NEWS ROUND UP 29 JUNE

NEWS ROUND UP 29 JUNE

CHEM Europe: Development of sustainable marine fuels

In an EU-funded research project, an international consortium aims to develop new production methods for sustainable marine fuels to replace heavy fuel oils in shipping. The use of heavy fuel oils (HFOs) contributes to global warming due to the fossil origin of these fuels and, moreover, generating non-negligible emissions of pollutants such as sulphur oxides. The IDEALFUEL project aims to create sustainable alternatives by developing new efficient and low-cost methods to produce low-sulphur heavy fuel oils from wood-based non-food biomass. OWI Science for Fuels gGmbH and TEC4FUELS GmbH are involved in the project as research partners.

https://www.chemeurope.com/en/news/1166902/development-of-sustainable-marine-fuels.html

 

Hellenic Shipping News: Mounting transport fuel stocks add new twist to VLSFO specs

Shifting fundamentals in European transport fuel markets have affected operational requirements for shipowners using VLSFO, as blenders alter feedstocks to make their economics work amid the coronavirus pandemic while the bunkering industry grapples with this year’s lower sulfur content rules.

https://www.hellenicshippingnews.com/mounting-transport-fuel-stocks-add-new-twist-to-vlsfo-specs/

 

TheStar: Shippers face financial burden

KUALA LUMPUR: The delays in collecting cargoes during the movement control order (MCO) period has resulted in accumulated charges, causing financial burden to local shippers and manufacturers, says Malaysian National Shippers’ Council (MNSC) chairman Datuk Dr Andy Seo Kian Haw.

https://www.thestar.com.my/business/business-news/2020/06/29/shippers-face-financial-burden

 

Splash 247: China launches low- sulphur fuel futures

China has started the trading of the futures of low-sulphur fuel on the Shanghai International Energy Exchange from today.

Prior to the commencement of official trading, the exchange conducted two trials on June 13 and June 21 including daily trading and settlement.

The first day of trading commenced with a benchmark price of RMB2,368 ($335) per ton for monthly delivery contracts from January to June 2021 and the price has so far surged by around 13 % on the Shanghai International Energy Exchange.

https://splash247.com/china-launches-low-sulphur-fuel-oil-futures/?utm_source=dlvr.it&utm_medium=twitter

 

Indepthnews: Concerted Efforts to Offset Damage Caused by Arctic Shipping

REYKJAVIK (IDN) – The polar region located at the northernmost part of Earth is warming at an accelerating rate and as sea ice continues to melt away, Arctic waters are becoming increasingly navigable to vessels carrying heavy fuel oil (HFO). HFO, which is one of the world’s dirtiest fuels, is not only virtually impossible to clean up in the event of a spill, but also produces higher levels of air and climate pollutants than other marine fuels.

Aware of the severe risks that heavy fuel oil poses to polar environments, the international shipping community has already banned its use in the Antarctic. But, as experts point out, it is now time to provide similar protection to the Arctic – an ecosystem that is equally vulnerable to disturbance and pollution.

Until recently, 76 per cent of the fuel used in Arctic shipping was HFO. Ships typically used heavy fuel oil with a sulphur concentration of 2.7 per cent. But the International Maritime Organisation (IMO) has ruled that from January 1, 2020, the maximum sulphur content of ships’ fuel oil would be 0.5 per cent instead of 3.5 per cent. Subsequently, fewer ships are now using HFO.

https://www.indepthnews.net/index.php/sustainability/oceans-seas-and-marine-resources/3649-concerted-efforts-to-offset-damage-caused-by-arctic-shipping

 

VPO: Stena Bulk presents low emission tanker prototype

Stena Bulk has presented a prototype of the next-generation product and chemical tanker, the IMOFlexMAX, which will reportedly reduce greenhouse gas emissions by more than 25 per cent compared to current product tankers.

https://vpoglobal.com/2020/06/22/stena-bulk-presents-low-emission-tanker-prototype/

 

Ship and Bunker: Chinese VLSFO Exports dropped in May

Exports of very low sulphur fuel oil (VLSFO) from China dropped significantly last month according to news agency Reuters, in signs of a continuing impact of the Covid-19 pandemic on global shipping demand.

https://shipandbunker.com/news/apac/720042-chinese-vlsfo-exports-dropped-in-may

 

Ship and Bunker: OPEC+ Compliance May Deliver $500/MT VLSFO by End of 2021

Full compliance by members of the oil producer coalition OPEC+ to its output cuts deal could see Very Low Sulphur Fuel Oil (VLSFO) prices climb above $500/MT again by late 2021, according to bunker trading company Integr8 Fuels.

https://shipandbunker.com/news/world/556345-opec-compliance-may-deliver-500mt-vlsfo-by-end-of-2021

 

Ship and Bunker: Istanbul Market Faring Well Despite 8% Drop in Bunker Sales

Local bunker suppliers in Istanbul have sounded a positive tone despite a drop in marine fuel sales following measures put in place to address the COVID-19 pandemic.

https://shipandbunker.com/news/emea/948043-istanbul-market-faring-well-despite-8-drop-in-bunker-sales

 

Ship and Bunker: Pacific Green Retreats From Scrubber Sales as HSFO Discount Remains Narrow

Technology company Pacific Green has decided to scale back its presence in the marine scrubber business, in the latest sign of weakening prospects for the emission cleaning technology.

https://shipandbunker.com/news/emea/135150-pacific-green-retreats-from-scrubber-sales-as-hsfo-discount-remains-narrow

 

The installation of 700 scrubbers was cancelled due to Covid

According to Clarksons, many works entrusted to shipyards were cancelled due to the pandemic and to the drop in the price gap between traditional bunker oil and low-sulphur fuel oil

http://www.ship2shore.it/en/shipping/the-installation-of-700-scrubbers-was-cancelled-due-to-covid_74446.htm

 

Fujairah refiners mull switch from LSFO to light distillates as profitability plunges – traders

Key low sulfur fuel oil refineries in Fujairah belonging to Uniper and Vitol may switch to producing more profitable light distillates or mothball their refineries altogether if demand for LSFO remains depressed and prices unprofitable, traders in Fujairah said week ending June 26.

https://www.bunkerworld.com/news/157396

 

Shippingwatch: Bunker company predicts significant price increase for low-sulfur oil in 2021

If the Opec+ member states continue to comply with their agreement to lower oil production, the price of low-sulfur fuel oil could surge to over USD 500 by the end of 2020, assesses bunker company.

https://shippingwatch.com/suppliers/article12251702.ece

 

Motorship: KEEPING ENGINES RUNNING AMID 2020 FUEL CHALLENGES

Early reports on the variable quality of very low-sulphur fuel oils confirm research highlighting the need for robust cylinder lubrication when using the new fuel blends.

Looking back on the first three month since the implementation of IMO’s global sulphur cap, it seems that concerns over the variability of new very low sulphur fuel oil (VLSFO) blends were justified. To cite just one example, Lloyd’s Register’s Fuel Oil Bunker Analysis and Advisory Service (FOBAS) has issued three alerts on excessive sediments in VLSFO. FOBAS’ analysis shows that five percent of all VLSFO samples taken in Singapore in the first two months of 2020 had high sediment volumes. In Rotterdam the figure rises to 23%.

https://www.motorship.com/news101/fuels-and-oils/keeping-engines-running-amid-2020-fuel-challenges

 

Bunker price spread keeps scrubber economics unfavourable  By Michelle Wiese Bockmann

The price spreads being seen have extended the payback period for a scrubber capesize bulk carrier beyond five years, and more than three years for a very large crude carrier

The difference in price between high-sulphur fuel oil and the compliant 0.5% sulphur fuel oil is weakening the economic argument for scrubbers.

https://lloydslist.maritimeintelligence.informa.com/LL1132783/Bunker-price-spread-keeps-scrubber-economics-unfavourable

 

Hong Kong Shipping Gazette News .hksg.com

Article in full below.

TS Lines in search of new ships as Q1 profits soar 170pc to US$21.5m

CHAIRMAN of TS Lines, Chen Te Shen says controlling costs and services additions on routes with growing demand have led to the Taiwan carrier’s 170 per cent year-on-year increase in profits.

The Taiwanese operator of the intra-Asia carrier reported profits of TWD650 million (US$21.49 million), achieved by responding to challenging conditions caused by Covid-19 with the company withdrawing from the US trades and concentrating on operating intra-Asian and Asia-Australia routes. Mr Chen said the company further reduced costs by redelivering chartered vessels that were deployed on withdrawn services.

The leased fleet increased the flexibility of the company’s operations. While owning a certain percentage of newly built own ships, with high fuel efficiency, allowed the company to reduce costs further, reports Container News, Jacksonville.

Mr Chen said that there is a silver lining in the pandemic, as oil prices collapsed to an 18-year low, resulting in low-sulphur fuel oil becoming cheaper. This meant compliance with the International Maritime Organization’s emissions cap was more affordable.

“Oil prices fell sharply in March. As the fuel surcharge was calculated based on the oil price of the previous quarter, when our actual bunker costs fell, the company’s profit increased,” explained Mr Chen.

Cargoes to and from India and the Philippines declined during Q2, but TS Lines added services to Thailand and Vietnam, where cargo demand remained strong. Consequently, the carrier’s operating profit for Q2 2020 is forecast to be TWD700 million.

The chairman said: “We’ll continue to acquire vessels and commission newbuildings. Three years ago, we aimed to own five vessels. At the time, we operated 36 vessels. Today, we are operating 46 ships, including 12 owned vessels. Another three are under construction. Today’s newbuildings are fuel-efficient, but it takes two years for a vessel to be built. If there are suitable pre-owned ships in the market, we’ll consider second-hand purchases.”

 

BTJ 2/20 – Green loans by the book. How to embed environmental care in ship financing by Amy Lindemann, Senior Associate, Campbell Johnston Clark

The IMO 0.5% sulphur cap is now in force globally, while the Poseidon Principles, a banking code aimed at integrating climate considerations into lending decisions, have been widely adopted by many of the major ship finance banks.

Let us then explore the implications for the evolution of loan and finance lease documentation in shipping, as well as for the commercial elements of deals.

http://baltictransportjournal.com/index.php?utm_source=freshmail&utm_medium=email&utm_campaign=BTJ_e-newsletter&id=110

 

ICE LSGO futures net speculative length rises 6,045 lots on week

Speculative net long positions in ICE low sulfur gasoil futures rose 6,045 contracts to 34,899 in the week to June 16, according to ICE data June 22.

https://www.bunkerworld.com/news/157342

 

News Round Up 15 June 2020

News Round Up 15 June 2020

Ship and Bunker: Several Hundred Ships May Need Engine Upgrades to Cope with VLSFO

Running lower-viscosity fuels constantly may be causing engine problems for some older ships. Read in Full 

Ship and Bunker: VLSFO now available in Pakistan

The max 0.50% sulfur fuel is a straight run product with a viscosity range between 40 and 180 cSt. Read in Full 

Ship and Bunker: Brokerage NSI Warns Shipowners to Prepare for Lower Korean Sulfur Limit

The rule will just apply at berth and anchorage from September, but is due to be extended to cover all of South Korea’s waters from January 1, 2022. Read in Full 

Ship and Bunker: Repsol Expands VLSFO Supply Locations in Spain

From June the company can now deliver VLSFO by truck from 15 Spanish ports. Read in Full 

Ship and Bunker: Finland Trials “Sniffer Bouy” to Monitor Sulfur Regs Compliance

The trial began at the end of May with the pilot period running until autumn 2020. Read in Full 

Bunkerworld: Asian maine fuel market recovery slows amid thin demand,ample supply

Initial signs of recovery seen in the Asian marine fuel market have faded amid ample supply and slow demand with the contango structure weakening from three-month highs reached June 5, market sources said June 12. In Full »

Bunkerworld: European HSFO seeing support from dwindling supply

High sulfur fuel oil — the main marine fuel globally before IMO 2020, a ‘greener’ regulation from January 1 — has found support from a sharp drop in production, with the lack of volume in Europe underpinning its value. In Full »

Bunkerworld: Singapore’s residue stocks steady June 10 as bunker fuel demand still low

Singapore’s commercial onshore residue stocks were largely unchanged at 25.687 million barrels, or 4.05 million mt, as of June 10, when compared with 25.685 million barrels a week ago, Enterprise Singapore data released June 11 showed, as bunker demand has yet to recover. In Full »

Bunkerworld:  REFINERY NEWS: PetroChina Guangxi produces first VLSFO for bonded bunkering

A 3,250 mt batch of 0.5% sulfur marine fuel produced by PetroChina’s Guangxi Petrochemical became Guangxi’s first domestically produced fuel oil cargo to enjoy a value-added-tax rebate, a source at the refinery said June 12. In Full »

Bunkerworld: Pakistan’sOrion Bunkers targets barge fleet expansion

Pakistan’s Orion Bunkers Ltd. plans to expand its bunker barge fleet as demand for cleaner fuels gains impetus after the International Maritime organization’s global low sulfur mandate, the company’s director Zishan Arshad told S&P Global Platts. In Full »

Bunkerworld: Kiire emerges as major high sulfur bunker port in Japan with JXTG as sole supplier: traders

The port of Kiire, located in South Kyushu in western Japan, has emerged as a major high sulfur bunkering port in the country, with JXTG Nippon Oil & Energy starting as sole supplier there, bunker traders said June 12. In Full »

Bunkerworld: Japan marine fuel 0.5% differentials in discounts in June; market seen bottoming

The delivered Tokyo Bay marine fuel 0.5%S differential to Singapore 10 ppm gasoil cargo assessments has remained in discounts so far in June, averaging minus 53 cents/mt over June 1-10, compared with a premium of $7.56/mt over May 20-29 and a monthly average of $21.41/mt in May, S&P Global Platts data showed, as weak demand coupled with ample supply weighed on the market this month. In Full »

Bunkerworld:  Singapore 180/380 CST HSFO spread widens to 3-month high on strong 180 CST demand

The strong demand for 180 CST high sulfur fuel oil for power generation has widened the spread between FOB Singapore 180 CST HSFO and 380 CST HSFO, otherwise known as the viscosity spread, to a three-month high of $15.40/mt on June 10, fuel oil traders in Singapore said.

https://www.bunkerworld.com/news/insight/157245/Atsuko-Kawasaki/Singapore-180-380-CST-HSFO-spread-widens-to-3-month-high-on-strong-180-CST-demand

Bunkerworld:  Singapore July ex-wharf MF 0.5% S bunker term talks inconclusive on wide bid-offer spread

Negotiations for the term supply of Singapore ex-wharf marine fuel 0.5%S bunker for July were largely inconclusive so far, as the market was still awaiting cues on near-term price direction amid a wide bid-offer spread, market sources said June 9. In Full »

Bunkerworld: FEATURE: High Sulphur IFO 380 bunker fuelfaces reduced demand at LatinAmerican ports

As the Latin American bunker fuel market approaches six months since the rules for lower sulfur content in marine fuels took effect globally, a market for high sulfur IFO 380 fuel can now only be found at a reduced number of ports in the region, according to local data and bunker sources. In Full »

Bunkerworld:  FEATURE:High sulfur IFO 380 bunker fuel faces reduced demand at Latin American ports

As the Latin American bunker fuel market approaches six months since the rules for lower sulfur content in marine fuels took effect globally, a market for high sulfur IFO 380 fuel can now only be found at a reduced number of ports in the region, according to local data and bunker sources. In Full »

Bunkerworld:  European LSSR strengthens on VLSFO blending despite muted bunker demand

Northwest European low sulfur straight run values rose sharply June 8, following a competitive bid in the Platts Market on Close assessment process. In Full »

Bunkerworld:  Fujairah’s fuel oil exports fall to 18-month low with supplies held in storage

“Fuel oil in Fujairah storage will see seasonal pull from Saudi Arabia, which will soon ramp up HSFO imports,” Wright said. In Full »

Tank News International: HES Wilhelmshaven Tank Terminal LSFO production becomes operational

The Low Sulphur Fuel Oil (LSFO) production unit, which has a nameplate capacity of approximately 2.5 million tons of LSFO per year, located at HES Wilhelmshaven Tank Terminal GmbH (HWTT) in Germany has commenced operations. HWTT is a 100 per cent subsidiary of HES International BV.

 

https://www.tanknewsinternational.com/hes-wilhelmshaven-tank-terminal-lsfo-production-becomes-operational/

Bunkerspot: GLOBAL: Great Eastern ‘going ahead with scrubbers’ but ‘projects not going to be as good as originally envisaged’

Speaking during an earnings conference call last week, Great Eastern Shipping’s Chief Financial Officer G. Shivakumar said the company will ‘go ahead’ with its planned scrubber installations but accepted that ‘the projects are obviously not going to be as good as we had originally envisaged’ because of the reduced price differential between high and low sulphur fuel oils.

 

News Update – 18 May 2020

News Update – 18 May 2020

Ship and Bunker: INTERVIEW: The Falling Cost of Biofuel – Now a “Commercially and Technically Viable” Alternative to Fossil Bunkers

The price of GHG-footprint reducing biofuels has declined to the extent where they should now be considered both a commercially and technically viable alternative to conventional bunkers, even as the price of oil slumps to multi-year-lows, according to supplier GoodFuels.

https://shipandbunker.com/news/world/939386-interview-the-falling-cost-of-biofuel-now-a-commercially-and-technically-viable-alternative-to-fossil-bunkers

Chinadialogue Ocean: China enters a new low-sulphur shipping era

Establishing emission control areas has prepared China for global sulphur restrictions, but challenges remain

https://chinadialogueocean.net/13818-china-enters-a-new-low-sulphur-shipping-era/

Bunkerspot: Spain marks significant upswing in LNG bunkering operations

A total of 185 LNG bunkering operations have been carried out in Spanish ports up to the end of April this year, with volumes doubling to 47,615 cubic metres (cbm) compared to the same period last year.

The growth in the development of the Spanish LNG bunkering market has been strong in the past few year. According to statistics provided by the European Commission’s CORE LNGas hive initiative, in 2019, a total of 195 LNG bunkering operations were carried out, over a three-fold increase from the 60 gas fuel deliveries undertaken in 2018.

https://www.bunkerspot.com/europe/50502-europe-spain-marks-significant-upswing-in-lng-bunkering-operations

Bunkerspot: DNV GL: Hydrogen taking ‘a primary position’ in decarbonisation efforts

A new report from DNV GL has indicated that hydrogen has ‘surged up the priority list’ of many energy organisations, taking a ‘primary position’ in the sector’s decarbonisation efforts.

More than half (52%) of senior oil and gas professionals expect hydrogen to be ‘a significant part of the energy mix by 2030’, said DNV GL, and a fifth (21%) of industry leaders say their companies have already entered the hydrogen market.

https://www.bunkerspot.com/global/50503-global-dnv-gl-hydrogen-taking-a-primary-position-in-decarbonisation-efforts

Bunkerspot: GLOBAL Seaspan using Alfa Laval solution to resolve LSFO issues

Seaspan Ship Management has chosen Alfa Laval to help resolve steam balance and redundancy issues associated with the use of sulphur-compliant marine fuels.

https://www.bunkerspot.com/global/50501-global-seaspan-using-alfa-laval-solution-to-resolve-lsfo-issues

Bunkerspot: IEA: oil supply set for ‘spectacular’ fall in May to hit nine-year low

The International Energy Agency’s monthly Oil Market Report, published today (14 May), says the peak decline for global refining activity has shifted to May, with refinery storage bottlenecks starting to multiply at the beginning of the month as refineries in Europe, Asia and Africa halted production due to falling energy demand.

https://www.bunkerspot.com/global/50500-global-iea-oil-supply-set-for-spectacular-fall-in-may-to-hit-nine-year-low

Bunkerspot: DNV GL launches pilot phase of FuelBoss LNG bunkering platform

‘Feedback from suppliers has been very positive and we expect to have at least 10 suppliers on FuelBoss before the pilot phase ends, covering both Europe, Asia and North America’ DNV GL’s Martin Wold tells Bunkerspot.

https://www.bunkerspot.com/global/50513-global-dnv-gl-launches-pilot-phase-of-fuelboss-lng-bunkering-platform

Bunkerspot: GLOBAL: VPS publishes white paper on engine protection for VLSFO’s

During an investigation into the impact of the new very low sulphur fuel oils (VLSFO) on cylinder oils, VPS identified over 40 vessels suffering major engine damage since starting to bunker VLSFO.

https://www.bunkerspot.com/global/50506-global-vps-publishes-white-paper-on-engine-protection-for-vlsfos

Bunkerspot: ASIA PACIFIC: Port of Qingdao marks first VLCC bunker delivery; outlines VLSFO supply ambitions

A Sinopec barge, An Shen 5, bunkered the New Vista very large crude carrier (VLCC) with 1,600 metric tonnes of very low sulphur fuel oil on 11 May.

https://www.bunkerspot.com/asia/50510-asia-pacific-port-of-qingdao-marks-first-vlcc-bunker-delivery-outlines-vlsfo-supply-ambitions

Fathom.world: Wärtsilä Fuel Efficiency Boost will reduce fuel consumption and greenhouse gas emissions for KOTC VLCC’s

Press Release: The technology group Wärtsilä has been contracted to upgrade the performance of four vessels owned by Kuwait Oil Tanker Company (KOTC), a subsidiary of Kuwait Petroleum Company (KPC), by retrofitting the Wärtsilä Fuel Efficiency Boost solution to the ships’ main engines. The modification will reduce fuel consumption, and correspondingly lessen the environmental impact by lowering greenhouse gas emission levels. The order with Wärtsilä was placed in the first quarter of 2020. KOTC and other major ship owners who have taken a proactive approach towards environmental protection have been actively looking for ways to reduce their fuel consumption and carbon footprint, thus paving the way for them to reduce greenhouse gas emissions. As a result, the Wärtsilä Fuel Efficiency Boost initiative has attracted considerable interest, and similar orders from other large shipping companies have been placed in recent months.

https://fathom.world/wartsila-fuel-efficiency-boost-will-reduce-fuel-consumption-and-greenhouse-gas-emissions-for-kotc-vlccs/

Fathom.world: New report shows large potential for energy optimization with a payback of less than 3 years

Press Release: In a project, under Green Ship of the Future, 20 partner organizations have identified potential double-digited savings through retrofittable solutions with an ROI of less than 3 years.

In the Retrofit Series project, which began in 2019, Green Ship of the Future and 20 partners examine the potential for energy optimizing existing vessels, and thereby reducing their fuel consumption and CO2 emissions. The report shows potential achievable savings of up to 27% through technology that are available today and can be retrofitted with an ROI of less than 3 years. In addition, the report points to some general areas, which based on the case studies of three different vessels, show potential for large energy savings.

https://fathom.world/new-report-shows-large-potential-for-energy-optimization-with-a-payback-of-less-than-3-years/

Fathom.world: Integrated Alfa Laval Aalborg steam solution supports sulphur-compliant fuel use by Seaspan Ship Management

Press Release: Seaspan Ship Management has selected Alfa Laval to help resolve steam balance and redundancy issues connected to sulphur-compliant fuels. The comprehensive solution – an integrated steam boiler plant comprising oil-fired steam production, waste heat recovery, advanced control and connectivity – will soon be implemented on eight Seaspan owned large container ships.

https://fathom.world/integrated-alfa-laval-aalborg-steam-solution-supports-sulphur-compliant-fuel-use-by-seaspan-ship-management/

Fathom.world: Hartmann orders ME-LGIP engines for LPG tankers

MAN Energy Solutions has won the contract to supply individual MAN B&W ME-LGIP (Liquid Gas Injection Propane) dual-fuel engines to 3 × 5,000-m3 LPG tankers currently under construction by CIMC-SOE (CIMC Sinopacific Offshore & Engineering Co., Ltd.) in Shanghai for Hartmann Gas Carrier, the German shipping company.

https://fathom.world/hartmann-orders-me-lgip-engines-for-lpg-tankers/

VPO: Double digit fuel savings possible using existing technology, finds study

Green Ship of the Future (GSF) and its 20 partner organisations have identified that fuel savings of up to 27 per cent could be achieved by using existing technologies that have an ROI of less than 3 years.

In the retrofit series project, which began in 2019, Green Ship of the Future and its 20 partners examined the potential for optimising the energy consumption of existing vessels, and the impact on their fuel use and CO2 emissions. The results indicated that a 27 per cent cut in energy consumption was possible, using only technologies that are available today and can be retrofitted with an ROI of less than 3 years. The report also points to some general areas, which based on the case studies of three different vessels, show potential for large energy savings.

https://vpoglobal.com/2020/05/15/double-digit-fuel-savings-possible-using-existing-technology-finds-study/

VPO: Japan launches first LNG bunkering vessel

Japan’s first LNG bunker vessel (LBV) has been successfully launched at the Sakaide Works of Kawasaki Heavy Industries. The LBV is scheduled to be delivered at the end of September 2020 and will be the first LBV to be operated in Japan. 

https://vpoglobal.com/2020/05/15/japan-launches-first-lng-bunkering-vessel/

VPO: Coronavirus, coatings and carbon

Way back in January this year, a time that seems like it was generations ago, shipping was facing up to a global, existential challenge – reducing its carbon emissions and the global climate emergency. The fateful day of January 1, 2020 had come and gone with less disruption than many had anticipated, with generally widespread availability of low sulphur fuel to meet the IMO’s global sulphur cap requirements, and fewer violations than expected. For a few months, shipping’s attention had firmly switched from the issue of tackling sulphur to carbon, writes Catherine Austin, marketing & communications director, I-Tech AB and managing director of Blue-Green Marketing Consultants. 

https://vpoglobal.com/2020/05/15/coronavirus-coatings-and-carbon/

Ship and Bunker: Few ports wih VLSFO Availability Problems: Minerva Bunkering CEO

Minerva Bunkering now sees ‘very few# ports where the availability of low Sulphur fuel oil is a problem, according to its CEO.

https://shipandbunker.com/news/world/184956-few-ports-with-vlsfo-availability-problems-minerva-bunkering-ceo

News Round Up 04 May

News Round Up 04 May

Lloyd’s Loading List: Lines under pressure to cut ‘obsolete’ low sulphur surcharges

The crash in crude oil prices and consequent severe reduction in bunker costs is increasing calls from customers for savings to be passed on by carriers

https://www.lloydsloadinglist.com/freight-directory/adviceandinsight/Lines-under-pressure-to-cut-%E2%80%98obsolete%E2%80%99-low-sulphur-surcharges/76448.htm#.Xq_hVM3gpLN

Bunkerspot: AMERICAS: Panama Canal bunker volumes hold steady in March

New statistics published by the Panama Canal Authority (AMP) show a small monthly rise in total bunker sales, from 442,886 metric tonnes (mt) in February to 448,093 mt in March; there were increases in very low sulphur fuel oil and marine diesel oil volumes, but a dip in demand for high sulphur fuel oil.

https://www.bunkerspot.com/americas/50410-americas-panama-canal-bunker-volumes-hold-steady-in-march

VPO Global: LUKOIL shares lubricant experience 

LUKOIL Marine Lubricants has shared its experience of operating with NAVIGO MCL Extra (40BN) with very low sulphur fuel oil (VLSFO) for 100 days.

https://vpoglobal.com/2020/05/01/lukoil-shares-lubricant-experience-after-100-days-of-operation-on-vlsfo/

Bunkerspot: WFS sees 68% Q1 profit surge for bunker segment on lower volumes

World Fuel Services’ marine fuel business held up well in Q1 2020, showing a good degree of resilience amid the current market turmoil, but marine profits are expected to be ‘more meaningfully impacted’ in Q2 by the oil price slump and the coronavirus pandemic.

https://www.bunkerspot.com/news-archive?view=article&id=50422:global-wfs-sees-68-q1-profit-surge-for-bunker-segment-on-lower-volumes&catid=14

Bunkerspot: Rotterdam’s Q1 bunker volumes show solid upswing

In spite of falling global bunker demand in the first three months of the year due to the major slowdown in world trade flows as a result of coronavirus, Q1 2020 bunker volumes at the Port of Rotterdam showed a quarter-on-quarter gain to reach 2.37 million cubic metres (cbm) – the highest quarterly total since Q1 2018.

https://www.bunkerspot.com/news-archive?view=article&id=50415:europe-rotterdam-s-q1-bunker-volumes-show-solid-upswing&catid=11

Bunkerspot: Panama bunker volumes hold steady in March

New statistics published by the Panama Maritime Authority (AMP) show a small monthly rise in total bunker sales, from 442,886 metric tonnes (mt) in February to 448,093 mt in March; there were increases in very low sulphur fuel oil (VLSFO) and marine diesel oil (MDO) volumes, but a dip in demand for high sulphur fuel oil (HSFO).

https://www.bunkerspot.com/news-archive?view=article&id=50410:americas-panama-canal-bunker-volumes-hold-steady-in-march&catid=9

Bunkerspot: Lindsay-Blee and Master Fuel sign Colombia marketing and distribution deal

Lindsay‐Blee will exclusively market, sell and distribute marine fuel products in Colombia in partnership with Master Fuel SAS, including very low sulphur fuel oil (VLSFO), high sulphur fuel oil (HSFO) 380 cSt, and 0.10% sulphur marine gasoil (MGO).

https://www.bunkerspot.com/news-archive?view=article&id=50405:americas-lindsay-blee-and-master-fuel-sign-colombia-marketing-and-distribution-deal&catid=9

Bunkerspot: VPS highlights marine fuel storage monitoring service

The COVID-19 pandemic has reduced marine fuel demand which can result in extended bunker storage periods and heighten the risk of fuel quality deterioration.

Fuel testing agency VPS has pointed out that although longer-term storage of marine fuels is possible, it can increase the risk of fuel quality issues arising from temperature, stratification, fuel stability, catfine settling, waxing and microbial growth.

‘Heavy Fuel Oil (HFO), Very Low Sulphur Fuel Oil (VLSFO), Ultra Low Sulphur Fuel Oil (ULSFO) and Marine Gas Oil (MGO), all have different properties and formulations, which can be negatively affected due to longer-term storage,’ says VPS.

https://www.bunkerspot.com/news-archive?view=article&id=50398:global-vps-highlights-marine-fuel-storage-monitoring-service&catid=14

Splash 247: Aussies detain bulk carrier found to be carrying high sulphur fuel

The African Heron, a four-year-old 34,387 dwt bulk carrier belonging to the Amsterdam-based MUR Shipping, was detained in Geelong, Australia on Friday, found to be carrying fuel with Sulphur content above 0.5%.

https://splash247.com/aussies-detain-bulk-carrier-found-to-be-carrying-high-sulphur-fuel/

Ship and Bunker: IBIA, UK Chamber of Shipping Plan Autumn Bunker Event

Bunker Industry association International Bunker Industry Association (IBIA) and the UK Chamber of Shipping have teamed up to host a bunker conference in London in September.

The event, on September 29, will provide “a forum for advanced dialogue and exchange of experiences related to marine fuels, the implementation of the 2020 Sulphur Cap, safety implications, the market landscape and new advanced fuel products”, according to the organisers.

An agenda will released nearer the time and sponsorship deals are available.

https://shipandbunker.com/news/world/431581-ibia-uk-chamber-of-shipping-plan-autumn-bunker-event

Ship and Bunker: Chinese Ports Record Rising Bunker Spot Sales

Bunker sales at the Chinese port of Zhoushan rose by 25% to reach 348,500 metric tonnes (mt) in March from the previous month.

Spot Sales of low-sulphur bunker volumes in the port as reported to price reporting agency Argus Media were at a record high of nearly 49,000 mt in March, according to the agency.

https://shipandbunker.com/news/apac/663372-chinese-ports-record-rising-bunker-spot-sales

 

IMO 2020: Scrubber Uptake, HSFO Demand Being Underestimated, Says Goldman

IMO 2020: Scrubber Uptake, HSFO Demand Being Underestimated, Says Goldman

 

Scrubber uptake and HSFO demand for IMO 2020 is being underestimated, according to Goldman Sachs, who is predicting HSFO demand could fall by less than 50% when the global 0.50% sulfur cap on marine comes into force January 1, 2020

The vast majority of the world’s 50,000 strong fleet is expected to switch to complaint fuel when the IMO 2020 rule comes into force.

Vessels fitted with scrubbers that enable them to continue burning HSFO, along with noncompliance, has been widely expected to keep global HSFO demand at between 5% to 10% of total demand.

But Goldman sees the recent momentum for scrubber adoption continuing to build, forecasting 3,125 installations in 2020, triple the ~1,000 vessels currently thought to have scrubber systems installed or order.

Read the full article here