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  • MABUX: Bunker market this morning, June 08
  • 2020 June 8 09:13

    MABUX: Bunker market this morning, June 08

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

    MABUX World Bunker Index (consists of a range of prices for 380 HSFO, VLSFO and MGO (Gasoil) in the main world hubs) continued slight upward trend on June 05:

    380 HSFO: USD/MT 277.44 (+3.55)
    VLSFO: USD/MT 318.00 (+4.00)
    MGO: USD/MT 389.35 (+2.75)


    Meantime, world oil indexes pushed higher on Jun.05, amid expectations major oil producers would meet over the weekend to discuss extending record production cuts.

    Brent for August settlement increased by $2.31 to $42.30 a barrel on the London-based ICE Futures Europe exchange. West Texas Intermediate for July delivery rose by $2.14 to $39.55 a barrel on the New York Mercantile Exchange. The Brent benchmark traded at the premium of $2.75 to WTI. Gasoil for June delivery gained $28.00.

    Today morning global oil indexes continue firm upward evolution supported by OPEC+ cut deal.
     
    Demand for oil is improving after lockdowns started being lifted in Asia, Europe, and North America. China's oil demand, notably, has recovered to 90 percent of pre-crisis levels, and U.S. demand is also on the rise, judging by rising refinery runs. Supply is still being limited, too. OPEC+ started cutting its agreed 9.7 million bpd last month, and despite far from perfect compliance, it has reduced the amount of oil going into markets. U.S. producers also cut production significantly in April and May, and so did Canadian oil companies.

    OPEC and its partners concluded their meeting on Jun.06, announcing that it would extend its current production cut deal. The last couple of days, the cartel’s de-facto leader Saudi Arabia negotiated with other OPEC members and some non-OPEC countries including Russia, Kazakhstan and Azerbaijan to extend the current 9.7 million bpd output cuts for at least another month. Most countries partaking in the record production cuts were willing to continue the current deal, but poor compliance from countries like Iraq, Nigeria and Kazakhstan has caused discontent among other OPEC members, some of which have even made deeper cuts than agreed on in April. During the virtual meeting on Jun.06, the cartel agreed that the countries that were unable to reach full conformity in May and June will have to compensate for this in July, August and September.

    Russia is predicting a shortage in the oil market next month. It is expected the global oil markets could see a shortfall between three and five million barrels per day in July. It was also noted that the filling up of oil storage has slowed, and that thanks to the current production cuts and the improving demand figures so far, the market should achieve balance in June, before slipping into a deficit in July.

    Russia’s Rosneft has set up a new trading arm to replace the one that Washington sanctioned earlier this year for the company’s work with the Venezuelan government. The U.S. administration slapped sanctions on the Russian state oil giant in February as part of its maximum pressure campaign against the Maduro government. Following the announcement, Rosneft cancelled several VLCC cargoes carrying a total 5.7 million barrels of Venezuelan crude to be delivered to Asian buyers. The company also transferred its Venezuelan assets to a newly set-up Russian state-owned company dubbed Roszarubezhneft. Moscow paid for the Venezuelan assets in Rosneft stock.

    U.S. shale producers are beginning to restart their shut-in wells. This is a necessity for many of them: the longer a well stays shut-in, the higher the risk of losing production. But this also means production will be coming back when storage facilities are still full. Demand cannot recover this fast, and fuel inventories are proving it: for two weeks now, gasoline and distillate fuel inventories in the U.S. have been rising, with the latest weekly data showing a 2.8-million-barrel rise in gasoline and a 9.9-million-barrel increase in distillate fuel stockpiles.

    China’s crude oil imports jumped by 13 percent from April to near record-highs of 11.11 million bpd in May, due to favorable spreads of the Shanghai-traded yuan-denominated oil futures and a ramp-up in refinery throughput. China’s crude oil imports in May were up by 1.28 million bpd compared to April and up by 1.27 million bpd compared to May last year. Apart from the Shanghai crude futures and recovering crude processing rates, another factor in China’s near-record imports of crude was the fact that the independent refiners continued to actively procure oil, most likely because of the low prices.

    U.S. lawmakers have sought to pass a bill to levy sanctions on the Nord Stream 2 project, which the United States sees as further undermining Europe’s energy security by giving Russian gas giant Gazprom another pipeline to ship its natural gas to European markets. Germany, the end point of the Nord Stream 2 pipeline, looks at the economic benefits of the project, while the U.S., including President Donald Trump, have been threatening sanctions on the project and even on Germany over its support for the project. At the end of 2019, the U.S. included in its massive defense bill for 2020 sanctions on companies helping Gazprom to complete Nord Stream 2. Russia is now using its own vessels to complete the pipeline laying.

    The number of oil and gas rigs in the US fell again last week by 17, falling to 284, with the total oil and gas rigs sitting at 691 fewer than this time last year. The number of oil rigs decreased for the week by 16 rigs, bringing the total to 206—compared to 789 active rigs in play this time last year. The significant fall in the rig count over the last couple of months is also reflected in the steady decline of EIA’s estimate for oil production in the United States, which fell again last week to 11.2 million barrels of oil per day on average for week ending May 29, which is 1.9 million bpd off the all-time high and 200,000 bpd lower than the week prior. It is the ninth straight weekly production decline.

    We expect IFO bunker prices may gain US$ 12-15 today while MGO prices may rise by US$ 20-25.




2021 October 20

13:52 Kawasaki Heavy Industries announces delivery of bulk carrier BBG GUILIN
13:20 Port of Oakland sees no backlog on docks, calls for cargo
12:52 Japanese company Kubota chooses port of Rotterdam for Northern European distribution
12:39 Crowley participates in Saildrone Inc’s $100M Series C round to advance ocean intelligence products
12:02 Global Ports terminal In Helsinki increases number of container services
11:54 Port Houston container volumes up 11% to 281,500 TEUs in September 2021
11:40 Sibanthracite Group acknowledged as best supplier of coal to China for second consecutive year
11:16 MPA and DMU signed MoU to drive talent and academic exchange in the maritime sector
10:51 Mitsubishi Shipbuilding successfully separates and captures CO2 from exhaust gas in world’s first marine-based CO2 capture system project
10:28 Modernization of border checkpoint completed in Kavkaz seaport
10:06 RF President gives instructions on permanent environmental monitoring in areas of handling dry bulk cargo and cargo emitting dust
09:45 MABUX: No firm price trend on Bunker market on Oct 20
09:35 Crude oil prices decrease on US reserves growth
09:19 Baltic Dry Index as of October 19

2021 October 19

18:24 Ocean Yield ASA sells two LR2 tankers
17:44 Klaveness Combination Carriers sells a 21-years old CABU vessel
17:22 Oboronlogistics delivers cargo for the construction of a cultural cluster in Kaliningrad
16:58 North Sea Port, Zeeland Regional Safety Board and Central Fire Response Zone join forces for cross-border incident response in the port area
16:35 European shipowners support the uptake of clean fuels but fear FuelEU may become missed opportunity due to enforcement loopholes - ECSA
16:20 9M’2020 throughput of Taganrog Sea Commercial Port grew by 6% Y-o-Y
16:05 Fuelling the Industry: LNG as a fuel and its infrastructure at the 8th International Congress
16:04 Empire Offshore Wind selects Vestas as its preferred supplier for wind turbine generators for Empire Wind I and Empire Wind II
15:41 The decarbonization strategy likely is now the best business strategy for shipowners - ABS
15:13 Bollinger celebrates commissioning of 45th Fast Response Cutter USCGC Emlen Tunnel
14:51 RF Government and Rosatom instructed to organize regular transportation of transit cargo by NSR
14:30 Port of Rotterdam throughput rises substantially again in Q3 2021
14:03 Valenciaport throughput up 8.33% to 63.46 mln tonnes in Jan-Sept 2021
14:02 Ice restrictions in Port of Sabetta basin to be effective as of Oct 25
13:39 TGE Marine announces the successful gas trail of LNG bunker vessel ´Dmitry Mendeleev´
13:08 Port of Antwerp throughput up by 4.8% to 179.1% mln tonnes in Jan-Sept 2021
12:54 Cargo traffic via Khabarovsk Territory ports rose by 3% in 9M’21
12:33 Vitol’s V-Bunkers receives green ship awards from Maritime Port Authority of Singapore
12:15 The Methanol Institute welcomes the European Union’s package of proposals Fit for 55
11:36 Volga Shipping announces completion of three tankers conversion project
10:46 MABUX: Bunker prices may demonstrate multidirectional changes on Oct 19
10:11 Russian Gas Society supports 5th LNG Fleet, LNG Bunkering and Alternatives conference
10:09 Berenberg expands debt fund portfolio with two new multi-investor funds
09:46 Baltic Dry Index as of October 18
09:25 Crude oil prices rise on crisis anticipation
09:13 Roxtec selects Sustainable Marine Fuels

2021 October 18

18:07 OneOcean Group brings voyage optimisation solutions to Marlink Partner Programme
17:53 NOVATEK held its first Arctic LNG Projects Shipowners Conference
17:49 MOL tabletop drill prepares for serious marine accident
17:29 Over 40 ships and boats of RF Navy's Black Sea Fleet took part in large-scale exercise at Opuk training ground in Crimea
16:52 Icebreaker Kapitan Khlebnikov to help deliver new components for the Vostok Station in the Antarctic
16:16 Throughput of Russian seaports in 9M’2021 climbed by 1.7% (detalization)
15:48 Four industry focused educational institutions to take part in 5th LNG Fleet, LNG Bunkering and Alternatives conference
15:25 Baltiysky Zavod shipyard casts forth one-piece propeller for Project MR-50 product tanker
15:03 Nemport orders fleet of Konecranes Noell RTGs
14:13 Average spot market price for Russian M100 product rose to RUB 29,186 pmt
13:51 MOL, MAN ES and MES-M sign MoU aiming to order ammonia fueled main engine for ships
13:42 National Chamber of Engineers supports 5th LNG Fleet, LNG Bunkering and Alternatives conference as its Media Partner
13:00 Port of Ventspils throughput in January-September 2021 fell by 14% YoY
12:40 The Port of València will install a hydrogen supply station in January
12:36 Port of Helsinki throughput in January-September 2021 rose by 7.9% YoY
12:14 Port of HaminaKotka cargo turnover in 9M’2021 fell by 2.1%
11:29 Container throughput of Hong Kong port (China) in January-September 2021 rose by 0.1%
10:57 APM Terminals appoints new Head of Decarbonisation
10:48 Port of Liepaja throughput in 9M’2021 climbed by 8% Y-o-Y
10:25 Global Ports’ Consolidated Marine Container Throughput increased by 4.0% y-o-y in 9m 2021