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  • MABUX: Bunker Weekly Outlook, Week 20, 2022
  • 2022 May 19 12:07

    MABUX: Bunker Weekly Outlook, Week 20, 2022

    The Weekly Outlook was contributed by Marine Bunker Exchange (MABUX)

    Over the Week 20, the world bunker indices did not have a firm trend and changed irregular. The 380 HSFO index rose by 18.88 USD: from 718.62 USD/MT to 737.50 USD/MT. The VLSFO index went up more significantly: by 36.82 USD: from 933.73 USD/MT to 970.55 USD/MT. The MGO index, on the contrary, fell by 21.06 USD (from 1267.92 USD/MT to 1246.86 USD/MT). There are no signs of a sustainable trend’s formation in the global bunker market yet.

    The Global Scrubber Spread (SS) weekly average - the price difference between 380 HSFO and VLSFO - continued its firm growth over the week - plus $ 7.78 ($ 218.25 versus $ 210.47 last week). At the same time, in Rotterdam, the SS Spread’s average value, on the contrary, continued to decline: $ 178.33 vs. $ 184.43 (minus $ 6.50 compared to last week). In Singapore, the average price difference of 380 HSFO/VLSFO in turn showed an unexpectedly sharp growth, approaching again $200 mark: $191.50 vs. $121.83 (up $69.67 compared to last week). SS Spread values still don't have a firm dynamics. More information is available in the Price Differences section at mabux.com.

    Gas prices in Europe remain at high levels amid the ongoing escalation of the conflict in Ukraine. Prices for LNG as bunker fuel in the port of Sines (Portugal) fell on May 16 by 92 USD to 1917 USD/MT (versus 2009 USD/MT a week earlier). Nevertheless, LNG prices are still significantly higher than those of traditional bunker fuels: for comparison, the MGO LS price index at the port of Sines was quoted at 1293 USD/MT as of May 16.

    Over the week 20, the average correlation of MABUX MBP Index (market bunker prices) vs MABUX DBP Index (MABUX digital bunker benchmark) has not changed: all major bunker fuels grades are in the overcharge area in all selected ports. Thus, 380 HSFO fuel’s overcharge margins in a week were: in Rotterdam - plus $ 16 (versus plus $ 29 the week before), in Singapore - plus $ 46 (plus $ 114), in Fujairah - plus $ 51 (plus $ 107) and in Houston - plus $79 (plus $102). In the 380 HSFO’s segment, MABUX MBP/DBP Index (MDI) showed a reduction in the overprice premium across all selected ports.

    VLSFO fuel grade, according to MDI, remained overpriced at all selected ports, while overprice premium narrowed here as well: plus $20 (plus $42 a week before) in Rotterdam, plus $50 (plus $51) in Singapore, plus $54 (plus $66) in Fujairah and plus $23 (plus $50) in Houston.

    As for MGO LS, MDI also registered an overpricing of this fuel grade over the week in all four selected ports: Rotterdam - plus $ 12 (plus $ 75 the week before), Singapore - plus $ 38 (minus $ 26), Fujairah - plus $ 178 (plus $126) and Houston - plus $118 (plus $155). Here MDI did not have a firm trend and changed irregular: an overcharge decline in Rotterdam and Houston, and rose in Singapore and Fujairah.

    In general, high volatility remains in the global bunker market, which prevents the formation of a sustainable trend in bunker prices.

    Some 3,742,300 metric tonnes (mt) of bunker fuel were sold in the Port of Singapore last month – 12.1% down on the 4,256,500 mt registered in April 2021. Last month’s total was also the second-lowest monthly total of 2022 after the 3,501,600 mt of bunker sales recorded in February. In March, reports of a bunker contamination crisis began to surface – and by mid-April, the Maritime and Port Authority of Singapore (MPA) estimated that the affected marine fuel had been supplied to around 200 ships of which 80 reported various issues with their fuel pumps and engines. The extent to which the episode has impacted confidence in the Singapore marine fuels market remains to be fully seen, nevertheless sales of HSFO saw a month-on-month (m-o-m) decrease. Marine fuel oil (MFO) 380 cSt fell from 962,600 mt in March to 914,500 mt in April while MFO 500 cSt sales plummeted from 124,900 mt to 27,200 mt. Despite the drop off in HSFO sales, low sulphur fuel oil (LSFO) sales held firm. Sales of LSFO 380 cSt rose from 1,741,700 mt in March to 1,832,600 mt in April. Low sulphur marine gasoil sales rose 2.5% on the month to 278,600 mt. The total amount of marine fuel sold during the first four months of the year at the Port of Singapore stands at 15,047,400 mt – 11.9% down on the 17,078,900 mt of bunker sales registered during the same period in 2021.

    We do expect bunker indices to change upwards next week amid high volatility and possible ban on Russian oil.

    By Sergey Ivanov, Director, MABUX

2022 June 28

18:07 Maersk plans to order more methanol-fueled ships - BusinessKorea
17:40 Green Marine Europe attracts 13 ship owners and 323 certified vessels
17:37 Russian President signs law on presence of foreign-flagged ships on Russia' s inland water ways
17:22 Russia wants Barentsburg food supplies shipped via mainland Norway - The Barents Observer
17:20 European Energy signs contract with Port Esbjerg to deliver green hydrogen
17:14 Wan Hai Lines awarded “Container Shipping Line of The Year - Far East Trade Lane”
17:06 Liquid Wind announces plans for its second electrofuel facility to be established in Sundsvall
16:49 Borr Drilling enters into letter of intent for the sale of three jack-ups
16:13 European Council agrees on higher targets for renewables and energy efficiency
16:11 New port to be built in Dagestan
15:45 Iceberg halts Norwegian Cruise sailing after ship hits growler - NZME
15:02 HPC Hamburg Port Consulting signs contract for pre-feasibility study of Cigading Port development
14:58 duisport and Port of Amsterdam join forces in development of green hydrogen value chain and hinterland network
14:30 Four missile boats of Project 22800 under construction at Amur Shipyard
13:48 Vladimir Putin signs law on Rosatom’s authority to manage navigation on the Northern Sea Route
13:24 Neste invests € 1,9 billion in renewable products refinery in Rotterdam
12:34 First hybrid RTGs to Africa delivered by Konecranes
12:29 Russian Union of Industrialists and Entrepreneurs suggests postponing crab auctions until 2035
11:46 Reconstruction of port Korsakov on Sakhalin to begin in 2023
11:10 Batumi International Container Terminal welcomes new Asia-Europe multimodal service
09:32 Russia's financial operations with unfriendly countries plunged by about 80%
09:15 Crude oil futures are rising
09:01 MABUX: Global bunker indices do not have firm trend on June 28
08:16 Thirteen killed, 251 injured by gas leak at Jordan's port of Aqaba - Al Jazeera

2022 June 27

18:37 Port of Rotterdam appoints new representative in China
18:13 BW Energy signs agreement to acquire the FPSO Cidade de Vitoria, currently producing on the Golfinho field
18:07 Boskalis vessels switch to green shore power facility in Rotterdam in co-development with Port of Rotterdam Authority and Eneco
17:58 Rosmorport provides continuous ferry traffic on the Ust-Luga - Baltiysk line
17:30 FSRU contract Höegh LNG with AIE in Australia confirmed
17:02 Investigation into ammonia leak on Spanish tuna vessel begins in Seychelles - Seychelles News Agency
16:27 World’s first climate-neutral container handling facility recertified
15:58 Russia, India, China, Brazil and RSA to sign agreement on cooperation in customs area
15:45 Inmarsat and Thetius report explores human element in maritime digitalisation
15:45 Asia coal prices hit record on hot global competition for fuel - Bloomberg
15:21 Vestdavit to deliver telescopic davit for Danish Navy
14:27 Nuclear-powered container ship Sevmorput leaves for its first subsidized coastwise voyage to Petropavlovsk-Kamchatsky
14:06 Bureau Veritas completes new study on ammonia as fuel
14:02 BW LPG completes dual-fuel retrofits
13:33 Hydrographic Company holds tender for dredging of Utrenny terminal’s water area
13:15 Nakilat and Keppel to provide after-sales technical support for ballast water treatment systems in Qatar
12:30 Matson signs contract for ME-GI retrofit
12:14 International taskforce established to drive forward the development of Clean Energy Marine Hubs
12:01 Port Tanjung Pelepas turns to AI-powered management system
11:29 Seanergy Maritime acquires a modern Capesize vessel
11:02 Chernomorneftegaz platform in Black Sea shelled by Ukrainian troops
10:29 Sevmash lays down manned underwater vehicle of Project 03660 Jason
10:29 Dongwon Global Terminal selects CyberLogitec’s terminal operating system
10:03 The Getting to Zero Coalition convenes to develop action plan for maritime decarbonization
09:43 Metal structures and general cargo to be delivered by MV Kholmogory on its first voyage to Kaliningrad Region
09:21 Oil prices decrease after a growth on June 24
08:58 MABUX: Bunker prices may increase on June 27

2022 June 26

15:18 BW LPG carriers completed DF retrofits at Yiu Lian Dockyards in Shenzhen, China
13:42 Aegean Shipping accepts delivery of its first of four Aframax tankers
12:14 Large-scale offshore tender sets TenneT on course to deliver 2030 offshore expansion targets
11:03 KHI delivers bulk carrier PHILHOKUSAI

2022 June 25

15:07 The Getting to Zero Coalition convenes to develop action plan for maritime decarbonization
14:31 Manor Marine to build two Hybrid CTVs for Manor Renewable Energy with Chartwell Marine
13:04 ČEZ Group becomes first Czech company to have climate targets validated
10:13 FSL Trust agrees to sell one chemical tanker

2022 June 24

18:37 OneSea Energy B.V. and Subsea 7 conclude an MOU on collaboration in offshore hydrogen production