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  • MABUX: Bunker Market this morning, Oct 29
  • 2020 October 29 09:51

    MABUX: Bunker Market this morning, Oct 29

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

    Oil Market close yesterday evening
    Oil plunges over 5% to four-month low as pandemic surges, U.S. crude output soars.

    Oil prices fell more than 5% on Wednesday, sending Brent to a four-month low as surging coronavirus infections in the United States and Europe prompted renewed lockdowns and fed expectations for new declines in fuel demand.

    Also pressuring prices, U.S. crude stockpiles rose more than expected last week as production surged in a record build, according to the U.S. Energy Information Administration.

    “The increase in oil production led to an unexpected build of crude oil, and given the additional lockdowns we are seeing in Europe, that is just further heaping bad news on the oil market,” said Andy Lipow, president of consultants Lipow Oil Associates.

    Brent futures fell $2.08, or 5.1%, to settle at $39.12 a barrel, while U.S. West Texas Intermediate (WTI) crude fell $2.18, or 5.5%, to $37.39.
    That was the lowest close for Brent since June 12 and for WTI since Oct. 2. It was the biggest daily percentage losses for both benchmarks since Sept. 8.
    Crude price declines mirrored downturns in other risk-asset markets, as U.S. stock indexes were all lower, with the S&P 500 down 2.9%.

    The safe-haven U.S. dollar rose 0.5% on prospects of national lockdowns in Germany and France to fight the pandemic. The stronger dollar makes oil more expensive for holders of foreign currencies, which traders said weighed on crude prices. [/USD]

    The United States, Russia, France and other countries have registered record numbers of COVID-19 cases in recent days and European governments have introduced new curbs to try to rein in the fast-growing outbreaks.

    Traders said crude prices were also hit by fading prospects for a quick deal on a new U.S. stimulus and increasing oil output from Libya.
    On Tuesday, U.S. President Donald Trump acknowledged that a coronavirus economic relief package was unlikely until after next week’s election.

    Libya’s production is expected to rebound to 1 million barrels per day (bpd) in the coming weeks.

    The head of Saudi Aramco’s trading arm said the Organization of the Petroleum Exporting Countries and its allies, together known as OPEC+, will have to contend with a “lot of demand issues” before raising supply as expected in January 2021.

    “Between the United States and Libya, production is up almost 2 million bpd in the past couple weeks,” said Robert Yawger, director of energy futures at Mizuho in New York, noting if OPEC+ takes the view that U.S. producers are only going to increase production, then OPEC+ may “unleash the 2 million barrels in January and let the chips fall where they may ... most likely crude oil down considerably.”

    The market, meanwhile, shrugged off this week’s temporary decline in U.S. output as energy firms shut around half of offshore Gulf of Mexico production ahead of Hurricane Zeta, which will slam into the Gulf Coast later Wednesday.

    Oil Market today Thursday morning
    Oil inches up after 5% slide overnight as hurricane shuts U.S. output.

    Oil prices on Thursday recovered slightly from a 5% slump in the previous session, gaining support from the prospect of tighter short-term supply with two-thirds of U.S. output shut in the Gulf of Mexico as Hurricane Zeta slammed Louisiana.

    Market watchers said technical support was a factor as well, after signs of a growing global oil supply glut and a second wave of coronavirus infections sent prices tumbling on Wednesday.

    U.S. West Texas Intermediate (WTI) crude futures edged up 7 cents, or 0.19%, to $37.46 a barrel by 0517 GMT, while Brent crude futures were up 4 cents, or 0.10%, at $39.16 a barrel.

    WTI in the $36.45 to $36.95 range has proven to be a “buy zone” since the beginning of September, Axi chief market strategist Stephen Innes said. If the market fell through that, it would be a bearish sign, he said.

    Hurricane Zeta’s impact is expected to be short-lived and the return of U.S. production will add to existing oversupply, as Libya rapidly ramps up output after an eight-month blockade.

    Zeta is forecast to weaken into a non-tropical gale-force low by Thursday morning in the United States, the Florida-based National Hurricane Center said.
    Data from the U.S. Energy Information Administration on Wednesday provided further evidence of the growing glut: U.S. crude stockpiles rose by 4.3 million barrels in the week to Oct. 23, a bigger increase than expected.

    Surging COVID-19 cases in Europe, which have led to new restrictions keeping people off the roads, cast a shadow over the market. Oil fell in Asia’s mid-morning before edging up.

    France will require people to stay home for all but essential activities as of Friday, while Germany will shut bars, restaurants and theatres from Nov. 2 through the end of the month.

    “The pandemic’s resurgence is putting pressure on OPEC to delay its planned production hike in January,” ANZ Research said in a note.
    The Organization of the Petroleum Exporting Countries and allies, together called OPEC+, plan on tapering their production cuts in January 2021 from a current 7.7 million barrels per day (bpd) to around 5.7 million bpd.

    Meanwhile, the prospects of the bitter trade dispute between China and the United States, whose relations have sunk to the lowest point in decades over a range of issues, remains unclear.

    In an interview with Reuters six days before the U.S. election next week, Joe Biden’s top advisers said he would consult with America’s main allies before deciding on the future of U.S. tariffs on China, seeking “collective leverage” to strengthen his hand against Beijing if he is elected president.

    Oil Future close 28th October, 2020
    Brent crude:          $ 39.12 (-2.08) /brl          FM delivery Dec (FM=Front Month)
    Light crude (WTI): $ 37.39 (-2.18) /brl          FM delivery Dec
    Gasoil ARA;           $ 314.75 (-14.75) /mton   FM delivery Nov
    NY Harbor Ulsd:     $ 343.02 (-13.39) /mton   FM delivery Nov

    Oil Futures trading at GMT 06.19; Brent: $+0.05, WTI: $+0.10.

    Expect Fuel Oil prices to drop in big numbers today like USD 13 – 15 pmt. (Fuel Oil, means 380 HS plus VLSFO together).

    MGO and NY Harbor Ulsd expected to drop 13 – 15 usd/mton. All prices are based on Oil Future close last night Wednesday evening.




2021 October 20

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
09:53 MABUX: Bunker prices may rise on Oct 18
09:46 Northern Sea Route cargo traffic rose by 4.5%
09:29 Crude oil prices rise driven by roaring demand
09:13 Baltic Dry Index as of October 15