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ENGINE: Americas Bunker Fuel Availability Outlook

Above-average US fuel oil stocks, below-average distillate stocks; prompt VLSFO readily available in Argentina and Brazil; rough weather headed to GOLA, Trinidad and Zona Comun.

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The following article regarding bunker fuel availability in the Americas region has been provided by online marine fuel procurement platform ENGINE for post on Singapore bunkering publication Manifold Times:

28 July 2022

  • Above-average US fuel oil stocks, below-average distillate stocks
  • Prompt VLSFO readily available in Argentina and Brazil
  • Rough weather headed to GOLA, Trinidad and Zona Comun

 

North America

Buyers have been looking to start the bunker procurement process further ahead in recent weeks, sources say. Both to have their ducks in a row to fix stems when the market has trended down, and to ensure fuel availability for their targeted dates. But availability has not been tight to the extremes of late, except for in a couple of locations such as Panama and Trinidad.

VLSFO and LSMGO grades are generally in good supply with suppliers in the Houston area, while HSFO can be tighter and requires around a week of lead time with one supplier.

A period of strong winds and swells between Sunday and Monday could disrupt bunkering at the Galveston Offshore Lightering Area (GOLA).

LSMGO and HSFO availability prospects in New York vary between suppliers. One can deliver the grades with 3-5 days of lead time, another in seven days, while one needs 12 days.

Suppliers in Los Angeles, Long Beach and other US West Coast ports can accommodate prompt stems. The earliest delivery dates for VLSFO and LSMGO with two suppliers in San Francisco range between 4-6 days out.  

US residual fuel oil stocks have grown beyond their position at this time last year, and also above their five-year average. Fuel oil inventories averaged 2% higher in the first three weeks of July compared to the whole of June, Energy Information Administration (EIA) figures show. A 71,000 b/d drop in supply out of storage – implied demand – has supported stock levels over this period.

Imports have dropped by 95,000 b/d on the month in July. Mexico has been the US’ biggest import source since April, when Russian inflows were phased out with an embargo. US importers increasingly looked towards Mexico and the Middle East to replace Russian barrels. Algeria became its second-biggest fuel oil source in May and June, while the UAE has taken that spot in July.

A sustained period of high refinery runs has yielded more fuel oil as a by-product and supported the stock build. US refinery utilisation has averaged above 90% since the end of April. Utilisation was ramped up further from mid-May, especially on the East Coast (97-99%) and Gulf Coast (95-98%), while to a lesser extent on the West Coast (81-90%).

The 257,000 b/d capacity Richmond refinery on the West Coast is slated for a six-week crude distillation (CDU) maintenance that started 15 June, according to Wood Mackenzie, which should have held back the region’s utilisation rates.

The country’s distillate stocks remain considerably below both their level a year ago and their five-year average. East Coast distillate stocks have regained some weight after slumping to record lows in late May. This has been reflected in improved availability in East Coast bunker ports like New York.

 

Caribbean and Latin America

VLSFO can be tight in Panama, especially in Cristobal where there are considerably fewer barges delivering fuel than on the Balboa side. A supplier has no availability in Cristobal for the coming week, but can supply in Balboa. Around seven days of lead time has been advised for stems of any grade in Balboa.

Supply prospects can be patchy off Trinidad as one supplier has a barge out for drydock and no availability. Another supplier has one barge in operation, which will head to a terminal to reload product in early August and could be unavailable for deliveries for the next 11-13 days.

High winds and swells are forecast off Trinidad between Saturday and Monday, possibly holding back bunker operations.

Prompt availability is good in Zona Comun and Brazilian ports. VLSFO can be delivered in Santos with three days of lead time. VLSFO and LSMGO can be delivered by a supplier in Zona Comun with 3-4 days or less of lead time.

Zona Comun has strong winds and swells forecast on Thursday and Friday, which could halt bunker deliveries. Bunkering has been suspended by rough weather at the anchorage on two occasions in the past week.

 

Photo credit and source: ENGINE
Published: 29 July, 2022

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Alternative Fuels

Yang Ming orders six LNG dual-fuel, ammonia-ready containerships from Hanwha Ocean

Each of the six new vessels will have a capacity of up to 13,650 TEU and feature LNG dual-fuel propulsion and Ammonia Fuel Ready specifications.

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Yang Ming orders six LNG dual-fuel, ammonia-ready containerships from Hanwha Ocean

Taiwanese shipping firm Yang Ming Marine Transport Corporation (Yang Ming) and South Korean shipbuilder Hanwha Ocean on Wednesday (2 September) signed a shipbuilding contract for six 13,000 TEU class LNG dual-fuel container vessels. 

The contract was signed by Dr. Chuck Tsai, Chairman of Yang Ming, and Mr. Charles Kim, CEO of Hanwha Ocean. The vessels are scheduled for delivery between 2028 and 2029. 

They will complement Yang Ming’s existing fleet of 10,000+ TEU vessels and serve as key vessels on East-West services, with deployment flexibility across trade lanes connecting Asia with the East and West Coasts of North America, South America, and the Mediterranean. 

Each of the six new vessels will have a capacity of up to 13,650 TEU and feature LNG dual-fuel propulsion and Ammonia Fuel Ready specifications.

“As Yang Ming transitions toward net-zero emissions, LNG provides a relatively mature and economically viable alternative fuel solution, capable of reducing greenhouse gas emissions by approximately 20%,” the company said. 

“At the same time, ammonia can serve as a carbon-free fuel by utilising converted LNG storage facilities, while offering relatively lower conversion costs and comparatively well-developed supply chains and infrastructure. The Ammonia Fuel Ready design will therefore provide Yang Ming with greater flexibility in responding to increasingly stringent international regulations on greenhouse gas emissions.”

In addition, the vessels will be equipped with Type B LNG fuel tanks with a design pressure of 1.0 bar to enhance the safety and efficiency of LNG operations, together with a range of energy-saving technologies, including Wind Shields, Rudder Bulbs, Pre-Swirl Stators, and Shore Power Systems. Smart ship technologies and cybersecurity protection features will also be incorporated to enhance operational efficiency, safety, and reliability while effectively reducing fuel consumption and greenhouse gas emissions.

Deliveries under Yang Ming’s next-generation fleet optimization plan commenced earlier this year. By 2030, a total of 24 new vessels are expected to enter service. 

This includes 18 LNG dual-fuel vessels—comprising five 15,500 TEU, seven 16,000 TEU, and the six 13,000 TEU vessels under this contract—alongside six 8,000 TEU methanol dual-fuel-ready ships. 

 

Photo credit: Yang Ming Marine Transport
Published: 4 September, 2026

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Alternative Fuels

LR, China’s MARIC unveil tanker concept ready for three future bunker fuels

Both secured AiP for a new 114,000 DWT product and crude oil tanker designed to accommodate future conversion to LNG, methanol or ammonia.

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LR, China’s MARIC unveil tanker concept ready for three future bunker fuels

Lloyd’s Register (LR) and the Marine Design and Research Institute of China (MARIC) on Thursday (3 September) have secured Approval in Principle (AiP) for a new 114,000 DWT product and crude oil tanker designed to accommodate future conversion to LNG, methanol or ammonia.

Announced at SMM 2026, the concept addresses one of the biggest investment challenges facing shipping today: the need to develop vessels and capabilities that can support a range of alternative fuel options and pathways as technologies, infrastructure and regulations evolve.

While LNG is already a mature fuel pathway, methanol and ammonia remain at an earlier stage of development, with questions around global fuel availability, infrastructure development, economics and long-term adoption.

The 114,000 DWT tanker concept has been designed as a product and crude oil carrier that can accommodate future conversion to LNG, methanol or ammonia as technologies, regulations and fuel supply chains mature. By incorporating conversion readiness at the design stage, the concept aims to reduce future retrofit complexity and provide owners with greater confidence when planning long-term fleet investments.

The design concept was reviewed against LR’s July 2026 class rules and regulations, including requirements relating to ships using gases and other low-flashpoint fuels, alongside relevant IACS Common Structural Rules for oil tankers. Final classification and statutory approval remain subject to full compliance with all applicable rules and regulations.

Theo Kourmpelis, Global Business Director for Tankers, Lloyd’s Register, said: “Shipowners are being asked to make major investment decisions today despite continued uncertainty around which fuels will dominate in the decades ahead. Alternative fuel solutions each offer potential pathways to compliance, but fuel infrastructure, regulation and economics continue to evolve at different speeds around the world.

“Designs that preserve flexibility will be critical in helping owners manage risk while preparing for multiple future scenarios.”

Si Nan, Marine & Offshore Marketing Department Vice Director, MARIC, said: “As the industry explores different decarbonisation pathways, shipowners need vessel designs that can adapt alongside technological and regulatory developments. This concept was developed specifically to provide greater fuel flexibility and long-term resilience, allowing owners to respond to changing market requirements without being locked into a single fuel strategy.

“Receiving Approval in Principle from Lloyd’s Register is an important milestone that validates the design concept and supports its future development.”

 

Photo credit: Lloyd’s Register
Published: 4 September, 2026

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Alternative Fuels

DNV: Alternative-fuelled vessel orders hit highest monthly level since October 2024

LNG-fuelled vessels accounted for the vast majority of August activity while the strong summer performance marked a significant acceleration in ordering activity after a relatively slow start to the year.

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DNV: Alternative-fuelled vessel orders hit highest monthly level since October 2024

Latest data from classification society DNV’s Alternative Fuels Insight (AFI) platform alternative-fuelled vessel ordering was strong in August, with 52 new vessels added to the platform.

This is the highest monthly total since October 2024 and follows another active month in July, when 47 vessels were added to the database.

LNG-fuelled vessels accounted for the vast majority of August activity, with 46 orders recorded. The container segment led the way with 30 orders, while the car carrier segment contributed a further 12 LNG-fuelled vessels. In addition, four ethanol-fuelled bulk carriers and two hydrogen-powered bulk carriers were added during the month, as well as one LNG bunker vessel.

The strong summer performance marked a significant acceleration in ordering activity after a relatively slow start to the year. In total, 242 alternative-fuelled vessel orders have been placed in the first eight months of 2026, representing a 27% increase compared with the same period in 2025.

LNG remains the dominant fuel choice, accounting for 63% of all alternative-fuelled vessel orders registered so far this year. Container vessels represent the largest share of these LNG orders (59%), followed by car carriers (30%).

Jason Stefanatos, Global Decarbonization Director at DNV Maritime, said: “The past two months have been particularly strong for alternative-fuelled vessel ordering, with August recording the highest monthly total we’ve seen since October 2024. This has helped lift year-to-date orders to a level well above the same period last year.

“LNG remains the leading fuel choice, driven largely by activity in the container and car carrier segments. These sectors have been among the earliest adopters of alternative fuels, supported by predictable liner operations and increasing demand from cargo owners to reduce emissions across supply chains. 

“For many owners, LNG offers a combination of emissions reductions, fuel availability and future flexibility while the longer-term fuel landscape continues to evolve. 

“At the same time, the latest figures include orders for ethanol- and hydrogen-fuelled vessels, highlighting that owners continue to explore a range of decarbonization pathways. Different segments are making different fuel choices, but the overall level of activity demonstrates continued investment in lower-emission shipping.”

Screenshot 2026 09 04 at 12.29.26 PM Screenshot 2026 09 04 at 12.29.36 PM

 

Photo credit: DNV
Published: 4 September, 2026

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