Business

ENGINE: East of Suez Bunker Fuel Availability Outlook

VLSFO and HSFO supply tight in Singapore; demand weak in rough weather-exposed Zhoushan; several East Asian ports face possible weather disruptions.

Published

2 months ago

August 2, 2023

Admin

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:

1 August 2023

VLSFO and HSFO supply tight in Singapore
Demand weak in rough weather-exposed Zhoushan
Several East Asian ports face possible weather disruptions

Singapore

Overall demand has been “muted” in Singapore so far this week, a source says. Availability of HSFO remains tight in Singapore as it has been in recent weeks, with several suppliers recommending lead times of almost two weeks – virtually unchanged from last week.

Meanwhile, increasing supply and weak demand have kept the VLSFO market under pressure in the East Asian bunkering hub. Some suppliers, who were offering the grade at lead times of 7-11 days last week, are now advising lead times of 11-13 days.

LSMGO remains more readily available with shorter lead times of 4-7 days recommended.

Singapore’s residual fuel oil stocks averaged 3% lower in July than across June, according to Enterprise Singapore. The port's fuel oil stocks decreased despite an increase in net fuel oil imports. Both fuel oil exports and imports were up in July. Fuel oil imports rose by 18%, and to their highest level since last June. Fuel oil exports also surged 21% in July.

In the same time frame, the port’s middle distillate stocks also declined by 5%.

East Asia and Oceania

Weak bunker demand along with intermittent weather-related disruptions have ensured a steady bunker supply in Zhoushan. Most suppliers recommend prompt lead times, however, these deliveries are still subject to weather conditions. Several “supplier barges are available for prompt delivery”, a source says.

Bunker operations have been suspended by rough weather across all anchorages in Zhoushan again. Adverse weather conditions have been triggered by Typhoon Khanun, which is moving in the west-northwestward direction in the Philippine Sea, according to the Japan Meteorological Agency (JMA).

Bunkering is likely to resume fully across all of these anchorages from 8-9 August, a second source adds.

China's National Meteorological Center (NMC) has issued typhoon alerts for strong winds as typhoon Khanun approaches east China. Authorities in China have cautioned all ports, ships and personnel operating in the region, especially the coastal province of Zhejiang.

Khanun follows Typhoon Doksuri which made landfall last week in the southeastern coastal province of Fujian in China after lashing the northern Philippines and parts of Taiwan. The influence of Doksuri has not waned as it continues to bring heavy rainfall to northern China.

Japanese authorities have also issued typhoon alerts for the island of Okinawa due to typhoon Khanun.

Rough weather is also forecast in Hong Kong on 4 August, which could impact bunker operations.

Availability of all bunker fuel grades remains good in Hong Kong, with most suppliers advising lead times of around seven days - virtually unchanged from last week.

Meanwhile, availability has improved across all grades in South Korean ports, with lead times coming down slightly from 5-8 days last week to around six days now.

Rough weather conditions are predicted in the South Korean ports of Ulsan and Onsan between 4-8 August, in Busan between 4-6 August, in Daesan and Taean between 4-5 August, and in Yeosu between 1-6 August, all of which could disrupt bunker deliveries.

Adverse weather conditions are also forecast in the Philippine port of Subic Bay between 2-8 August, in the Thai ports of Koh Sichang and Leam Chabang between 2-8 August, in the Vietnamese port of Ho Chi Minh between 2-8 August, and in the Kiwi port of Tauranga 2-4 August, which might disrupt bunker deliveries.

South Asia

Several Indian ports, including Kandla on the northwest coast, and Cochin and Chennai on the southern coast have good availability of VLSFO and LSMGO, with short lead times of around 2-3 days.

But both grades remain subject to availability in Mumbai and Visakhapatnam, as it has been in recent weeks. Meanwhile, supply is subject to enquiry in Tuticorin port located on the southeast coast and Haldia on the east coast, a source says.

Bad weather is forecast to hit the Indian ports of Kandla and Sikka between 1-3 August, and in Visakhapatnam on 2 August, which may hamper bunker operations.

The Sri Lankan port of Colombo is predicted to witness spells of bad weather on 1-2 August, and 7 August, which could impact bunker deliveries.

Meanwhile, Bangladeshi authorities have issued alerts across the maritime ports of Chattogram, Cox’s Bazar, Mongla and Payra due to monsoon depression over the northeast Bay of Bengal, according to GAC Hot Port News.

Middle East

A source says that prompt availability of all grades remains “super tight” in Fujairah amid good demand. Several suppliers are recommending lead times of 5-7 days – almost unchanged from last week. However, some can supply prompt dates, but these deliveries depend on stem sizes.

The other UAE port of Khor Fakkan also has unchanged lead times of 5-7 days across all grades.

By Tuhin Roy

Photo credit and source: ENGINE
Published: 2 August, 2023

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Events

Singapore: PS Energy Group unveils new brand identity and moves to a new office

The group including its inland and marine bunkering units PS Energy Pte Ltd and CNC Petroleum Pte Ltd has underwent rebranding and moved to JTC Summit.

Published

6 hours ago

October 4, 2023

Admin

Last mile fuel distribution company PS Energy Group, including its inland and coastal and marine bunkering units, PS Energy Pte Ltd and CNC Petroleum Pte Ltd, has introduced a fresh brand identity learns Manifold Times.

The firm has unveiled its new company logos and branding that reflects its remarkable transformation as a company.

“Over the past few months, we have been working hard to create a new visual identity that truly captures the essence of who we are as a company which we hope will resonate, inspire trust, and build meaningful connections with our customers,” Sean Chua, Managing Director told Singapore-based bunkering publication Manifold Times.

“Our new logo embodies the core values and aspirations that have guided us throughout our journey, while incorporating elements that represent our vision and direction for the future. With its circular shape, the new logo depicts an entity in motion and embodies PS Energy Group’s agility, focus on innovation, and accessibility.”

The firm’s updated branding encompasses a comprehensive visual identity system that is now being integrated across all its assets and communication channels, including its inland and marine fleet, website, and social media platforms.

Besides the new brand identity, the Group has recently moved to a new and improved office space at the JTC Summit in Singapore. The firm said its team spent considerable time and effort in searching for the perfect location that aligned with its vision and values of providing the best service possible to its clients.

“The move represents a significant milestone in our company's journey and marks a new chapter of growth and opportunity. Our new office brings a host of exciting features and amenities that will undoubtedly elevate the overall experience for everyone involved,” according to Sean.

“From spacious workstations and ergonomic furniture to cutting-edge technology and collaborative spaces, we have designed the new office with both functionality and comfort in mind. We believe that this new workspace will foster even greater creativity, productivity, and collaboration among our team members, enabling us to deliver exceptional results and exceed the expectations of our clients.”

PS Energy Group’s new address is as follows:

8 Jurong Town Hall Road
#24-01 The JTC Summit
Singapore 609434

Photo credit: PS Energy Group
Published: 4 October, 2023

Business

Malaysia: Straits Energy proposes to list oil bunkering and shipping segment on Nasdaq

In a filing with Bursa Malaysia, the firm announced its intention to spin-off its oil bunkering and shipping related services segment for listing on NASDAQ stock exchange via a public offering.

Published

6 hours ago

October 4, 2023

Admin

Malaysia-listed Straits Energy Resources Berhad on Monday (2 October) announced the company’s intention to spin-off its oil bunkering and shipping related services segment for listing on NASDAQ stock exchange in the United States by way of a registered public offering.

In a filing with Bursa Malaysia, the firm said it intends to undertake a reorganisation of some of its subsidiaries involved in the oil bunkering and shipping related services segment, for the purpose of forming a separate listing group or Spin-Off Group suitable for the listing on NASDAQ.

“It is envisaged that these subsidiaries to be comprised in the Spin-off Group will continue to remain as

subsidiaries of Straits upon the completion of the Proposed Listing,” the company said.

Straits Energy added it will make a detailed announcement in relation to the proposed listing in due course, once the board of directors has finalised and approved the terms and structure of the exercise.

It said the listing would enable the Spin-Off Group to gain recognition and corporate stature through the listing status of its own on NASDAQ.

The company added the listing would further enhance its corporate reputation and profile which will be conducive in expanding its customer base whilst allowing the Spin-Off Group to expand and establish its global presence.

The proposed listing would also enable the Spin-Off Group to gain access to the capital market in the United States for capital raising and to provide the Spin-Off Group with financial flexibility for future expansion and growth.

It will also unlock shareholders' value in the oil bunkering and shipping related services and provide transparent valuation benchmark for the same on NASDAQ, it added.

Manifold Times previously reported marine fuel logistics firm CBL International Limited (CBL International), an ultimate holding company of Banle International Group Ltd (BVI), a 38%-associate company of Straits Energy Resources Bhd announced it would be listed on Nasdaq.

Later, Manifold Times did an exclusive interview with Banle Group who shared insights on the successful listing of CBL International Limited, its listing vehicle, on the Nasdaq Capital Market

Photo credit: Straits Energy Resources Berhad
Published: 4 October, 2023

Employment

VPS announces new appointments for key positions

Andrew Morton has been appointed to the role of Managing Director AMEA while Captain Rahul Choudhuri has been appointed to the newly created role of President Strategic Partnerships.

Published

6 hours ago

October 4, 2023

Admin

VPS announces new appointments for key positions

Marine fuels testing company VPS on Tuesday (3 October) announced the appointment of Andrew Morton to the role of Managing Director AMEA (Asia, Middle East and Africa).

In this role, Andrew will apply his experience and knowledge to lead the delivery of VPS services to these important and growing regions. He joins VPS having spent the last 17 years working in the oil and gas industry, most recently with TotalEnergies in various positions and countries.

These included technical, commercial, management, mergers and acquisitions and most recently the New Energies space, including renewable energy, biogas and fuels, hydrogen and LNG. He has a BSc (Hons) in Chemistry and started his career in research and development in the lubricants industry for Fuchs.

Dr. Malcolm Cooper, VPS CEO, stated “We are delighted to welcome Andrew on board as our MD AMEA. His background and experience will be helpful in supporting our customers in these important Regions, particularly in the rapidly developing decarbonisation space.”

Andrew Morton, said: “I am delighted to join VPS and the team and take over the role of Managing Director - Asia, Middle East and Africa. It is a privilege to join the global market leader and to manage a zone where the maritime industry is growing. I look forward to working with the various companies and associations across the industry to help them with their decarbonisation journey.”

VPS also announced that Captain Rahul Choudhuri has been appointed to the newly created role of President Strategic Partnerships. In this role, Rahul will use his network to enhance and further develop relationships with customers and operators from across the shipping ecosystem to help VPS support their decarbonisation journey.

Dr. Malcolm Cooper, VPS CEO, stated “Captain Rahul is well-known across the Maritime sector and he has been the figurehead for VPS Asia and the Middle East for many years. He has been instrumental in many developments within VPS and across the shipping industry, making significant contributions to developments through a wide range of Committees and organisations.”

“His new role will enable him to focus more on our external relationships, which are of growing importance as we aim to support the shipping sector on it’s decarbonisation journey. We in VPS are very proud of Rahul’s achievements to date and we know there will be more to come.”

Rahul, said: “I am looking forward to this new opportunity. This role will allow me to use my experience and close relationships to strengthen, build and develop the industry partnerships needed to deliver new decarbonisation solutions offered by VPS. My work with industry associations allows a greater professional engagement with stakeholders to take the industry forward in challenging times”.

Photo credit: VPS
Published: 4 October, 2023