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ENGINE: East of Suez Bunker Fuel Availability Outlook

Far East Russian bunker demand hit by sanctions; HSFO380 lead times shorten in Singapore; Fujairah VLSFO availability tight owing to cargo shortages.
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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:

09 March 2022

  • Far East Russian bunker demand hit by sanctions
  • HSFO380 lead times shorten in Singapore
  • Fujairah VLSFO availability tight owing to cargo shortages

Widespread hesitation to bunker in Russian bunker ports has weighed on bunker demand in Far East Russian ports like Vladivostok.

Russia’s invasion of Ukraine and consequent sanctions and counterparty risks have prompted vessels from several foreign countries to shy away from Russian ports, and some from fuels produced with Russian oil.

Bunker cancellations have been mounting and new enquiries have dried up since the invasion started on 24 February, a source says. Domestic Russian vessels are still bunkering in the ports, however.

Prompt availability of VLSFO and LSMGO is still tight in Singapore. A shortage of incoming fuel oil cargoes has contributed to keep VLSFO lead times at 7-8 days out, and LSMGO lead times at 5-6 days.

HSFO380 availability has shown signs of improving, with lead times coming down from 10 days in recent weeks, to 5-6 days now. But the supply situation can quickly change for HSFO380 as relatively fewer suppliers offer the grade than the low sulphur grades.

While Singapore’s net fuel imports fell by 410,000 bbls in the week to 2 March, the port’s stockpiles of fuel oil rose by 370,000 bbls. Middle distillate stocks were also up on the week, adding 560,000 bbls.

In Fujairah, bunker fuel availability remains tight across fuel grades, with suggested lead times of up to nine days for HSFO380 and seven days for VLSFO and LSMGO. A lack of cargo imports and market volatility has made some suppliers hold back on committing to large VLSFO stems, or price them at premiums.

The UAE port’s inventories of heavy distillates and residual fuel oil fell by nearly 7% in the week to 28 February, according to Fujairah Oil Industry Zone and S&P Global Platts data.

Bunker fuel availability remains ample amid weak demand in Zhoushan, says a source. The Chinese port has been pricing VLSFO at sustained discounts to Singapore and Fujairah in recent weeks. Before Zhoushan’s price swung to discounts, the three ports were typically similarly priced.

In South Korea, VLSFO lead times are up to 7-9 days out in southern ports. LSMGO availability remains tight in South Korea with only barge supply available for the fuel grade. No LSMGO indications are given, only price offers on firm enquiries, sources say.

HSFO380 availability remains tight in Hong Kong, while VLSFO and LSMGO grades continue to be more readily available.

Demand has been slow in India due to volatile crude prices. In Mundra port, bunker fuel availability remains normal across all grades. Recommended lead times are around 4-5 days.

In Indian east coast ports such as Visakhapatnam, demand has also been slow in the past few days. Enquiries have almost dried up due to volatile crude prices, sources say. Availability remains good for VLSFO and LSMGO.

Bunker fuel availability in Djibouti is tight across all grades, the earliest delivery date is eight days out, sources say.

 

Photo credit and source: ENGINE
Published: 9 March, 2022

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Milestone

China: Xiamen port records 16.37% jump in bunker sales volume in 1H2025

Total of 416 international ships, an increase of 6.12% on year, received marine fuel in bunkering operations during the same period.
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Xiamen port bunkering

The Port of Xiamen recorded bonded bunkering volume of 274,500 metric tonnes (mt) in the first half (1H) of 2025, representing a jump of 16.37% on year, reported Xiamen Daily on Thursday (10 July).

A total 416 international ships, an increase of 6.12% on year, received marine fuel in bunkering operations during the same period.

The report noted Xiamen Port to be increasing bunker players while optimising its bonded marine fuel supply chain system in recent years.

Before February 2025, there were only two bonded bunker fuel suppliers with national licenses operating at Xiamen Port.

The port welcomed Xiamen Kunlun Fuel Oil [厦门昆仑燃料油] as a new marine fuel supplier on 1 February; the company was awarded the first Xiamen local license by both Xiamen Customs and the local government.

Followingly, Xiamen Kunlun Fuel Oil performed its first bonded bunkering operation at Xiamen port on 26 February.

Xiamen Port earlier launched a pilot programme called “two warehouse functions superposition” which combines the functions of both bonded oil storage warehouse and export supervision warehouse into one unit.

Using just a single oil storage tank allows bunker fuel suppliers at Xiamen to save on renting tanks, reduce time spent on tank unloading, improve utilisation rates, and shorten bunker delivery times.

Related: PetroChina subsidiary wins first bonded bunkering licence in Xiamen

 

Photo credit: Xiamen Port Authority, China
Published: 11 July 2025

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Newbuilding

China: Steel cutting ceremony for methanol bunkering tanker “Lucia Cosulich” held

A steel cutting ceremony was held for the 7,999 DWT IMO Type 2 chemical bunker tanker at Taizhou Maple Leaf Shipyard, China.
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Lucia Cosulich

Fratelli Cosulich Marine Energy on Wednesday (9 July) announced the steel cutting ceremony of Lucia Cosulich, a 7,999 DWT IMO Type 2 chemical bunker tanker – the second vessel in a series of four – at Taizhou Maple Leaf Shipyard, China.

“This milestone marks another bold step in our Marine Energy business unit’s commitment to clean fuel readiness and operational excellence,” said the company.

The vessel will be fully methanol-ready, capable of carrying, burning, and bunkering methanol safely and efficiently, with full regulatory compliance standards.

It will feature an integrated Nitrogen Generator System, ensuring safe and inert tank operations at all times. Equipped with advanced safety systems specifically engineered for low-flashpoint fuel handling, the vessel sets a new benchmark in future fuel readiness.

A complete methanol bunkering setup will come as standard, including the Quick Connect/Disconnect Couplings (QCDC), dedicated transfer lines and comprehensive monitoring and control systems to ensure efficient and secure fuel handling.

“Built on state-of-the-art architecture, she is designed not only to meet but to exceed the evolving demands of tomorrow’s energy supply chain,” noted the firm.

“Lucia Cosulich embodies our vision to lead the transition within the maritime fuel landscape.”

 

Photo credit: Fratelli Cosulich
Published: 11 July 2025

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Financial Result

Glander International Bunkering reports EBT of USD 22 million for FY2025

‘This fiscal year, we focused on staying close to our clients, while adapting to a fast-changing market,’ says CEO Carsten Ladekjær.

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Glander Result 2024 2025 MT

Global bunker trading and energy solutions provider Glander International Bunkering on Thursday (10 July) posted financial results for the year ended on April 30, 2025 – reflecting stable performance amid ongoing changes in global maritime and regulations.

The company reports a turnover of USD 3 billion and earnings before tax (EBT) of USD 22 million, including a non-recurring item.

“These results demonstrate consistent performance compared to the previous fiscal year, as the company continues to focus on conventional fuels, new fuels, risk management and extensive global reach,” CFO David Varghese comments.

Navigating change in maritime

Throughout the 2024-25 fiscal year, the bunker industry faced critical challenges including the escalation of the US-China trade conflict, ongoing Red Sea and Suez Canal security risks, and the first full-year impact of the EU Emissions Trading System (EU ETS) for maritime shipping.

Compliance with IMO CII measures and the uptake of new fuel products also influenced bunker demand patterns and pricing strategies.

“This fiscal year, we focused on staying close to our clients, while adapting to a fast-changing market,” says CEO Carsten Ladekjær. “In a time of uncertainty and transformation, we focused on staying agile, supporting customers with conventional fuels, and laying the groundwork for new fuel solutions.”

New fuels and other key achievements

Glander International Bunkering made significant progress in 2024-25: completing bioLNG deliveries, expanding biofuel supply, and launching a compliance calculator to help customers navigate FuelEU Maritime. Compared to the previous fiscal year, the company achieved a 71% increase in biofuel volume and 85% increase in LNG volume, along with the sale of nearly 100,000 EUAs.

Other achievements throughout the year include the renewal of its ISCC certifications, membership in the Smart Freight Centre, and Great Place to Work certification for the 7th consecutive year.

Looking ahead, Ladekjær says, “We will do what we have always done since 1961– adapt to new changes and be there for our clients.” He added that Glander International Bunkering is prepared for the next phase of change in global shipping, as decarbonisation, regulatory expansion and geopolitical developments continue to shape the bunker fuel market.

 

Photo credit: Glander International Bunkering
Published: 11 July 2025

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