Business

Argus Media: South Korea’s LSFO demand rises on coal plant shutdowns

South Korea typically relies on imported LSFO as an emergency fuel to meet base-load power generation demand at times when other fuels are unavailable, it said.

Published

6 years ago

December 2, 2020

Admin

Jaslyn Ying of global energy and commodity price reporting agency Argus Media on Tuesday (1 December) published an update regarding demand for LSFO imports in South Korea to fuel its power plants following the government’s directive to shut down some coal-powered plants to monitor air quality over the winter:

South Korean utilities are seeking to import low-sulphur fuel oil (LSFO) as a power generation fuel after the government shut some coal-fired power plants to reduce winter air pollution.

South Korea is idling 9-16 coal-fired units and putting an 80% restriction on output from the remaining capacity as part of its winter fine-dust management policy. This is up from daily suspensions at 8-15 units in the December 2019 to February 2020 winter season.

The shutdowns have prompted utility East-West Power (EWP) to seek 45,000t (290,000 bl) of 0.3% sulphur LSFO for 12-16 December delivery to Ulsan on a cfr basis. Fellow utility Korea District Heating Company (KDHC) last week secured two imported 30,000t cargoes of 0.3% sulphur LSFO through a tender for December-January delivery.

South Korea typically relies on imported LSFO as an emergency fuel to meet base-load power generation demand at times when other fuels are unavailable. EWP sought 155,000t of spot fuel oil for prompt delivery in March 2018, when the government announced plans to idle coal-fired power plants. And the utility returned to the spot market in September this year to buy prompt-loading LSFO after two typhoons forced several domestic nuclear power plants to close.

The latest demand is already almost equal to imports over the whole of last winter. EWP imported 50,000t of 0.3% LSFO through a spot tender for delivery during January 2020, while KDHC imported two 30,000t cargoes of 0.3% LSFO over the winter. The two utilities are the only current buyers of imported LSFO.

But traders said South Korean utilities might limit LSFO imports because of rising nuclear power supply. The country’s nuclear availability is scheduled to average 19.2GW in December-February, up from actual generation of 16.4GW in the same period a year earlier. And the government says it has made advance purchases of around 3.6mn t of LNG for emergency use this winter.

The coal plant shutdowns will include the decommissioning of 2-4 of the country’s oldest units, maintenance at up to 13 units and suspensions of a further nine units, depending on the overall supply-demand balance in the power sector.

Photo credit and source: Argus Media
Published: 2 December, 2020

Legal

Singapore withdraws remaining 127 charges against Hin Leong founder OK Lim

Lim Oon Kuin, also known as OK Lim, was issued a stern warning and a district court granted him a discharge amounting to an acquittal for these charges on 17 July.

Published

14 hours ago

July 21, 2026

Admin

Founder of collapsed oil trader Hin Leong Trading, Lim Oon Kuin, also known as OK Lim, has had the remaining 127 charges against him withdrawn, according to The Straits Times on Monday (20 July).

OK Lim was issued a stern warning and a district court granted him a discharge amounting to an acquittal for these charges, including those for cheating, on 17 July. The discharge means Lim cannot be prosecuted again for the same offences.

Lim, 84, is currently serving a 13½-year prison sentence after the High Court reduced his original 17½-year jail term in March 2026. He was convicted in 2024 on two cheating charges and one count of abetting forgery in a case prosecutors described as one of Singapore’s most serious trade finance frauds.

Lim was convicted in May 2024 of two charges of cheating the Hongkong and Shanghai Banking Corporation (HSBC) and one count of abetting forgery that proceeded to trial out of a total of 130 criminal charges.

He was first charged in court on 14 August 2020, and was subsequently handed further charges in court on 25 September 2020, 30 April 2021 and 24 June 2021 for his role in perpetuating fraud on various financial institutions.

A total of 130 charges were eventually brought against him for cheating and forgery-related offences.

Photo credit: Sora Shimazaki
Published: 21 July, 2026

Winding up

Singapore: Coastal Logistics Pte Ltd to be wound up voluntarily

Coastal Logistics was reportedly affiliated with troubled Singapore bunker player Coastal Oil (Singapore) Pte Ltd.

Published

14 hours ago

July 21, 2026

Admin

Several resolutions for Coastal Logistics Pte Ltd were made during an extraordinary general meeting held on 14 July, according to a notice in the Government Gazette on Friday (4 July).

The following resolutions were duly passed during the meeting:

As Special Resolution

That it has been proved to the satisfaction of the meeting that the Company cannot by reason of its liabilities continue its business and accordingly the Company be wound up voluntarily pursuant to Section 160(1)(b) of the Insolvency, Restructuring and Dissolution Act 2018 (No. 40 of 2018);

As Ordinary Resolutions

that Mr. Wong Pheng Cheong Martin and Ms. Koay May Yee, both care of FTI Consulting (Singapore) Pte Ltd, One Raffles Quay, #27-10 South Tower, Singapore 048583 be appointed as the joint and several Liquidators of the Company for the purpose of such winding up; and
that the Liquidators be at liberty to open, maintain and operate any bank account(s) or account(s) for monies received by them as Liquidators with such bank(s) as they deem fit; and
that a Committee of Inspection will not be formed.

Manifold Times previously reported Nicholas James Gronow, director of Heng Tong Fuels & Shipping and Coastal Logistics, filed statutory declarations for both companies stating the firms cannot continue their businesses due to liabilities.

Both companies were reportedly affiliated with troubled Singapore bunker player Coastal Oil (Singapore) Pte Ltd.

In 2019, several vessels owned by both firms entered the sale & purchase (S&P) market in Singapore.

Photo credit: Drew Beamer
Published: 21 July, 2026

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.

Published

14 hours ago

July 21, 2026

Admin

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