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ENGINE: East of Suez Bunker Fuel Availability Outlook (27 Feb 2024)

LSMGO availability is good in Singapore; bunker demand is low in Zhoushan; prompt supply tight in Fujairah and Khor Fakkan.

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RESIZED ENGINE East of Suez

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:

  • LSMGO availability is good in Singapore
  • Bunker demand is low in Zhoushan
  • Prompt supply tight in Fujairah and Khor Fakkan

Singapore and Malaysia

Prompt VLSFO availability remains constrained in Singapore, with certain suppliers struggling to fulfill delivery commitments. Lead times of eight days are currently recommended for VLSFO. HSFO supply is also under pressure, with lead times spanning between 4-10 days, almost unchanged from the previous week. On the contrary, LSMGO supply remains abundant, and shorter lead times of 2-4 days are generally recommended.

Enterprise Singapore’s latest data reveals that Singapore’s residual fuel oil stocks have averaged 3% lower this month compared to January. The Southeast Asian bunker hub has witnessed a 12% decrease in net fuel oil imports so far in February, despite increases in both imports and exports. Fuel oil imports have risen by a modest 144,000 bbls this month, while fuel oil exports have surged by a notable 774,000 bbls, contributing to inventory drawdowns.

Meanwhile, the port’s middle distillate stocks have seen a significant 21% increase this month, touching nearly 8.50 million barrels, the highest level since November.

In Malaysia’s Port Klang, VLSFO and LSMGO availability remains stable, with several suppliers able to supply both grades of smaller quantities. On the other side, HSFO supply is very tight, with most of the suppliers lacking supply.

China, East Asia and Oceania

In Zhoushan, bunker fuel availability has improved amid subdued demand, leading several suppliers to recommend shorter lead times. VLSFO and LSMGO now have lead times of 2-4 days, while HSFO stands at 4-6 days, much shorter than last week’s 5-7 days.

Moving to China, Dalian faces tight VLSFO and LSMGO supply, while Tianjin encounters tightness across all grades. Qingdao has limited prompt availability for VLSFO and LSMGO, with HSFO supply subject to enquiry. In southern ports like Shanghai and Guangzhou, VLSFO and LSMGO are tight, with HSFO also facing constraints in Shanghai. However, Fuzhou, Yangpu, and Xiamen boast good availability of both low-sulphur fuel grades.

Bunker fuel supply is mostly good in Hong Kong amid average demand. Lead times of around seven days are recommended, similar to the previous week. Some suppliers can offer prompt dates for smaller quantities, a source says.

South Korean ports experience tight availability across all fuel grades despite weak demand, with lead times ranging between 8-14 days. Some suppliers can still offer shorter lead times of around three days, but these deliveries depend on quantity. Adverse weather forecasts for key South Korean ports of Ulsan, Onsan, Busan, Daesan, Taean, and Yeosu may impact bunker deliveries intermittently throughout the week.

In Japan, sluggish bunker demand persists due to elevated prices and limited cargo availability, with adverse weather conditions further denting demand. Tokyo’s VLSFO was priced about $74/mt higher than Zhoushan’s on Tuesday and $65/mt higher than Singapore’s. Lead times vary across key Japanese ports, from 5-8 days in Tokyo, Chiba, Osaka, and Kobe, to longer periods of 11-15 days in the ports of Mizushima and Oita.

Subic Bay in the Philippines and the Vietnamese port of Ho Chi Minh anticipate difficult bunkering conditions throughout the week, while adverse weather is expected in the Thai ports of Koh Sichang and the Kiwi port of Tauranga on 3-4 March, potentially impacting bunker operations in these regions.

South Asia

Multiple Indian ports, including Kandla, Cochin, Chennai, Visakhapatnam and Haldia, are grappling with supply shortages for VLSFO and LSMGO. Mumbai and Paradip are the most affected, with some suppliers almost running out of VLSFO and LSMGO stocks, according to a source.

Adverse weather conditions are forecast for Wednesday at the Indian port of Sikka, which may disrupt bunkering operations at the port.

In contrast to most Indian ports, VLSFO and LSMGO supply is ample in the Sri Lankan port of Colombo.

Middle East

Several shipping firms continue to avoid Rea Sea transits as Houthis scales up attacks on commercial ships passing the area. Most of these ships have been using the longer route around Africa instead of the shorter Suez Canal route. This shift in shipping routes is gradually impacting bunker demand in Fujairah.

Despite a slight slowdown in demand, prompt availability remains constrained in Fujairah due to backlogs caused by weather-induced disruptions over the weekend. Suppliers advise lead times of 7-10 days, although some can still offer prompt deliveries.

Similar supply constraints are observed in the UAE port of Khor Fakkan, with most suppliers recommending lead times of 7-10 days. However, the situation differs in the Saudi Arabian port of Jeddah, where the availability of both VLSFO and LSMGO remains satisfactory. Conversely, some suppliers in Djibouti are experiencing low VLSFO stocks but still have LSMGO available.

Meanwhile, the Omani ports of Sohar, Salalah, Muscat, and Duqm boast an ample supply of LSMGO, with prompt dates readily available.

By Tuhin Roy

 

Photo credit: ENGINE
Published: 28 February 2024

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Alternative Fuels

MOL inks bio-LNG bunker fuel supply deals with Titan and Axpo for car carriers in Europe

Titan, part of Amsterdam-based Molgas, will continue to supply bio-LNG fuel in Northwest Europe, while Axpo will take charge of supply in the Mediterranean region.

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MOL inks bio-LNG bunker fuel supply deals with Titan and Axpo for car carriers in Europe

Mitsui OSK Lines (MOL) on Thursday (18 July) said it has signed new supply agreements in Northern Europe and the Mediterranean region to expand the use of bio-LNG marine fuel on MOL-operated LNG-fuelled car carriers.

Titan, part of Amsterdam-based Molgas, will continue to supply bio-LNG fuel in Northwest Europe, while Axpo will take charge of supply in the Mediterranean region.

MOL said the agreement makes it possible for its company to supply bio-LNG fuel for automobile carriers in the Mediterranean region, specifically Port of Malaga and Barcelona in Spain, following the bio-LNG fuel supply agreement in Western Europe, which commenced in March last year.

The bio-LNG fuel to be supplied in this initiative has a lifecycle carbon intensity (carbon dioxide emissions per unit of energy consumption) of -15 g-CO2/MJ or less, from production through consumption. Furthermore, this bio-LNG fuel has obtained International Sustainability and Carbon Certification (ISCC-EU). 

“Through this supply agreement, MOL has established a framework that ensures a continuous and stable supply of bio-LNG fuel not only in Northern Europe but also in the Mediterranean,” the company said.

As part of the group’s efforts to adopt alternative fuels and achieve net-zero greenhouse gas (GHG) emissions, it is utilising LNG-fuelled vessels as a bridge solution to facilitate the transition to carbon-neutral fuels such as bio-LNG and synthetic LNG (e-methane).

In 2025, MOL signed a bio LNG fuel supply agreement in Northwest Europe with Titan, part of the Molgas, and MOL has continued this bio LNG fuel supply agreement with the same company in 2026 as well.

 

Photo credit: Mitsui OSK Lines
Published: 19 June, 2026

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Biofuel

Kvasir Technologies lands EUR 10 million to scale bio bunker fuel production

The Danish biofuel startup raised the fund in a Series A investment round, which will provide capital to develop and design a new commercial production plant and scale climate-neutral drop-in marine fuel.

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Kvasir Technologies lands EUR 10 million to scale bio bunker fuel production

Danish biofuel startup Kvasir Technologies on Thursday (18 June) said it has raised EUR 10 million (USD 11.4 million) in a Series A investment round with participation from European Energy as a new investor, alongside existing investors EIFO, Maersk Growth and Footprint Fund. 

The Series A round provides capital to develop and design a new commercial production plant and scale climate-neutral drop-in fuel to be used in existing vessels.

At the same time, European Energy and Kvasir Technologies are entering into a strategic partnership by establishing the company KVEEN Biofuels, which is working towards the construction of a commercial-scale plant to produce biofuels using Kvasir Technologies’ patented technology.

“This investment round enables us to take the next crucial steps in developing and scaling our technology. At the same time, it underlines that there is still strong support for solutions that can deliver real climate impact in the maritime sector,” said Joachim Bachmann Nielsen, Ph.D. in Chemical Engineering and CEO of Kvasir Technologies.

Kvasir Technologies, a spin-out from research at the Technical University of Denmark (DTU), has developed a new technology to convert a wide range of non-edible lignin- based residues from agriculture and forestry into refined biofuels for shipping.

The climate-neutral biofuel can serve as an immediate replacement for fossil marine fuel without the need to modify ship engines or change existing infrastructure.

The new funding will be used, among other things, to scale the technology at Kvasir Technologies’ test facility in Fredericia, which can produce up to 2 metric tonnes (mt) of biofuel per day.

At the same time, development work will begin on the first commercial plant in the city of Aabenraa in the southern part of Jutland, which will demonstrate the technology on an industrial scale.

 

Photo credit: Kvasir Technologies
Published: 19 June, 2026

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ECA

DNV: North-east Atlantic joins expanding network of ECAs

DNV highlighted key information on the new North-East Atlantic ECA, which will enter into force on 1 September 2027, following recent amendments MARPOL Annex VI adopted at MEPC 84.

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RESIZED william william on Unsplash

Classification society DNV on Wednesday (17 June) highlighted key information on the new North-East Atlantic ECA, which will enter into force on 1 September 2027 following recent amendments MARPOL Annex VI adopted at MEPC 84, creating a continuous emissions control area across much of the North Atlantic: 

Need to Know

  • The new North-East Atlantic ECA will enter into force on 1 September 2027, creating a continuous emissions control area across much of the North Atlantic.
  • SOx limits (0.10% sulphur) will apply from 1 September 2028.
  • Ships meeting the MARPOL “three‑date” criteria (from 1 January 2027 onward) must comply with Tier III NOx limits for engines above 130 kW when operating in the ECA.

North-East Atlantic ECA

In general, the ECAs are designed to reduce air pollution from NOx, SOx and PM, and play a vital role in protecting sensitive marine environments as well as improving air quality for nearby communities.

The latest addition is the North-East Atlantic ECA, covering the Exclusive Economic Zones (EEZs) and territorial seas of Portugal, Spain, France, Ireland, Iceland, the Faroe Islands, Greenland and mainland UK that are not already included in existing ECAs. The EEZs surrounding Madeira, the Azores and the Canary Islands will be excluded. The precise ECA boundaries are defined by exact coordinates in Appendix VII of the revised MARPOL Annex VI.

Once in force, this designation will create a continuous ECA across the North-East Atlantic, linking the Canadian Arctic, Norwegian Sea, North Sea and Mediterranean Sea ECAs into a single, connected regulatory area.

eca map 2026 1

Application

The North-East Atlantic ECA, as part of the next amendments to Annex VI of MARPOL, will enter into force on 1 September 2027. The effective dates will be as follows:

SOx requirements

The sulphur limits for new North-East Atlantic ECA take effect 12 months after entry into force, in other words on 1 September 2028. From that date onwards, ships must use fuel with a sulphur content of no more than 0.10%.

Alternatively, compliance may be achieved using exhaust gas cleaning systems (EGCS) when operating on higher-sulphur fuels. However, it should be noted that restrictions on the use of open-loop EGCSs are becoming increasingly stringent, particularly in the coastal waters of northern Europe under OSPAR (please refer to our Technical and Regulatory News No. 26/2025), thereby limiting this as a practical compliance option in the region.

Note: The full article by DNV can be read here

 

Photo credit: william william on Unsplash and DNV
Published: 19 June, 2026

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