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ENGINE: Americas Bunker Fuel Availability Outlook

Availability tight across Houston and off Gulf Coast; suppliers in GOLA struggle to clear backlogs; VLSFO supply tight in Montevideo.

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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:

  • Availability tight across Houston and off Gulf Coast
  • Suppliers in GOLA struggle to clear backlogs
  • VLSFO supply tight in Montevideo

 

North America

All grades remain tight for prompt dates in the Houston area and bunker locations off the Gulf Coast. Lead times of 7-9 days are generally recommended in Houston to ensure full coverage from suppliers, up from last week’s 5-7 days.

Bunker suppliers in Houston and off the Gulf Coast are closely monitoring potential knock-on impacts from the recent Keystone Pipeline disruption. The stretch of the Keystone Pipeline that carries crude from Alberta, Canada crude to the storage hub in Cushing and the US Gulf Coast has remained offline since last Wednesday, after its operator TC Energy detected an oil leak of 14,000 bbls.  

On Wednesday, TC Energy restarted a minor segment of the Keystone Pipeline running to Wood River in Illinois, US, after a week of closure, but the operator is not yet certain when it will fully restart flows to the Gulf Coast.

Some suppliers in Houston and off the Gulf Coast area are rushing to get hold of any product they can as they fear less fuel to be produced as a result of the ongoing Keystone Pipeline disruption, a source says.

VLSFO and LSMGO availability is tight in Bolivar Roads. One major supplier requires at least eight days of lead time.

VLSFO and LSMGO availability is tight in the Galveston Offshore Lightering Area (GOLA). Most of the suppliers have yet to confirm their earliest delivery dates. Recent bad weather led to a significant rise in bunker backlogs.

One supplier in GOLA is able to offer on a subject to the enquiry basis, but has simultaneously warned that actual delivery prospects can be unpredictable.

Availability for all grades is tight for prompt dates in New York. Recommended lead times for VLSFO and LSMGO are about 5-7 days, slightly shorter than Houston’s.

All grades remain tight for prompt dates in the West Coast ports of Long Beach and Los Angeles. A longer lead time of at least 10-15 days is generally recommended to ensure full coverage from all suppliers. Securing HSFO is even more difficult and lead times can be unpredictable as the grade is supplied by fewer suppliers, a source says.

Overall bunker demand in Mexico’s Manzanillo has slowed coming into December, a source says. HSFO, VLSFO and LSMGO availability remains normal, and five days of lead times are recommended.

Sources doubt whether the recent tightness in the Gulf Coast area will drive demand to Mexican ports.

 

Caribbean and Latin America

All grades are tight for prompt dates in Panama’s Balboa and Cristobal. Supply is said to be tighter in Cristobal, primarily due to fewer suppliers. One supplier in Cristobal can deliver VLSFO and LSMGO stems with eight days of lead time, while others are hesitant to put up offers, a source says.

LSMGO availability is super tight off Trinidad. One supplier is running low on LSMGO stocks and only expects replenishment cargo volumes to arrive by early next month, sources say.

VLSFO and LSMGO availability is normal in Colombia’s Cartagena and Santa Marta. Recommended lead time for both grades is about three days.

Availability is tight for prompt dates at Argentina’s Zona Comun anchorage. One supplier requires at least seven days of lead days. Another can supply very prompt (0-3 days) as it has sufficient product loaded on its barge. Others require at least 5-8 days of lead time.

VLSFO availability is tight in Uruguay’s Montevideo. One major supplier is unable to confirm delivery dates as it has tight barge availability, sources say.

By Nithin Chandran

 

Photo credit and source: ENGINE
Published: 16 December, 2022

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Biofuel

Ulsan Port aims to become leading bio bunker fuel supply hub in Northeast Asia

UPA’s Director Byeong-gu Kim unveiled comprehensive plans to promote marine biofuel adoption centered on Ulsan Port at 2nd Forum on the Commercialization of Biofuels for Maritime Vessels in Seoul.

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Ulsan Port aims to become leading bio bunker fuel supply hub in Northeast Asia

Ulsan Port Authority (UPA) on Thursday (24 April) said it is looking to position the port as a leading biofuel supply hub in Northeast Asia. 

UPA, Korea’s port operator for energy and petrochemical logistics, emphasised its strategic role in building a stable marine biofuel supply chain aligned with tightening global regulations.

UPA's Director Byeong-gu Kim unveiled comprehensive plans to promote marine biofuel adoption centered on Ulsan Port at a recent biofuel forum in Seoul, highlighting the port's strategic advantages including its world-class petrochemical infrastructure, extensive storage facilities, and specialised handling expertise.

The presentation showcased UPA's commitment to developing the necessary facilities and operational frameworks to become Northeast Asia's “premier biofuel bunkering destination”.

“As IMO environmental regulations intensify, Ulsan Port Authority is strategically positioned to lead the transition to alternative fuels,” stated UPA President Jae-young Byeon. 

“Marine biofuels represent a practical alternative that can be implemented immediately without requiring new vessel construction or retrofitting. UPA will continue to strengthen port-centered biofuel supply networks and create a competitive eco-friendly marine fuel market through our advanced infrastructure and technical expertise.”

Chief Executive of the Korea Maritime Cooperation Center (KMC), Hong Sun-bae, emphasised that “the strategic partnership between the shipping industry and the logistics sector has become more important than ever in this era of climate-friendly economic transition.”

The 2nd Forum on the Commercialisation of Biofuels for Maritime Vessels, hosted by the Ministry of Oceans and Fisheries and co-organized by UPA and KMC, drew around 300 key stakeholders from across the shipping, energy, terminal, shipbuilding, and finance sectors. 

The event underscored the increasing urgency of eco-friendly fuel adoption, following the International Maritime Organization (IMO)'s approval of mid-term greenhouse gas reduction measures.

Expert sessions featured actionable insights and market intelligence from key players in the maritime and energy sectors: 

  •     Key outcomes from the 83rd Marine Environment Protection Committee (MEPC83) by Team Leader Dae-jung Hwang of KMC
  •     Biofuel utilisation and demonstration cases by Manager Dae-sik Seo of HMM
  •     Current usage status and challenges of B100 biofuel by Manager Min-guk Jang of G-Marine Service
  •     Market outlook for marine biofuels by Chief Surveyor Jae-hoon Lim of DNV
  •     Case studies of biofuel applications for marine engines by Team Leader Jae-yup Seo of HD Korea Shipbuilding & Offshore Engineering
  •     Global marine biofuel market trends and bunkering developments by Senior Manager Yul-kyung Hong of Hyundai Fuels

 

Photo credit: Ulsan Port Authority
Published: 25 April, 2025

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Shipping Corridor

SFOC report proposes green methanol-fuelled Korea-Europe shipping corridor

Corridor will run between Pyeongtaek Port—the largest hub for automobile imports and exports in South Korea—and major European ports of Bremerhaven, Antwerp, Zeebrugge, and Southampton.

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SFOC report proposes green methanol-fuelled Korea-Europe green shipping corridor

Korean non-government organisation Solutions for Our Climate (SFOC) on Wednesday (23 April) released a report proposing the establishment of a green methanol-fuelled South Korea-Europe shipping corridor. 

The proposed corridor will run between Pyeongtaek Port—the largest hub for automobile imports and exports in South Korea—and major European ports of Bremerhaven, Antwerp, Zeebrugge, and Southampton, presenting strategic pathways for the decarbonization of the maritime sector.

South Korea has announced its “Greenship-K Program” to accelerate the adoption of eco-friendly vessels and set a national goal to achieve a 100% reduction in greenhouse gas (GHG) emissions from shipping by 2050.

Focusing on a green methanol-fuelled Pure Car and Truck Carrier (PCTC) operation model, the report quantitatively assessed the potential for greenhouse gas reduction along key routes. Notably, the Bremerhaven–Pyeongtaek route alone is estimated to reduce more than 1.4 million tonnes of CO₂ emissions annually, given its high cargo volume.

The report proposed the adoption of green methanol as the primary fuel for the corridor, with a long-term goal to transition toward e-methanol. This shift is expected to reduce CO₂ emissions by more than 70% compared to conventional fossil fuel use.

Beyond fuel switching, the report emphasised the importance of securing a stable green fuel supply chain, establishing supportive legal and institutional frameworks, and fostering close public-private cooperation among shipping companies, cargo owners, port operators, and fuel suppliers to make the corridor a viable reality.

“With these foundational elements in place, Pyeongtaek Port is well positioned to become the starting point of Korea’s transition toward a decarbonised maritime sector,” SFOC said. 

Note: The full report by SFOC can be viewed here and it is also available in Korean here.  

 

Photo credit: Solutions for Our Climate
Published: 25 April, 2025

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Biofuel

MASH Makes powers first vessel trial with bio bunker fuel from carbon-negative process

NORDEN and MASH Make completed the world’s first commercial vessel trial using B20 blend produced from a carbon-negative process; vessel operated on a roundtrip voyage from Singapore to Brazil.

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MASH Makes powers first vessel trial with bio bunker fuel from carbon-negative process

Global shipping company DS NORDEN and renewable energy company MASH Makes on Thursday (21 April) successfully completed the world’s first commercial vessel trial using biofuel produced from a carbon-negative process. 

The vessel operated on a roundtrip voyage from Singapore to Brazil, successfully using 65 tonnes of fuel blend with 20% MASH Makes biofuel in its auxiliary engine.

“This trial proves that MASH Makes’ biofuel is suitable for marine engines, and it marks an important milestone towards bringing the fuel into our operation,” said Henrik Røjel, Head of Decarbonisation and Climate Solutions, NORDEN.

The trial demonstrated that MASH Makes’ biofuel is technically a drop-in fuel, compatible with existing systems and capable of reducing reliance on fossil fuels in specific marine applications. 

The results point to a practical path for shipowners to cut emissions without waiting for new infrastructure.

If the new agreement by the International Maritime Organization (IMO) to cap and price excess emissions globally is ratified in October 2025, MASH Makes offers a solution that enables shipowners to start significantly reducing their emissions well before the agreement takes effect in 2028.

“Our biofuel meets the technical requirements of the shipping industry and can be used in unmodified engines. It’s a seamless, scalable alternative ready to cut emissions today,” said MASH Makes CEO Jakob Bejbro Andersen.

Unlike emerging fuels like green hydrogen or ammonia, which require new infrastructure, MASH Makes biofuel integrates directly with existing systems.

NORDEN acquired a minority stake in MASH Makes in 2023 to strengthen its future supply of renewable fuels. Since the acquisition, the two companies have worked closely together to validate the biofuel for marine usage. 

 

Photo credit: DS NORDEN
Published: 25 April, 2025

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