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  • MABUX: Bunker market this morning, Sep 07
  • 2020 September 7 09:02

    MABUX: Bunker market this morning, Sep 07

    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 September 04:

    380 HSFO: USD/MT 307.01 (-2.80)
    VLSFO: USD/MT 353.00 (-5.00)
    MGO: USD/MT 427.70 (-7.03)


    Meantime, world oil indexes changed irregular on Sep.04 as concern around a slow economic recovery from the COVID-19 pandemic added to worries about weak oil demand.

    Brent for November settlement fell by $1.41 to $42.66 a barrel on the London-based ICE Futures Europe exchange. West Texas Intermediate for October delivery decreased by $1.60 to $39.77 a barrel on the New York Mercantile Exchange. The Brent benchmark traded at the premium of $2.89 to WTI. Gasoil for September delivery gained $1.00 – $335.50.

    This morning, global oil indexes continue slight downward movement.

    Prices were pressured by a report showing U.S. job growth slowed further in August as financial assistance from the government ran out. Nonfarm payrolls increased by 1.37 million jobs last month, though employment remained 11.5 million below its pre-pandemic level and the jobless rate was 4.9 percentage points higher than in February. The unemployment rate fell to 8.4% last month, compared to a forecasted 9.8%.

    The downward evolution can likely be attributed to the strong dollar, after earlier reports that the U.S. unemployment rate dropped to 8.4%--as well as reports of faltering domestic gasoline demand in the United States.  A strong dollar makes U.S. oil more costly for other countries to purchase, and therefore typically has an inverse relationship with crude.

    The United States has added 6 additional entities to its sanctions list for actions that it said violated current sanctions on Iran that seek to limit its oil trade. The entities include companies based not only in Iran, but in the UAE and China as well. Petrochemicals are a huge revenue source for Iran, where petrochemical investments reached $10 billion since March. Additionally, Iran has plans to launch another 17 petrochemical projects by the end of its year that will be capable of producing 100 million tons annually. The revenue from those additional projects could reach $25 billion.

    Rosneft, said that it does not ship petroleum products to North Korea and does not do any business in the country. Rosneft also said that it considers the publishing of information about alleged involvement in supplies of oil products to North Korea as “a provocation,” and will go to court to protect its business reputation. Meantime, according to Yonhap news agency, the Russian oil products supplied to North Korea were produced by the state energy giants Rosneft and Gazprom. As per Yonhap, North Korea imported US$26 million worth of fuel products from Rosneft between 2018 and 2019 and about US$100,000 from Gazprom in 2018.

    A report from the International Council on Clean Transportation (ICCT) said, the International Maritime Organization’s (IMO) proposed Arctic heavy fuel oil (HFO) ban contains so many waivers and exemptions that 84% of HFO use would still be allowed to continue until 2029. The IMO is scheduled to finalise the scope of the Arctic HFO ban in November. The ban would start to take effect in July 2024, but waivers and exemptions included in the draft text would allow some vessels to continue using and carrying HFO until July 2029. According to the ICCT’s analysis, under the IMO’s current proposal, 84% of HFO consumptions would be permitted until 2029, 70% of fuel oil carriage, and black carbon emissions would be at 95% of current levels. The report also flags up that HFO use in the Arctic is still on the rise – growing 75% between 2015 and 2019.

    As per Integr8 Fuels, over the course of a year the percentage of straight run-based component in very low sulphur fuel oils (VLSFO) has dropped from 44% to 17%, while the distillate blend element has increased from a small percentage to 30%. There was also increase in the vacuum gasoil (VGO) component from 9% to 35% and, conversely, a decline in the cracked material component from 23% last July to 7% in July 2020. VLSFO’s some fuel degradation is possibly occurring between terminal storage and delivery, but there are the length of the fuel supply chain and storage times as other factors which could be contributing to perceived VLSFO stability problems.

    The number of oil rigs in the United States rose by 1 to 181. The total number of active oil and gas rigs increased for the week by 2, with oil rigs rising by 1 and gas rigs holding steady. The EIA’s estimate for oil production in the United States dropped off considerably for the week ending August 28—the last week for which there is data, to 9.7 million barrels of oil per day. Oil production in the United States is now 3.4 million bpd less than its all-time high reached earlier this year. It is the lowest production level since January 2018.

    We expect IFO bunker prices may fall by 7-10 USD while MGO prices may change irregular in a range of plus-minus 1-4 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