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IBIA issues bunker activity report for Africa (February 2024)

Escalation of attacks on commercial shipping in the Red Sea has had a varied impact on bunker volumes sales across different stakeholders.
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The International Bunker Industry Association on Thursday (22 February) issued a bunker activity report for Africa:

The recent escalation of attacks on commercial shipping in the Red Sea has had a varied impact on bunker volumes sales across different stakeholders. This report synthesises feedback from various entities, focusing on changes in bunker sales, the ability to quantify these changes, supply challenges, and future demand expectations.

  1. Impact on bunker volume sales:
  • There has been an observable increase in bunker volumes sales in some regions, with immediate effects noted by certain stakeholders. However, this increase has not been uniformly experienced across all entities.
  • Some stakeholders have noted a significant potential for increased demand, while others have observed shifts in demand patterns, particularly towards Mediterranean ports, although some of those ports, such as Port Said, have seen a reduction. The best month for supply in one case was noted despite the crisis.
  1. Quantification of changes:
  • Estimates of increased sales range from 15-20% for some, with specific increases of 5-10 kilotons per month noted, predominantly in Very Low Sulphur Fuel Oil (VLSFO) and Light Sulphur Marine Gas Oil (LSMGO). High Sulphur Fuel Oil (HSFO) demand has also seen an uptick, influenced by price dynamics with major bunkering hubs.
  • Not all stakeholders are willing to share precise figures.
  1. Supply challenges and responses:
  • While some adjustments were required, most entities have been able to meet the increased demand without significant issues. However, challenges such as extended lead times and price increases of 50-100 USD/MT have been reported.
  • Actions to address supply issues include ramping up activities due to prior reductions in demand, discussions on partnerships with local suppliers, and concerns over deteriorating fuel quality.
  1. Future demand expectations:
  • The demand for bunkers is expected to increase further, with some entities experiencing solid trends and engaging in medium-term contracts. The crisis’s continuation is likely to sustain this demand increase, with infrastructure improvements such as floating storages and barges potentially solidifying the demand in South & West Africa.
  1. Planning for future demand:
  • Information from suppliers, official statistics, and insights into low-carbon fuel demand are critical for meeting current and future increases in demand. Challenges include predicting demand for alternative fuels like LNG and biofuels, influenced by price and regulatory support.
  1. Engagement with ship operators:
  • Continuous dialogue with clients and bunker players is underway to plan for future demand increases. While some discussions involve short-term contracts, a forward-looking approach is evident, with considerations for long-term cooperation and securing supplies for 6 to 12 months.

Note: Further specific regional/country analysis, along with demand forecast, planning and conclusion is available from the IBIA website here.

 

Photo credit: IBIA
Published: 28 February 2024

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LNG Bunkering

PIL’s LNG dual-fuel boxship “Kota Elok” arrives in Singapore on maiden call

As the first of 13 new 13,000 TEU vessels joining its fleet, Kota Elok is equipped to operate on LNG and low-sulphur fuel oil that helps reduce our greenhouse gas emissions.

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PIL's LNG dual-fuel boxship “Kota Elok” arrives in Singapore on maiden call

Singapore-based Pacific International Lines Pte Ltd on Monday (20 July) said its first 13,000 TEU LNG dual-fuel container vessel, Kota Elok, recently made her maiden call to Singapore on 15 July.

As the first of 13 new 13,000 TEU vessels joining its fleet, Kota Elok is equipped to operate on liquefied natural gas (LNG) and low-sulphur fuel oil that helps reduce our greenhouse gas emissions. 

The vessel also incorporated energy-saving features and digital technologies to reduce fuel consumption and enhance operational performance, as well as a bow windshield to improve aerodynamics, contributing to improved fuel efficiency and lower emissions over the course of long-haul voyages.

“Following Singapore, Kota Elok will continue her voyage on our East Coast Service 1 (ES1) route to South America, calling at ports in Brazil, Uruguay, and Argentina before returning to Asia,” the company said in a social media post. 

Kota Elok also became PIL’s first vessel to receive Lloyd’s Register certification for compliance with the IACS UR E26 and UR E27 cyber security requirements.

Developed by the International Association of Classification Societies (IACS), UR E26 and UR E27 are mandatory cyber resilience requirements for newbuild vessels contracted from 1 July 2024. 

 

Photo credit: Pacific International Lines
Published: 21 July, 2026

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LNG Bunkering

CIMC SOE secures order for 12,000-cbm LNG bunkering vessel from Sinopec Clean Energy

Once operational, the vessel is expected to strengthen Sinopec’s domestic coastal LNG bunkering network and help address gaps in China’s alternative fuel bunkering infrastructure.
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July 21, 2026

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CIMC SOE secures order for 12,000-cbm LNG bunkering vessel from Sinopec Clean Energy

China’s Nantong CIMC Sinopacific Offshore & Engineering Co., Ltd. (CIMC SOE) recently signed a contract with Sinopec (Beijing) Clean Energy Co., Ltd. to build a 12,000-cubic metre (m3) LNG bunkering vessel, according to Chinese maritime media.

The vessel is scheduled for delivery in 2028 and will support Sinopec’s efforts to expand its presence in the marine clean energy sector.

Once operational, the vessel is expected to strengthen Sinopec’s domestic coastal LNG bunkering network and help address gaps in China’s LNG bunkering infrastructure.

With this signing , CIMC Pacific Offshore Engineering’s LNG bunkering vessel orderbook is further strengthened, maintaining its leading position in the global market for small and medium-sized LNG bunkering vessels.

The contract also marked another milestone for CIMC SOE, which has seen a sharp increase in orders and business performance this year amid a surge in domestic LNG vessel demand.

 

Photo credit: Nantong CIMC Sinopacific Offshore & Engineering
Published: 21 July, 2026

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Nuclear

ABS awards AiP to Korean institute for SMR-powered container ship concept design

KRISO says AiP recognises the technical feasibility and safety of its concept design, marking an important milestone toward the development of next-generation nuclear-powered commercial ships.
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July 21, 2026

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ABS awards AiP to Korean institute for SMR-powered container ship concept design

Korea Research Institute of Ships & Ocean Engineering (KRISO) on Thursday (16 July) received Approval in Principle (AiP) from the American Bureau of Shipping (ABS) for its concept design of a 15,000 TEU Small Modular Reactor (SMR)-powered container ship utilising Molten Salt Reactor (MSR) technology.

KRISO said the AiP recognises the technical feasibility and safety of its concept design, marking an important milestone toward the development of next-generation nuclear-powered commercial ships.

“This achievement demonstrates international recognition of KRISO’s technological capabilities in the rapidly evolving field of nuclear-powered shipping, supporting the transition toward low-carbon maritime transport,” it said. 

Building on this milestone, KRISO will continue advancing basic and detailed ship design, paving the way for future demonstration and commercialisation of SMR-powered vessels. 

Through continued R&D and international collaboration, KRISO remains committed to strengthening next-generation maritime technologies and contributing to the safe deployment of nuclear propulsion in the maritime industry.

 

Photo credit: Korea Research Institute of Ships & Ocean Engineering
Published: 21 July, 2026

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