Connect with us

Bunker Fuel

Argus Media: Weaker demand pressures Singapore April bunker prices

Conventional bunker prices in Singapore trended down in April as sellers kept prices competitive to secure deals amid weaker downstream demand and prolonged backwardation.

Admin

Published

on

resized argusmedia

Conventional bunker prices in Singapore trended down in April as sellers kept prices competitive to secure deals amid weaker downstream demand and prolonged backwardation.

5 May 2026 

Average prices for very-low sulphur fuel oil (VLSFO) in April stood at $746.98/t delivered on board (dob), up by 52pc on the year, but down by almost 16pc from March when prices surged because of concerns of supply disruptions stemming from the US-Iran war.

Steep backwardation in the VLSFO cargo market slowed trade in the downstream market, triggering a more aggressive sell-off by some physical suppliers in late March, when Singapore bunker trades surfaced at a discount to cargo prices. Backwardation for May-June narrowed to $15/t on 21 April — compared to record highs in the week of 13 March when the March-April spread widened to $100-130/t — but many sellers were still keen to offload inventories given weak demand in the retail bunker market.

April VLSFO bunker prices in Singapore remained competitive as many buyers delayed trading because of elevated prices within the energy complex, and delivered VLSFO prices flipped to a discount of around $3/t against cargo again on 23 April. But blendstock components for VLSFO continues to be tight, which may provide some support for VLSFO prices if the shortage persists through May.

Meanwhile, average prices for high-sulphur fuel oil (HSFO) rose by 55pc year on year to $665.11/t dob after Iran’s blockade of the strait of Hormuz restricted flows to Asia Pacific, but prices have corrected downwards by 10pc month on month. Middle East HSFO volumes make up around 40pc of Singapore’s monthly imports, but bunker participants noted that delivered supplies remain ample from earlier inventories and floating storages around the region. More HSFO arbitrage flows have also been diverted from Colombia, Mexico and Venezuela to Singapore, and many buyers preferred waiting on the sidelines for clearer price signals if bunkering schedules were not urgent.

Likewise, the war in the Middle East amplified concerns of a supply crunch for low-sulphur marine gasoil (LSMGO) in Singapore, and average April prices more than doubled on the year to $1,481.65/t dob. But LSMGO prices fell by 10pc from average March prices, given that panic surrounding LSMGO supply tightness within Asia eased, and sellers lowered offer levels to entice buying interest. Singapore LSMGO prices flipped to a discount of around $29/t against Zhoushan LSMGO prices on 8 April, and the discount against the Zhoushan equivalent price widened further to around $56/t on 30 April. But a supplier noted that spot demand for LSMGO in April had been weak, given that some vessel owners preferred bunkering at Chinese ports given competitive fuel oil prices.

By Cassia Teo

 

Photo credit and source: Argus Media
Published: 6 May, 2026

Continue Reading

LNG Bunkering

Dan-Bunkering supports Sallaum Lines with LNG bunkering operation in China

“Ocean Express” is one of six newbuilds in the series and represents the fourth supply opportunity Dan-Bunkering has supported so far.

Admin

Published

on

By

Dan-Bunkering supports Sallaum Lines with LNG bunkering operation in China

Global bunker supplier Dan-Bunkering on Friday (19 June) said it has recently concluded an LNG delivery in China for Sallaum Lines’ newbuild Pure Car and Truck Carrier (PCTC), Ocean Express

The delivery involved approximately 1,400 metric tonnes (mt) of LNG bunker fuel. 

This delivery is the outcome of a development process that began around April 2025, during which Dan-Bunkering worked with Sallaum Lines to evaluate several LNG supply opportunities in China linked to the company’s newbuild programme. 

Ocean Express is one of six newbuilds in the series and represents the fourth supply opportunity Dan-Bunkering has supported so far.

For this delivery, Dan-Bunkering said it secured a ship-to-ship supply solution aligned with the vessel’s operational requirements. The solution was made possible through close cooperation with supply partner SIPG Energy.

“This is a great example of what it takes to support clients in the transition to alternative fuels,” said James Shiller, Global Lead of New Fuels at Dan-Bunkering, and continues:

“LNG bunkering is not always straightforward, particularly during a first full bunker operation. Success depends on local knowledge and persistent cooperation across teams. Sallaum Lines trusted us and SIPG Energy to keep working the options, and we are proud that all involved teams turned a challenging situation into a successful delivery. We value the relationship and look forward to supporting their remaining newbuild deliveries.”

The company added that the delivery was made possible through close coordination across Dan-Bunkering and the wider Group, including Dan-Bunkering’s Netherlands office, Bunker Holding’s specialists and sourcing team.

 

Photo credit: Dan-Bunkering
Published: 22 June, 2026

Continue Reading

Bunker Fuel Quality

Fuel quality issues drive 50% rise in bunker claims, says Gard

Gard says bunker-related claims increased significantly in between January and May 2026, with over 70 cases recorded – a 50% rise compared to 2025 and notes that most claims involve fuel quality.

Admin

Published

on

By

RESIZED Shaah Shahidh on Unsplash

Maritime protection and indemnity (P&I) club Gard on Friday (19 June) released a report on practical observations from recent cases of bunker-related claims, highlighting recurring challenges and essential considerations for managing fuel quality issues effectively:

Key findings

  • Sharp rise in bunker claims and geopolitics: Bunker-related claims increased significantly in early 2026, with over 70 cases recorded – a 50% rise compared to 2025. Most claims involved fuel quality, with a noticeable uptick following the escalation of the Middle East conflict.
  • Global risk profile with concentration driven by supply volumes: Bunker quality incidents were recorded worldwide, reflecting a broadly dispersed and global risk environment rather than a localized issue. Higher numbers of claims at major hubs such as Singapore, Houston, and ARA mainly reflect their large bunkering volumes
  • VLSFO remains the primary source of claims: Very Low Sulphur Fuel Oil (VLSFO) accounts for the vast majority of bunker quality claims. Its complex blended nature increases the likelihood of variability and contamination, making it more prone to quality issues. This reinforces that VLSFO continues to be the key technical risk area in marine fuel usage.
  • ISO 8217 compliance does not guarantee fuel suitability: A significant proportion of cases involved fuels that met ISO 8217 Table 2 parameters but still caused operational issues and damage to machinery. This underscores the growing importance of Clause 5, which focuses on whether fuel is fit for use and free from harmful substances. Standard testing alone is often insufficient, requiring more advanced analysis to identify problematic contaminants.
  • Claims are driven by both technical and contractual challenges: Bunker disputes are often complex due to misaligned contractual relationships between owners, charterers, and suppliers. Issues related to binding sample, parameter(s) to be tested, time bars and evidentiary requirements frequently complicate claims resolution.
  • Operational impact is often underestimated compared to headline casualties: While no major casualties were directly linked to poor fuel in this dataset, several vessels were disabled or required towage. These incidents can create high exposure when occurring in congested or coastal waters. The absence of catastrophic outcomes should not obscure the underlying operational risk.

This report draws on Gard’s claims data from the first five months of 2026, with additional data contributions from VPS.

Note: The full report titled ‘Beyond Specification: Bunker claims insights in early 2026’ can be found here

 

Photo credit: Shaah Shahidh on Unsplash
Published: 22 June, 2026

Continue Reading

Alternative Fuels

Repsol launches commercial co-processed marine fuel supply in Algeciras

Firm said this marked the deployment of immediate solutions produced by integrating renewable content directly into conventional refinery processes.

Admin

Published

on

By

Repsol launches commercial co-processed marine fuel supply in Algeciras

Spanish energy company Repsol on Thursday (18 June) said it has started the commercial supply of co-processed marine fuels with renewable content in the port of Algeciras, one of the main bunkering hubs in the Mediterranean. 

The company said this marked the deployment of immediate solutions produced by integrating renewable content directly into conventional refinery processes, supporting the decarbonisation of maritime transport.

Last week, Repsol launched the first commercial voyage of its new generation bunkering vessel Bahía Candela. During this first voyage, the vessel loaded co-processed fuel at Repsol’s Petronor refinery in Bilbao, reinforcing the company’s end-to-end supply capability by integrating refining, logistics, and delivery.

Repsol reportedly chartered the bunkering vessel from shipowner Mureloil. 

Designed specifically for marine fuel supply, Bahía Candela features multiproduct capabilities and is prepared to operate with low-emission energy solutions. Its diesel-electric propulsion system and advanced energy storage enable optimised efficiency and reduced emissions during operations.

“This milestone marked Repsol’s entry into the supply of low-carbon marine fuels in Algeciras, leveraging its integrated value chain and expanding its multi-energy offering in the maritime sector, combining conventional products with low-carbon alternatives, thus, strengthening its ability to adapt to the diverse needs of its customers,” Repsol said in a statement. 

Co-processing enables the integration of renewable feedstocks, such as oils and residues, alongside conventional streams within refining processes. 

This generates fuels with a low-carbon footprint and supports a gradual transition towards solutions that will help to decarbonise the sector, providing a cost-efficient and scalable pathway to supply low-carbon fuels that are fully compatible with existing engines and infrastructure, without requiring changes to vessels or port assets, and using current industrial assets.

Related: Mureloil deploys hybrid chemical tanker for bunkering and terminal transport

 

Photo credit: Repsol
Published: 22 June, 2026

Continue Reading

Trending