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  • MABUX: Bunker market this morning, Aug 24
  • 2020 August 24 09:10

    MABUX: Bunker market this morning, Aug 24

    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) fell slightly on August 21:

    380 HSFO: USD/MT 309.37 (-0.55)
    VLSFO: USD/MT 364.00 (-3.00)
    MGO: USD/MT 443.24 (-2.33)


    Meantime, world oil indexes dropped on Aug.21 as the economic recovery worldwide runs into stumbling blocks due to renewed coronavirus lockdowns, even as major global crude producers limit crude supply.

    Brent for October settlement decreased by $0.55 to $44.35 a barrel on the London-based ICE Futures Europe exchange. West Texas Intermediate for October delivery fell by $0.48 to $42.34 a barrel on the New York Mercantile Exchange. The Brent benchmark traded at the premium of $2.01 to WTI. Gasoil for September delivery lost $11.00 – $360.00.

    This morning, global oil indexes do not have any firm trend so far and change irregular.

    Eurozone purchasing managers index readings showed a slowdown in the region’s economic activity, while data out of Japan indicated a continued decline in activity. Meanwhile, a renewed rise in COVID-19 cases in parts of Europe and elsewhere have underlined worries about the outlook for energy demand. In Asia, a cutback in refining activity in response to poor fuel demand is also a troubling sign.

    The OPEC+ group has as much as 2.31 million barrels per day (bpd) of oil production above the collective quota for May-July to offset in August and September. The estimates from OPEC+ show that Iraq was overproducing at a rate of 851,000 bpd between May and July—this was the least compliant member of the pact. Nigeria was also overproducing a lot between May and July, pumping 315,000 bpd above its ceiling. Russia, the leader of the non-OPEC group in the OPEC+ coalition, was also producing above its quota – 283,000 bpd more than it should be in order to be in full compliance. The Joint Ministerial Monitoring Committee (JMMC), which met on Aug.19, said it had requested other underperforming participating countries to submit their plans for implementation of the required compensation for the overproduced volumes to the OPEC Secretariat by the end of next week, August 28.

    As per recent forecasts, global crude oil prices will continue their slow grind higher, reaching $50 per barrel by year’s end and closing in on pre-pandemic levels near $60/bbl by the end of 2021. Global oil demand is expected to be very weak for 2020, with estimates calling for a decline of between 8 million bpd and 9 million bpd. However, as demand rebounds amid a recovery in the economy, consumption could return to 2019 levels by 2022. Year-to-date, non-OPEC oil supply is anticipated to have declined by 5 million bpd amid reductions by the U.S. and other producers. Global crude oil inventories should continue to be drawn down through 2021 as OPEC+ countries comply with output cuts.

    U.S. President Donald Trump redoubled his promise to withdraw the few U.S. troops still in Iraq, but said Washington would remain ready to help if neighbouring Iran took any hostile action. The president declined to lay out a timetable for a full withdrawal. The statement was made amid a new spike in tensions between Washington and Tehran after Washington said it would seek to reinstate all previously suspended U.S. sanctions on Iran at the United Nations. Since 2014, the primary mission of U.S. troops deployed in Iraq has been defeating the Islamic State militant group. Officials in the U.S.-led coalition say Iraqi forces are now mostly able to handle the insurgents on their own.

    The UN-backed government of Libya announced a ceasefire on Aug.21, and the east-based rival administration also called for a truce in a move that could pave the way to reopening of Libya's oil terminals, if the ceasefire holds.  Currently, oil production in Libya is around 100,000 barrels per day (bpd). This figure is dramatically down from 1.2 million bpd at the start of the year, just before paramilitary formations affiliated with the Libyan National Army (LNA) led by General Khalifa Haftar occupied Libya's oil export terminals and oilfields.

    Chinese buyers have reportedly chartered around 19 tankers for September to transport a record order of roughly 37 million barrels of U.S. oil to China. Should the order be placed as planned, it would smash May’s record of 35.2 million barrels, and would be an indication that China is ramping up purchases to meet its commitments under the phase one trade deal between the two countries.

    The number of oil rigs in the United States rose for the first time since January by 11, to 183—the first double-digit increase since the pandemic took locked down significant parts of America. The total number of active oil and gas rigs increased by 10 for the week, with oil rigs climbing by 11 and gas rigs falling by one. The EIA’s estimate for oil production in the United States stayed the same for the week ending August 14—the last week for which there is data, at 10.7 million barrels of oil per day. Oil production in the United States is 2.4 million bpd less than its all-time high reached earlier this year.

    We expect IFO bunker prices may fall in a range of minus 1-3 USD, MGO prices - in a range of minus 8-11 USD.




2021 October 27

18:22 IMC Shipping appoints Mingfa Liu as managing director for ship services
18:07 TotalEnergies and MOL hold naming ceremony of France’s first LNG bunker vessel
17:51 Damen built LNG bunkering vessel enters service in the Gulf of Finland
17:42 Rosmorport takes delivery of LNG-powered Ro-Ro ship Marshal Rokossovsky
17:40 DEME Offshore installs final foundation at Hornsea Two offshore wind farm
17:34 Port of Zeebrugge posts a strong growth in nine months of 2021
15:40 Dublin Port volumes down by 3.3% after nine months of 2021
14:33 IMO considers midterm-measures for GHG reduction from ships
14:12 BIO-UV Group adds 3d scanning to turnkey BIO-SEA BWTS retrofit services
13:50 Ocean Yield agrees to invest in six VLCCs with 10-year bareboat charters to International Seaways
13:02 WinGD invests in training as gas-fuelled fleet grows
12:52 Vyborg Shipyard contracted to build an 18 MW icebreaker for Rosmorport
12:38 Zero emissions by 2050 is not enough for most developed countries if planetary warming is to be limited to 1.5 degrees - DNV
12:37 The LNG Fleet, LNG Bunkering and Other Alternatives Conference kicks off in Moscow
12:06 FESCO to supply Indian stations in Antarctica for another 5 years
11:51 Constructora Vale Verde places a repeat order for a cutter suction dredger with Damen Shipyards
11:19 MarineMax reports record fourth quarter and fiscal year results
11:18 FSRU Marshal Vasilevskiy completes maiden voyage with LNG cargo on the Northern Sea Route
10:09 Siemens Gamesa solidifies offshore presence in U.S. with Virginia blade facility
09:55 MABUX: No firm trend on Bunker market on Oct 27
09:33 Baltic Dry Index as of Oct 26
09:25 Aquadrill announces sale of a semisubmersible drilling unit
08:57 Oil prices edge lower

2021 October 26

18:06 FarSounder and NAVTOR announce a new partnership
17:49 Russian State Duma approves a bill on wrecks removal in the first reading
17:36 FuelEU can do more for the decarbonisation of shipping – World Shipping Council
17:08 First global hydrographic innovation and technology laboratory established in Singapore
16:31 BIO-UV Group adds 3D scanning to turnkey BIO-SEA BWTS retrofit services
16:24 Wärtsilä commits to carbon neutrality by 2030
16:05 CSL Americas takes delivery of second converted self-unloading ship
15:27 Damen Maaskant Shipyards Stellendam delivers 38-metre Beam Trawler to Rederij Long Ships
15:17 Vard Electro dual-battery pack to reduce emissions for Siem Offshore subsea vessel
15:01 Baltic Shipyard marks successful loading of shield tank duo onto the 22220 nuclear icebreaker Yakutia
14:13 BW Energy signs an agreement for the acquisition of semi-submersible drilling rig for the Kudu development
13:19 Wallem Group appoints John-Kaare Aune as new Chief Executive Officer
12:13 DP World: RWG terminal to be the first carbon neutral container terminal in the world
11:32 ClassNK grants Innovation Endorsement for Products & Solutions to Weathernews’s CIM
11:02 AIDA Cruises’ new cruise ship completes its first voyage on the river Ems
10:51 Sea Machines names Trevor Vieweg as new chief technology officer
10:14 TECO 2030 receives NOK 50 million in government support for fuel cell development
10:07 MABUX: Bunker prices may demonstrate irregular changes on Oct 26
09:54 Baltic Dry Index as of Oct 25
09:51 San Pedro Bay ports announce new measure to clear cargo
09:09 Oil prices continue to climb

2021 October 25

19:59 Severnaya Verf readies the 170701 series factory freezer trawler Kapitan Sokolov for shore power connection
18:13 CMA CGM applies Winter Surcharge in the Russian ports of St Petersburg, Bronka and Ust-Luga
17:44 Estonia’s Elenger takes delivery of first Damen LGC 6000 LNG bunkering vessel
17:34 Carnival Cruise Line christens Mardi Gras in first naming ceremony in the U.S. since industry restart
16:57 Sembcorp Marine clarifies report on the Johan Castberg Project
16:47 Two ways to experience the Fort Lauderdale Int'l Boat Show
15:23 Trafigura Group closes USD2.4 billion-equivalent syndicated revolving credit facility and term loan facilities
14:22 Sea Port of Saint Petersburg’s employees support package during COVID-19 pandemic
14:02 Svanehøj launches a new control system makes P&C offloading faster and easier
13:20 PIL launches new direct China to Gulf Service – Gulf China Service
12:15 Port of Hamburg honoured as ‘Best Seaport – Europe’
11:35 LR granted AiP to Samsung Heavy Industries for liquefied hydrogen carrier
11:12 Rosmorport updates Port of Ust-Luga data in the Register of Russia’s seaports
10:17 MABUX: Bunker prices may demonstrate upward changes on Oct 25
09:38 Russian Gov’t gives green light to imposing some port services tariffs in foreign currency
09:21 Baltic Dry Index as of Oct 22