA, and also a synthetic Gas to Liquid (GtL) fuel, using varying engine ratings on a test bed. None of 0.50% fuels showed any reduction in BC emissions compared to HFO, but there was a reduction in the emissions of conventional DMA grade distillate and particularly the GtL fuel. The study suggests that the results of the test indicate that it is necessary to include aromatic content in the ISO 8217 specification as this would enable a better assessment of bunker fuels in terms of their environmental performance in terms of BC emissions.

    We expect bunker prices may go downwards today in a range of minus 1-3 USD for IFO and in a range of minus 7-12 USD for MGO.




2023 February 7

18:37 Gothenburg Port Authority CEO Elvir Dzanic to resign in August
18:07 TotalEnergies obtains two CO2 storage licenses in the Danish North Sea
18:01 Oil price cap does not apply to Russian petroleum product processed by being blended in a third country
17:43 ST Engineering acquires new site in Singapore for its commercial ship repair business
17:40 First section of Houston Ship Channel expansion complete
17:33 DNV to assess the viability of blending hydrogen into South Korea's gas transmission network
17:15 COSCO Shipping Heavy Industry (Guangdong) yard to retrofit the main engines aboard two LPG carriers from the fleet of Tianjin Southwest Maritime
16:47 Kalmar’s eco-efficient hybrid straddle carriers to enhance fleet productivity at DP World Antwerp Gateway
16:21 Emergency Arbitration claims initiated by Euronav fully dismissed
16:02 Onboard hydrogen fuel cell project wins EUR 15 mln funding
15:44 New Balearia innovative fast ferry will feature Wartsila propulsion solutions
15:14 Uniper and Greenko sign exclusivity for Green Ammonia offtake to EU from India’s first Green Ammonia Project in Kakinada
14:48 Italy’s Campostano Anchor updates its fleet with an eco-efficient Konecranes Gottwald Generation 6 Mobile Harbor Crane
14:24 Vopak and Port of Antwerp-Bruges to redevelop former Gunvor site
14:02 Jumbo Offshore completes the transportation and wet storage of a riser caisson for Technip FMC
13:42 Wilhelmsen Ship Management and Affinity Shipping team up to launch full EU emissions reporting and trading services
13:39 Monjasa and HOST PtX Esbjerg sign an agreement on logistics services and offtake of green ammonia for the maritime sector
13:12 Saudi yard IMI inks agreements worth $350m to enhance operations
12:31 Port Authority of Singapore receives award for engineering innovations for Tuas Port Phase 1 Reclamation Project
12:00 UK government invests £77 million in clean maritime technology
11:30 Hudong-Zhonghua secured 37 large size LNG carrier orders in 2022
11:04 World’s largest containership squeezes through Suez Canal
10:41 Cargotec names Casimir Lindholm as new President and CEO
10:39 Suez Canal Authority denies the published information on the contracting of a company to provide its services
10:24 Russian Railways’ freight volumes to the East exceeded those to the West for the first time
10:13 Over 2,000 foreign workers to be added to Korean shipyards this month - Pulse
09:59 NOVATEK and Deepak Fertilisers sign MoU on LNG and low-carbon ammonia
09:28 MRTS supports the 6th Hydraulic Engineering and Dredging Congress as its Sponsor

2023 February 6

20:51 Russian Railways CEO confirms plans on launching new traffic to Lavna port in December 2023
18:30 Portsmouth International Port to accept an offer from Scottish and Southern Energy Network to secure extra power supply
18:03 Freeport of Ventspils Ro-Ro cargo volumes up 4% to 2.35 million tonnes in 2022
17:28 The National Fund of Greece confirms eight investment schemes in the tender for the development of Volos Port
16:47 K Shipbuilding receives $175m order from Al Seer Marine for the construction of four tankers
16:24 Fuel oil shipments from Russia to India totalled at least 0.5 million tonnes in January 2023 - Reuters
16:14 RF Government expands programme to compensate expenses for transportation of goods to North-West ports
15:45 Earthquake damages Turkiye's energy infrastructure, major port
15:23 Astrakhan shipyard of USC to commence building dry bulk / container carriers of Project 00108 for North-South corridor in 2023
15:19 BSM managed Service Operation Vessel “Windea Leibniz” finished an extensive upgrade at Ulstein Shipyard in Norway
14:55 DP World container volumes up 1.4% to 79.0 million TEUs in 2022
14:35 IHC Dredging delivers Beagle 4 to Gebr. van der Lee
13:51 Rosmorport announces tender for dredging on Volga-Caspian Shipping Canal
12:49 INPEX Corporation completes ammonia bunker barge study - Ship & Bunker
12:37 Ba Ria-Vung Tau province ready to support foreign car carrier on fire
11:42 Equinor and SSE Renewables carry out early scoping work on potential 4th phase of Dogger Bank Wind Farm
11:39 OceanPal Inc. announces appointment of Robert Perri as CEO
11:24 Accelleron signs Turbo MarineCare agreement with Associated Maritime Company (Hong Kong)
11:23 Turkish shipyard to build two ferries for CMAL
10:08 NYK Line posts 9M and 2023 FY results
09:55 First serial production of hydrofoils to be established in Moscow Region
09:29 EU and G7 adopted further price caps for seaborne Russian petroleum products

2023 February 5

15:41 Stena Drilling sign a new contract with UK's Ithaca Energy for Stena Spey
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11:07 Hundreds evacuated after fire ignites on cruise ship in Sydney, Australia
09:38 Shell LNG bunker barge launched in Spain

2023 February 4

15:21 Milaha and Hareket sign a strategic alliance to provide integrated heavy lift and oversized transportation services
14:29 DOF awarded EPRD contract by Equinor
13:14 The Port of Sagunto doubles its natural gas traffic by 2022
11:03 GTT obtains funding from Bpifrance for the MerVent 2025 project, winner of the "Corimer 2022" call for expression of interest

2023 February 3

18:22 IAA PortNews’ summary of past week news
18:07 Port of Tallinn and Utilitas Wind to cooperate on the development of offshore wind farms