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 22 June

News Round Up 22 June

Bunkerspot: AMERICAS: Panama’s May bunker volumes slip back 5% year-on-year

New Panama Maritime Authority statistics show that May bunker volumes totalled 393,316 metric tonnes, and the month was notable for a surge in low sulphur marine gasoil sales, which almost touched the combined total for the first four months of the year.

https://www.bunkerspot.com/americas/50737-americas-panama-s-may-bunker-volumes-slip-back-5-year-on-year

Bunkerspot: AMERICAS: New joint venture will look to process heavy crude oil using Quadrise MSAR technology

Oil exploration, development and technology group TomCo Energy and Valkor have formed a joint venture, Greenfield, which will look at the development of an oil sands plant at Asphalt Ridge in Utah; Valkor has also granted Greenfield a licence to Quadrise MSAR emulsion fuel technology for the processing of heavy sweet crude oil into IMO 2020-compliant heavy fuel oil.

https://www.bunkerspot.com/americas/50744-americas-new-joint-venture-will-look-to-process-heavy-crude-oil-using-quadrise-msar-technology

 Bunkerspot: GLOBAL: VLSFO: ‘load it and use it,’ says LR’s Douglas Raitt

Emerging problems over the stability of very low sulphur fuel oils (VLSFOs) when stored for longer time frames were addressed in an online webinar today hosted by Integr8 Fuels, with Douglas Raitt, Global FOBAS Manager, suggesting that the fuel may not be ‘a formulation to be kept for a period of time’.

The webinar, which looked at bunker fuel in the current shipping market, featured a wide-ranging discussion between Raitt and Chris Turner, Manager – Bunker Quality and Claims with Integr8 Fuels, and the quality of the new VLSFOs was, not surprisingly, a key talking point.

https://www.bunkerspot.com/global/50752-global-vlsfo-load-it-and-use-it-says-lr-s-douglas-raitt

Bunkerspot: GLOBAL: Presence of shale oil in VLSFO blends is on the up

Since 1 January 2020, the use of shale oil in blended very low sulphur fuel oils has been on the rise, with significant levels of Estonian shale oil – which can cause issues such as onboard filter clogging – having recently been seen in bunkers supplied at ARA ports, according to Douglas Raitt, Global FOBAS Manager, Lloyd’s Register.

https://www.bunkerspot.com/global/50754-global-presence-of-shale-oil-in-vlsfo-blends-is-on-the-up

Bunkerspot: ASIA PACIFIC: Australia increasing fines for pollution related incidents

The majority of Australian States are increasing their fines for pollution related incidents with effect from 1 July.

https://www.bunkerspot.com/asia/50759-asia-pacific-australia-increasing-fines-for-pollution-related-incidents

Ship and Bunker: Bunker Futures Contract starts at Shanghai Exchange

The marine fuel futures contract that launches today on the Shanghai International Energy Exchange is likely to attract strong interest, despite weakened ship fuel demand amid the coronavirus pandemic.

https://shipandbunker.com/news/apac/346356-bunker-futures-contract-starts-at-shanghai-exchange

Shipping Gazette: Pandemic forces shipowners to shelve scrubber installation

SHIPOWNERS are postponing or cancelling the installation of scrubbers that extract sulphur emissions from their vessels as the coronavirus pandemic tightens finances, reports Reuters.

Regulations from UN’s agency the International Maritime Organisation (IMO), which took effect in January, were viewed by the oil and shipping industries as one of the first worldwide efforts to enforce environmental change.

The rules aimed to make ships use fuel with a sulphur content of 0.5 per cent, compared with 3.5 per cent previously. Operators had the alternative option to install devices – scrubbers – to strip out the pollutant.

In the run-up to IMO 2020, dozens of traders and shipowners, bet on installing scrubbers hoping to make a profit from buying cheaper high-sulphur fuel as the newly developed 0.5 per cent alternative would be in tight supply.

But with an average cost of US$2 million to install just one, the stakes were already high for fleet operators often facing investments of more than $100 million.

Now the industry financial squeeze, caused by a decline in demand for shipping due to the Covid-19 crisis, may mean scrubbers become less of an option for ship owners to comply with regulations.

Leading Norwegian firm Wallenius Wilhemsen, which transports cars and other vehicles, told Reuters it had cancelled scrubbers for nine ships in the past few months and postponed an additional eight until later this year or 2021.”As a result primarily of the Covid-19 pandemic, customers have significantly reduced their output of vehicles,” a spokeswoman said. “With that comes a reduction in revenues and we are taking all necessary steps to reduce cash outflows.”

Clarksons Research said it recorded a significant slowing in the number of ships already in service installing scrubbers, estimating there were under 100 vessels undergoing retrofits versus over 300 at the start of the year.

Clarksons said the number of ships pending retrofits was 750 – some of which may be postponed or cancelled – versus a peak of over 2,000 pending in the middle of 2019. They estimated there were now 3,015 ships fitted with scrubbers, from 506 at the start of 2019.

Shipping Gazette: Cargo, low fuel bright spots in worst year for aviation: IATA

THE year 2020 will go down as the worst financial year in the history of aviation because of the Covid-19 crisis, a fact that justifies an industry-wide government bailout, according to the International Air Transport Association.

IATA’s director general and CEO Alexandre de Juniac, former CEO of Air France, saw only one ray of hope. “Strong cargo operations and comparatively low fuel prices will also give the industry a boost,” he said.

“But every day of this year will add US$230 million to industry losses. In total, that’s a loss of $84.3 billion. That’s why government financial relief is crucial,” he said.

“Provided there is not a second and more damaging wave of Covid-19, the worst of the collapse in traffic is likely behind us. A key to the recovery is universal implementation of the re-start measures agreed through the International Civil Aviation Organisation (ICAO) to keep passengers and crew safe,” he said.

“Airlines will still be financially fragile in 2021. Passenger revenues will be more than one-third smaller than in 2019. And airlines are expected to lose about $5 for every passenger carried. The cut in losses will come from re-opened borders leading to increased volumes of travellers.

“That will translate into strong incentives for travellers to take to the skies again. The challenge for 2022 will be turning reduced losses of 2021 into the profits that airlines will need to pay off their debts from this terrible crisis,” he said.

Reuters: China to be self-reliant in IMO-compliant fuel – official

Chinese refiners have the capacity to produce 18.1 million tonnes of low-sulphur fuel oil (LSFO) this year, which would make the country self-sufficient in the new shipping fuel, an official with state major PetroChina said on Monday.

https://www.reuters.com/article/china-oil-imo-idUSL4N2DZ0W1

Ship & Bunker: Petrobras low Sulfur Focus Fuels Exports’ Rise

Big monthly increase over a year ago.

https://shipandbunker.com/news/am/458423-petrobras-low-sulfur-focus-fuels-exports-rise

Ship & Bunker: Singapore Bunker Margins Almost Double in a Week

The premium for delivered very low sulfur fuel oil in Singa

pore over local cargo prices jumped to $25.72/mt on Friday, from $13.98/mt a week earlier.

https://shipandbunker.com/news/apac/690728-singapore-bunker-margins-almost-double-in-a-week

Ship & Bunker: Singapore Sees Marginal Decline in Bunker Demand in May

Total demand at the world’s largest bunkering hub fell to 3.925 million mt in May, down by 2% from a year earlier and by 4.6% from the previous month.

https://shipandbunker.com/news/apac/463618-singapore-sees-marginal-decline-in-bunker-demand-in-may

Bunkerworld: EIA says total US ULSD stocks draw for first time since March

Ultra low sulfur diesel stocks in the US drew for the first time since the week that ended March 27, falling 1.22 million barrels to 160.78 million barrels during the week that ended June 12, US Energy Information Administration data released June 17 showed.

https://www.bunkerworld.com/news/157297

Bunkerworld :TENDER DATA: India’s HPCL sells HSFO loading July 6-8 from Mumbai

HPCL is an occasional seller of high sulfur fuel on a spot tender basis, according to market sources.

https://www.bunkerworld.com/news/157313

Bunkerworld: S Korea marine fuel 0.5%S differential plunges to 10-month low on weak demand

Poor demand for delivered marine fuel 0.5%S in South Korea has pushed its differential against the FOB Singapore 10 ppm gasoil assessments to a 10-month low of minus $45.35/mt on June 17, S&P Global Platts data showed.

https://www.bunkerworld.com/news/157309

Bunkerworld: Bunker fuel trader Glander sees FY2019-20 revenues soar amid IMO 2020 transition

Glander International Bunkering reported a 19.4% rise in total revenue in its 2019-20 fiscal year amid an eventful year for the bunker industry, the marine fuel trader said in a statement June 18.

https://www.bunkerworld.com/news/157308

Bunkerworld: OIL FUTURES: Crude rises as OPEC+ compliance hopes overshadow virus risks

Crude futures settled higher June 19 as the market shrugged off concerns of a coronavirus pandemic resurgence amid tighter supply outlooks.

https://www.bunkerworld.com/news/157322

Bunkerworld: Bunker Fuels Need to be Treated Cautiously as Dangers for Engines Can Lurk in Low Sulphur Products

As the saying goes ‘There’s no such thing as a free lunch’, and that seems to be the case with the International Maritime Organization’s mandatory legislation on the sulphur content allowable in marine fuels, at least according to specialist fuel treatment firm Aderco.

Aderco has recently released a new fuel guide intended to improve fuel performance and prevent damage to maritime diesel engines. The report follows a series of tests conducted in Belgium and Singapore on low sulphur fuels over recent months. The authors claim that the tests show that incorporating a fuel additive can help mitigate problems such as commingling whilst improving fuel stability, reducing sludge and removing water from the new fuels.

http://www.handyshippingguide.com/shipping-news/bunker-fuels-need-to-be-treated-cautiously-as-dangers-for-engines-can-lurk-in-low-sulphur-products_13004

Khaleej Times: Pandemic forces ship owners to shelve anti-pollution gear

Ship owners are postponing or cancelling the installation of “scrubbers” that extract harmful sulphur emissions from their vessels as the coronavirus pandemic tightens finances.

Regulations from United Nations agency the International Maritime Organization (IMO), which took effect in January, were viewed by the oil and shipping industries as one of the first worldwide efforts to enforce environmental change.

https://www.khaleejtimes.com/business/global/pandemic-forces-ship-owners-to-shelve-anti-pollution-gear

Khaleej Times: Three Steps for a Smooth Transition to IMO 2020: Preparation, Flexibility and Timing

During late 2019, the maritime industry was gearing up to IMO 2020. The logistical complexity and financial repercussions were going to be huge. While living and working through this step change, Hafnia Bunkers found that preparation, flexibility and timing were all essential for a smooth, efficient transition into this new reality.

https://www.hellenicshippingnews.com/three-steps-for-a-smooth-transition-to-imo-2020-preparation-flexibility-and-timing/

News Round Up 25 May 2020

News Round Up 25 May 2020

Lloyd’s Loading List: Freight market turbulence set to continue all year, says DSV chief

Freight markets will see significant turbulence in the coming months with volatile rate readjustments likely in the air and ocean sectors as coronavirus lockdowns are eased and demand slowly recovers, according to Jens Bjørn Andersen, CEO of DSV Panalpina.

https://www.lloydsloadinglist.com/freight-directory/news/Freight-market-turbulence-set-to-continue-all-year-says-DSV-chief/76612.htm

Bunkerspot: ASIA PACIFIC: Straits Inter Logistics records 159.3% surge in annual revenue

Announcing revenue of RM663.2 million for FY 2019, Malaysia’s Straits Inter Logistics attributed much of the rise to an increase in demand for high sulphur fuel oil and the start of VLSFO supply.

https://www.bunkerspot.com/asia/50556-asia-pacific-straits-inter-logistics-records-159-3-surge-in-annual-profits

Bunkerspot: EUROPE: ‘Varied picture’ for Port of Antwerp’s 2020 freight volumes

The coronavirus impacted on freight throughput at the Port of Antwerp in April, but volumes were still up 0.4% overall during the first four months of 2020 compared with the same period last year.

https://www.bunkerspot.com/news-archive?view=article&id=50561:europe-varied-picture-for-port-of-antwerp-s-2020-freight-volumes&catid=11

Bunkerspot: ASIA PACIFIC: New bunker tanker now operating in Fremantle

BP Marine and ASP Ships Group have announced that the Absolute I, a 8,646 DWT tanker capable of carrying three grades of fuel, is now making bunker deliveries in Fremantle, Kwinana and at the local anchorages.

The Absolute I, which was launched in October 2019 and delivered into Fremantle in April, replaces the smaller vessel Vacamonte. The tanker made its first bunker delivery to the bulk carrier ASL Fortune at the Fremantle/Kwinana anchorage on 23 April.

https://www.bunkerspot.com/news-archive?view=article&id=50530:asia-pacific-new-bunker-tanker-now-operating-in-fremantle&catid=10

Bunkerspot: GLOBAL: SEA\LNG issues response to Climate Bond Initiative’s Green Bond criteria

Highlighting marine LNG’s role as a ‘crucial tool’ in helping to achieve climate ambitions, the industry coalition says that the recently announced proposed criteria for Green Bond certification of low carbon shipping financing, ‘leans towards being technology prescriptive rather than goal oriented; a precarious strategic approach to a highly complex international challenge’.

https://www.bunkerspot.com/news-archive?view=article&id=50542:global-sea-lng-issues-response-to-climate-bond-initiative-s-green-bond-criteria&catid=14

Ship & bunker: Distillate Demand by 7% Over Year: IEA

The first quarter demand picture for refined oil products shows jet fuel losing the biggest chunk of compared to the same quarter last year.

https://shipandbunker.com/news/world/102661-distillate-demand-down-by-7-over-year-iea

Ship & bunker: Woodside Petroleum to Alter Vincent Crude to Target VLSFO Market

Australian energy company Woodside Petroleum plans to alter the quality of its Vincent crude oil to make it suitable as a blending component for very low sulfur fuel oil (VLSFO), according to news agency Reuters.

The company plans to shut off the Cimatti field in Western Australia to raise the average flash point of the Vincent blend, Reuters reported Thursday.

https://shipandbunker.com/news/apac/737931-woodside-petroleum-to-alter-vincent-crude-to-target-vlsfo-market

Ship & Bunker: Classification Societies Clash on 2050 Bunker Demand Outlook

Two leading classification societies, DNV and the American Bureau of Shipping (ABS), have come up with two starkly different visions for how bunker demand might develop in the coming decades – highlighting widespread uncertainty over how the alternative fuels landscape is set to develop.

https://shipandbunker.com/news/world/616381-classification-societies-clash-on-2050-bunker-demand-outlook

Ship & bunker: Rosneft Starts VLSFO Production at Syzran Refinery

Russian energy producer Rosneft has started production of very low sulfur fuel oil (VLSFO) at its Syzran refinery in the south-west of the country, the company said Thursday.

The company started production of the fuel in early 2020, it said in a statement on its website.

https://shipandbunker.com/news/world/703366-rosneft-starts-vlsfo-production-at-syzran-refinery

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