Business

ENGINE: East of Suez Bunker Fuel Availability Outlook

Far East Russian bunker demand hit by sanctions; HSFO380 lead times shorten in Singapore; Fujairah VLSFO availability tight owing to cargo shortages.

Published

4 years ago

March 9, 2022

Admin

The following article regarding regional bunker fuel availability outlook for the East of Suez region has been provided by online marine fuels procurement platform ENGINE for publication on Singapore bunkering publication Manifold Times:

09 March 2022

Far East Russian bunker demand hit by sanctions
HSFO380 lead times shorten in Singapore
Fujairah VLSFO availability tight owing to cargo shortages

Widespread hesitation to bunker in Russian bunker ports has weighed on bunker demand in Far East Russian ports like Vladivostok.

Russia’s invasion of Ukraine and consequent sanctions and counterparty risks have prompted vessels from several foreign countries to shy away from Russian ports, and some from fuels produced with Russian oil.

Bunker cancellations have been mounting and new enquiries have dried up since the invasion started on 24 February, a source says. Domestic Russian vessels are still bunkering in the ports, however.

Prompt availability of VLSFO and LSMGO is still tight in Singapore. A shortage of incoming fuel oil cargoes has contributed to keep VLSFO lead times at 7-8 days out, and LSMGO lead times at 5-6 days.

HSFO380 availability has shown signs of improving, with lead times coming down from 10 days in recent weeks, to 5-6 days now. But the supply situation can quickly change for HSFO380 as relatively fewer suppliers offer the grade than the low sulphur grades.

While Singapore’s net fuel imports fell by 410,000 bbls in the week to 2 March, the port’s stockpiles of fuel oil rose by 370,000 bbls. Middle distillate stocks were also up on the week, adding 560,000 bbls.

In Fujairah, bunker fuel availability remains tight across fuel grades, with suggested lead times of up to nine days for HSFO380 and seven days for VLSFO and LSMGO. A lack of cargo imports and market volatility has made some suppliers hold back on committing to large VLSFO stems, or price them at premiums.

The UAE port’s inventories of heavy distillates and residual fuel oil fell by nearly 7% in the week to 28 February, according to Fujairah Oil Industry Zone and S&P Global Platts data.

Bunker fuel availability remains ample amid weak demand in Zhoushan, says a source. The Chinese port has been pricing VLSFO at sustained discounts to Singapore and Fujairah in recent weeks. Before Zhoushan’s price swung to discounts, the three ports were typically similarly priced.

In South Korea, VLSFO lead times are up to 7-9 days out in southern ports. LSMGO availability remains tight in South Korea with only barge supply available for the fuel grade. No LSMGO indications are given, only price offers on firm enquiries, sources say.

HSFO380 availability remains tight in Hong Kong, while VLSFO and LSMGO grades continue to be more readily available.

Demand has been slow in India due to volatile crude prices. In Mundra port, bunker fuel availability remains normal across all grades. Recommended lead times are around 4-5 days.

In Indian east coast ports such as Visakhapatnam, demand has also been slow in the past few days. Enquiries have almost dried up due to volatile crude prices, sources say. Availability remains good for VLSFO and LSMGO.

Bunker fuel availability in Djibouti is tight across all grades, the earliest delivery date is eight days out, sources say.

Photo credit and source: ENGINE
Published: 9 March, 2022

Business

Singapore: Notice of intended dividend issued for Parakou Shipping Pte Ltd

Creditors of the company will have to submit proof of debt to the liquidators of Parakou Shipping by 17 June, according to Government Gazette notice.

Published

1 day ago

June 5, 2026

Admin

A notice to declare the intended dividend of Parakou Shipping Pte Ltd to its creditors has been posted on the Government Gazette on Wednesday (3 June).

The following are the details of the notice of intended dividend:

Name of Company : Parakou Shipping Pte Ltd (In Creditors’ Voluntary Liquidation)
Address of Registered Office : c/o KordaMentha, 50 Raffles Place, 25-01 Singapore Land Tower, Singapore 048623
Last Day of Receiving Proofs (if not already lodged): 17 June 2026
Name of Liquidator : Cameron Duncan
Address : c/o KordaMentha Pte Ltd, 50 Raffles Place, #25-01 Singapore Land Tower, Singapore 048623

Photo credit: steve pb from Pixabay
Published: 5 June, 2026

LNG Bunkering

Chinese firms form pact for 20,000 cbm LNG bunkering vessel project

CM Energy Tech, Seacon Shipping Group and China Merchants Heavy Industry (Jiangsu) signed a joint venture agreement for 1+1 20,000 cubic meter LNG bunkering vessels.

Published

1 day ago

June 5, 2026

Admin

CM Energy Tech Co Ltd, Seacon Shipping Group Holdings Limited and China Merchants Heavy Industry (Jiangsu) Co Ltd on Tuesday (26 May) signed a joint venture agreement for the construction of 1+1 20,000 cubic meter liquefied natural gas (LNG) bunkering vessels.

The parties also signed a shipbuilding contract for the first vessel, which will be constructed by China Merchants Heavy Industry.

The project combines CM Energy Tech’s access to the China Merchants Group ecosystem, Seacon Shipping Group’s expertise in ship management and operations, and China Merchants Heavy Industry’s shipbuilding capabilities. The partners said the initiative is intended to address the shortage of large-capacity LNG bunkering vessels in the Chinese market.

The newbuild LNG bunkering vessel will feature dual C-type independent cargo tanks and is designed with a boil-off rate of just 0.16% per day. It will also be capable of delivering LNG at a bunkering rate of up to 2,000 cbm per hour, enabling efficient refuelling of large LNG-fuelled vessels.

The vessel will be powered by Wärtsilä dual-fuel engines and will comply with IMO Tier III emissions requirements. The first vessel is scheduled for delivery in 2028.

The three companies said they plan to further expand cooperation across the LNG value chain, strengthen their presence in the marine energy sector and provide customers with integrated LNG bunkering services focused on safety, operational efficiency and lower carbon emissions.

Photo credit: David Yu from Pixabay
Published: 5 June, 2026

Methanol

India’s Agastya inks green methanol offtake agreement with SAR Group

Agastya Green Fuels and SAR Group will work together to enable green methanol storage, bunkering, and marine fuel infrastructure across Sri Lanka.

Published

1 day ago

June 5, 2026

Admin

India’s clean energy conglomerate Agastya Group on Wednesday (3 June) said Agastya Green Fuels signed a long-term green methanol offtake agreement with Sri Lankan bunker supplier SAR Maritime Agencies, a SAR Group company, for the supply of 250,000 metric tonnes (mt) per annum of EU RFNBO RED III Compliant green methanol.

Agastya said the agreement establishes one of the largest green methanol supply partnerships in the Indian Ocean Region and marked a major step toward creating a new green maritime energy corridor connecting India and Sri Lanka.

The green methanol will be supplied from the Agastya Green Fuels Hub at Mulapeta Port, Andhra Pradesh, India, where Agastya is developing a green methanol export-oriented facility with a planned investment of USD 6 billion over the next six years. The facility is expected to produce 1 million mt per annum.

“Through this partnership, Agastya Green Fuels and SAR Group will work together to enable green methanol storage, bunkering, and marine fuel infrastructure across Sri Lanka, positioning Colombo, Hambantota, and Trincomalee as future clean-fuel hubs for global shipping,” the company said in a social media post.

“The Indian Ocean is emerging as the world’s next green fuel corridor. Agastya Green Fuels intends to be at its center,” said Shashi K Reddy Arjula, Founder and Group CEO of Agastya.

Photo credit: CHUTTERSNAP on Unsplash
Published: 5 June, 2026