Business

Oman Oil Marketing Company: Time to consider the total cost of bunkering

Operators need to consider the total cost of bunkering or risk losing business, says Christophe El. Kati,
Head of Marine and Bunkers at the Oman Oil Marketing Company (OOMCO).

Published

4 years ago

April 11, 2022

Admin

The following article features Christophe El. Kati, Head of Marine and Bunkers at the Oman Oil Marketing Company (OOMCO), who shares his thoughts on how its Duqm bunker terminal can reduce the total cost of bunkering for ship owners.

As fuel prices in regional ports approach USD1000 per tonne, and berth availability and wait times negatively impact sailing timetables, decisions on where and when to bunker can significantly impact efficiency and an operator’s ability to retain business.

Thinking about the total cost of bunkering means that ship operators measure the impact of bunkering decisions on overall operational costs and the wider sustainability of a voyage, rather than just fuel cost. To manage the total cost of bunkering, charter party agreements also need to be scrutinised, with the impact of slow steaming and the number of days of steaming, routes, and arrival times all important factors.

Any gains made in minimising the total cost of bunkering will improve an operator’s performance within the terms of the Sea Cargo Charter. Although the provisions of the Charter only apply to its signatories, those signatories include some of the largest and most influential charterers in the market. The Charter is also an increasingly important mechanism for boosting transparency and cooperation between operator and charterer. It sets performance criteria for operators based on a measurement of climate alignment, defined as the degree to which voyage carbon intensity is in line with the IMO’s ambitions for reducing total annual GHG emissions. It relies specifically on the Energy Efficiency Operational Indicator (EEOI) which involves measurement of fuel consumption, a GHG emission factor for each fuel type, the distance travelled while laden, and the amount of cargo transported. How is all this relevant to the total cost of bunkering? Because it incentivises operators and charterers to look beyond just the price of fuel at competing bunker ports. Commercially and environmentally, this makes sense.

Digital voyage planning tools make it increasingly easy to accurately predict costs and evaluate the potential benefits of new bunkering locations. This should encourage operators to look beyond traditional bunker ports and take a more analytical approach to assessing all the options, including those that may offer a faster transit time and reduced waiting time at port.

OOMCO’s new terminal at the Port of Duqm, located on Oman’s Arabian Sea coast, is an ideal example. The port is in the immediate vicinity of the international trade route between Asia and Europe, without long wait times. In its region, a port call at Duqm for bunkering, resupply and crew changes can remove the need for a detour to nearby regional ports, for example, which could add a minimum of seven days. By eliminating several days of fuel and operational costs, a port call at Duqm can significantly reduce the total cost of bunkering for operators. Duqm also lies outside the high-risk zone that triggers the costly requirement for war risks cover; a significant financial saving.

OOMCO’s terminal offers high-quality HSFO, VLSFO and LSMGO marine fuel specifications in compliance with ISO 8217 and has been designed to meet the increasing demand for all low sulphur fuel-compliant marine fuels in line with IMO2020. The 10,000 metric tonne vessel MT Alpha, capable of delivering fuel at up to 1,000 m3 / hour, facilitates bunker calls for vessels visiting the port.

The Port of Duqm also offers a wide array of services, strengthening Oman’s marine infrastructure and making it one of the most dynamic marine and industrial hubs in the region. Vessels calling at Duqm can take advantage of a range of services, including pilotage, freshwater supply, waste collection, tug services, crew change, de-slopping services, ship handling, and ship spares. The port also hosts Oman Drydock Company, one of the largest ship repair yards in the world. Duqm’s wide range of services make it easier for vessel operators to justify a decision to bunker in the port.

The development of the new OOMCO terminal is underpinned by the $7 billion Duqm refinery which will have a capacity of 230,000 barrels per day, once completed. In addition, the nearby Ras Markaz storage terminal is also currently under construction. It will culminate in six million barrels of storage capacity being available in 2022, with an additional capacity of 19 million barrels earmarked for the site as a future development. In addition, there are plans in place for the supply of other marine fuels, including LNG and methanol, as well as green ammonia and green hydrogen.

The bunker fuel market in the Middle East and Africa region is expected to grow by more than 12% between 2022-2025. By taking a ‘total cost of bunkering’ approach, Duqm can help vessel operators to unlock greater efficiencies within their fuel procurement strategy that will protect their bottom line and optimise their port calls.

Photo credit and source: Oman Oil Marketing Company
Published: 11 April, 2022

Mass Flowmeter

MFM-equipped CPN barge first listed under Hong Kong quality bunker scheme

Chimbusco Pan Nation’s bunker barge “Zhong Ran 23” has become the first vessel in Hong Kong listed on Marine Department’s official List of Quality Bunker Vessels, under a newly-launched scheme.

Published

3 hours ago

June 17, 2026

Admin

MFM-equipped CPN barge first listed under Hong Kong quality bunker scheme

Hong Kong-based marine fuel supplier Chimbusco Pan Nation (CPN) on Tuesday (16 June) announced that its bunker barge Zhong Ran 23 has become the first vessel in Hong Kong listed on the Marine Department’s official List of Quality Bunker Vessels.

The list under the Quality Bunker Operator Scheme launched on 3 June.

“The Scheme is a voluntary initiative designed to raise the standard of bunkering accuracy, transparency, and service quality in Hong Kong,” CPN said in a social media post.

“To be listed, a bunker vessel must have its Mass Flow Meter (MFM) system independently certified under ISO 22192, the international benchmark for mass flow metering in bunkering operations.”

CPN added it has operated the MFM system across our fleet of fuel oil barges since 2015.

Manifold Times previously reported Hong Kong’s Marine Department (MD) launching the Quality Bunker Operator Scheme to encourage bunker operators to install and use mass flow meter systems (MFM systems) on their bunker vessels.

MD said the scheme aims to enhance Hong Kong’s bunkering service quality and the competitiveness of Hong Kong ports, thereby further consolidating Hong Kong’s position as an international maritime centre and a major bunkering port.

Under the Scheme, bunker operators of traditional maritime fuel and biodiesel that install and use MFM systems on their bunker vessels, with the MFM systems inspected and certified by an accredited body in accordance with the International Organization for Standardization’s ISO 22192 Standard or equivalent requirements, can apply to the MD for inclusion in the scheme’s “List of Quality Bunker Vessels”, provided they meet the relevant technical and operational requirements.

Photo credit: Chimbusco Pan Nation
Published: 17 June, 2026

Financial Result

Bunker Holding exceeds FY2025/26 forecast despite geopolitical headwinds

Bunker Holding delivered a gross profit of USD 424 million and a profit before tax of USD 73 million, exceeding the Group’s expectations for the year.

Published

3 hours ago

June 17, 2026

Admin

Bunker Holding on Tuesday (16 June) said it delivered a strong performance in the financial year 2025/2026 despite continued uncertainty across global markets.

The year was shaped by geopolitical developments, evolving trade flows, periods of heightened market volatility, and strong competition.

These conditions were further amplified by developments in the Middle East, which added complexity across global energy markets and shipping routes.

In response, Bunker Holding focused on getting closer to customers and understanding the different challenges faced across shipping segments. This enabled faster decision-making, greater agility under pressure, and allowed the Group to respond effectively while continuing to support customers reliably.

Against this backdrop, Bunker Holding delivered a gross profit of USD 424 million and a profit before tax of USD 73 million, exceeding the Group’s expectations for the year. Equity increased to USD 342 million.

Revenue amounted to USD 13.1 billion, a decrease of 4% compared to the previous year. The decline primarily reflected lower average oil prices during the financial year, despite periods of heightened market volatility and stronger pricing towards the end of the period.

“This year, we have taken important steps to strengthen Bunker Holding for the future. We have simplified parts of the organisation, brought teams closer together, and made the changes needed to make us more focused and efficient. Our markets remained challenging and unpredictable, but I am pleased with both the result we have delivered and the progress we have made,” said Peder Møller, CEO of Bunker Holding.

Looking ahead to 2026/27, Bunker Holding anticipates intense market competition alongside continued investments in low- and zero-carbon fuel projects and partnerships.

Changes to the Board of Directors

Bunker Holding said the company is strengthening its Board of Directors with the appointment of several new members and a new Chairman of the Board.

Nina Østergaard, CEO and co-owner of USTC, will assume the role of Chairman of the Board, while Henrik Andersen, Group President and CEO of Vestas Wind Systems A/S, will join as Vice Chairman. Tina Revsbech, CEO of Maersk Tankers, and Kenneth Steengaard, Chairman of the Board of Global Risk Management, will join the Board as new members.

At the same time, current Chairman Klaus Nyborg and Board member Peter Frederiksen will step down from the Board.

Nina Østergaard, incoming Chairman of the Board, said: “I am excited to take on the role as Chairman of Bunker Holding at an important time in the company’s development. Bunker Holding has a strong market position, a clear strategic direction, and significant opportunities ahead. I am also pleased to welcome Henrik Andersen, Tina Revsbech, and Kenneth Steengaard to the Board. They each bring valuable experience and perspectives, and I am particularly pleased that we have attracted such strong international profiles as Henrik and Tina, whose leadership experience from Vestas and Maersk Tankers will further strengthen the Board and support the company’s continued development.”

The addition of Kenneth Steengaard moves Bunker Holding closer to its sister-company Global Risk Management and adds important insight into risk management.

Bunker Holding founder and co-owner Torben Østergaard-Nielsen thanked the departing Board members for their contributions to the company.

Photo credit: Bunker Holding
Published: 17 June, 2026

Business

Oilmar establishes Board of Directors amid international expansion

Three directors are Chief Executive Officer Yusif Mammadov, Chief Finance Officer Nain Shafi, and Legal, Credit and Compliance Head Taira Shikhiyeva.

Published

3 hours ago

June 17, 2026

Admin

Oilmar formalises Board of Directors amid international expansion

UAE-based marine fuel and petroleum products trader Oilmar on Tuesday (16 June) announced the formal establishment of its Board of Directors, marking an important milestone in the company’s evolution.

The three directors are Chief Executive Officer Yusif Mammadov, Chief Finance Officer Nain Shafi, and Legal, Credit and Compliance Head Taira Shikhiyeva.

The formation of the Board was first communicated during Oilmar’s Q1 2026 Townhall as part of a wider governance enhancement initiative and has now been formally implemented.

The Board has been established to provide strategic direction, oversee risk management and governance matters, and support the company’s continued growth across its global operations.

“At inception, the Board comprises three Directors with extensive international experience across the energy, maritime, shipping, and commodity trading sectors. Together, they bring a wealth of industry knowledge and strategic expertise to support the company’s continued growth and development,” the company said.

“The Board is expected to be further strengthened through the appointment of additional Executive and Non-Executive Directors as the company continues to expand its international footprint.”

As part of the enhanced governance framework, strategic direction, risk appetite, and key business objectives will be determined at Board level, while regional management teams will remain responsible for execution within their respective markets. This structure strengthens accountability, promotes effective decision-making, and supports the Company’s long-term growth and succession objectives.

CEO Yusif Mammadov, said: “The establishment of the Board marks the next stage in Oilmar’s development as a global energy and marine fuels business. It creates a governance framework that will support our future growth, strengthen oversight across the organisation, and ensure that our strategic decisions are guided by long-term value creation and responsible risk management.”

Photo credit: Oilmar
Published: 17 June, 2026