Business

ENGINE: Europe & Africa Bunker Fuel Availability Outlook

Bunkering resumes in Gibraltar; ARA fuel oil stocks plunge to four-month lows; bunkering suspended in Algoa Bay amid bad weather.

Published

2 years ago

September 29, 2022

Admin

The following article regarding Europe and Africa bunker fuel availability has been provided by online marine fuel procurement platform ENGINE for post on Singapore bunkering publication Manifold Times:

28 September 2022

Bunkering resumes in Gibraltar
ARA fuel oil stocks plunge to four-month lows
Bunkering suspended in Algoa Bay amid bad weather

Northwest Europe

More suppliers can now offer prompt deliveries of LSMGO in the ARA hub, while VLSFO and HSFO availability is slightly tight, sources say. Some suppliers are running low on fuel oil in storage and await resupply, sources say.

Recommended lead times for VLSFO and HSFO in Rotterdam are 5-7 days, while LSMGO requires a shorter duration of three days, they say.

Independently held fuel oil inventories in the ARA slipped to their lowest level since June, according to Global Insights. The stocks decreased by 250,000 bbls to 6.91 million bbls in the week to 22 September, the data showed.

Signs of higher exports and dwindling Russian inflows could have contributed to the most recent stock draw in the ARA.

Russian fuel oil imports accounted for about a quarter of the ARA’s fuel oil imports in July, but nothing was imported throughout August or so far this month, according to Vortexa. The cargo tracker has instead picked up fuel oil cargoes flowing into the ARA from the UK, Germany, France, Greece, Saudi Arabia and other sources. The UK has been the biggest exporter to the ARA since last month.

The region’s gasoil stocks increased by 230,000 bbls, to 12.67 million bbls last week.

Three of TotalEnergies’ refineries in France are facing three-day strike action over pay disputes with workers. Currently, there is no impact on bunker fuel supplies to most ports in France, a source says. But prompt availability is said to be tight in Marseille.

Supply of VLSFO and LSMGO is normal off Skaw, while HSFO is slightly tight for prompt delivery, a source says.

Mediterranean

Bunker operations resumed in Gibraltar late last week. This has eased some congestion in the nearby ports of Algeciras, Ceuta and Las Palmas. Bunker calls were diverted from Gibraltar to these ports while bunkering was suspended last week.

Bunkering was halted in Gibraltar last week as local authorities were working to clear debris and an oil sheen formed by residual fuel oil from the recently damaged OS 35 bulk carrier.

There is a forecast of strong winds in Gibraltar on Thursday, which could cause some disruptions.

Fuel availability is said to be normal across most ports in the Gibraltar Strait, but some suppliers are experiencing delays due to bunker backlogs from last week, sources say. Three suppliers in Algeciras, and one each in Gibraltar and Ceuta are running behind schedule.

Recommended lead times for all fuel grades in Gibraltar Strait are 3-5 days, a source says. Offer prices are typically valid for 10 minutes amid volatility.

No backlog has been reported in Malta this week, according to Seatrans Shipping agency. 12 vessels were scheduled to arrive for bunkers in Malta on Tuesday, up from eight on Monday. Bunker supply across all grades is normal in Malta, with some suppliers offering prompt deliveries, a source says.

In the Greek port of Piraeus, suppliers can offer limited quantities of VLSFO, LSMGO and HSFO for prompt dates.

Africa

Bunker operations have been suspended in Algoa Bay since Tuesday due to strong winds and heavy swells, according to Rennies Ships Agency.

Waves of up to 3.5 metres hit Algoa Bay on Tuesday, disrupting bunker deliveries. Waves are forecast to recede on Thursday, which could allow bunkering to resume then.

Seven vessels were waiting to bunker at anchorage in Algoa Bay on Wednesday, and 12 more are scheduled to arrive this week, Rennies says.

Bunker supply is said to be normal in Algoa Bay and Durban, with some suppliers offering prompt deliveries of VLSFO and LSMGO.

By Shilpa Sharma

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

Biofuel

Argus Media: Bunkering sector needs deeper dive into B24 bio bunker fuel market

‘As we advance into 2025, the need to understand how B24 matures in terms of market fundamentals, pricing and dynamics will be a key indicator for the marine sector,’ says Mahua Chakravarty of Argus.

Published

18 hours ago

October 4, 2024

Admin

Argus Media organises free admission ‘Argus Asia B24 Forum’ for bunkering sector

Ahead of Argus Asia B24 Forum, Manifold Times interviewed Mahua Chakravarty, Head of Marine Fuels Pricing (Asia) of independent global energy and commodity market intelligence provider Argus Media; she explains the growing prominence of B24 bunker fuel in the marine sector and believes it is imperative for the bunkering sector to deepen its knowledge on it:

MT: Why is it important for the bunkering sector to know more about the B24 bunker fuel market?

B24 has emerged as the first alternative marine fuel that allows ship-owners and charterers a drop-in fuel option, and make greenhouse gas (GHG) savings, for their voyages into EU and territorial waters.

It has proved to be the most practical solution for ship-owners that eliminates costly retrofitting charges. The easy availability of used cooking oil methyl ester (UCOME) as a blendstock from China and southeast Asia, also adds to its overall attractiveness as an alternative fuel.

B24 consumption in the port of Singapore recorded multi-fold jumps to touch 518,000t in 2023 as ship-owners fuelled for trials in preparation for the implementation of EU-led mandates like the EU Emissions Trading Scheme (ETS) and the Carbon Intensity Index (CII) rating. In 2024, B24 demand has continued to grow with 377,800t of consumption seen up to August, according to statistics from the Maritime and Port Authority of Singapore (MPA).

As we advance into 2025, the need to understand how B24 matures in terms of market fundamentals, pricing and dynamics will be a key indicator for the marine sector. Being the first generation of new marine fuels, B24 has shown the way that biofuel blends can provide a solution for ship-owners/charterers to meet compliance mandates set by the EU and IMO.

MT: Why has Argus developed its own B24 Singapore price index? What's so special about it and why should the industry adopt it as a benchmark?

Argus was the first to launch its spot B24 delivered on board (DOB) Singapore assessment in January 2023, thus introducing price discovery for this market at its point of inception. The past 1.5 years of daily price assessments of B24, using a robust market survey approach, has built Argus’ understanding of this market from the start.

We have seen the growth of liquidity and the quest among refiners, traders, ship-owners to find pricing solutions for a nascent market. We have been at the forefront of capturing spot liquidity growth and in assessing prices for this market.

This index is now considered a key price assessment by key refiners, traders, ship-owners and other stakeholders in the market.

MT: What takeaways can each segment of the bunkering sector such as bunker buyers, bunker traders, and shipowners receive from the upcoming Argus B24 forum?

The Argus B24 Asia Forum is aimed at showcasing some of these learnings by a global team that covers key markets like Singapore, China and Europe. Our global team will present their insights on the key trends driving demand for marine biodiesel globally.

As the marine sector marches onwards with the bunkering of higher biofuel blends, this forum will allow the audience to reflect on the key factors that have driven the marine biodiesel sector. It will provide insights to make better decisions about infrastructure, pricing, feedstock-related issues and what blends are likely to be prevalent in the coming year.

We will be hosting a panel discussion at this forum that will include key players driving the marine biodiesel space in Singapore and other regions.

The Argus Asia B24 Forum will be held in The Village Hotel (The Events Centre by Far East Hospitality), Sentosa, Singapore (Google Maps) on 8 October between 4.00pm to 7.00pm Singapore Time.

Participants are encouraged to register for the free event via the custom link here.

Photo credit: Argus Media
Published: 4 October 2024

Bunker Fuel

Brazil: Raízen launches new bunkering operation in Itaqui

Operation will support both coastal and oceangoing vessels at Off Port Limits, allowing the firm’s customers to avoid full port call fees and unnecessary deviations, says Paula Georgopoulos Tinoco.

Published

18 hours ago

October 4, 2024

Admin

Brazil: Raízen launches new bunkering operation in Itaqui

Brazilian energy firm Raízen has launched its new bunkering operation in Itaqui at the Outer Anchorage Area, according to Paula Georgopoulos Tinoco, Bunker Sales Coordinator at Raízen on Wednesday (3 October).

The firm is providing local supplies for the grades VLSFO380 (max. 0.5%S) and LSMGO DMA (max. 0.1%S).

“The new bunkering operation will support both coastal and oceangoing vessels with different sizes and class at the Off Port Limits, allowing our customers to avoid full port call fees and unnecessary deviations at different bunkering ports,” she said in a social media post.

In September last year, Bunker Holding subsidiary Bunker One announced that it partnered with Acelen, the largest bunker producer in the Brazilian state of Bahia, to offer the only outer anchorage bunkering operation in Brazil at the time.

Starting September 2023, vessels such as large cargo ships and tankers can be supplied in the anchorage area of the Port of Itaqui in São Marcos Bay (MA).

Photo credit: Raízen
Published: 4 October, 2024

Business

Rahim Oberholtzer named as new Infineum Chief Financial and Strategy Officer

Oberholtzer, a finance executive with over 25 years of experience, joins Infineum from Shell, where he has held various senior positions including Senior Vice President of Shell Finance for Chemicals and Products.

Published

18 hours ago

October 4, 2024

Admin

Rahim Oberholtzer named as new Infineum Chief Financial and Strategy Officer

International fuel additives company Infineum on Thursday (3 October) announced the appointment of Mr. Rahim Oberholtzer as the new Chief Financial and Strategy Officer, effective 1 October.

Oberholtzer will succeed Mr. Philippe Creteur, who has retired at the end of September 2024, after 18 years of dedicated service to Infineum.

Oberholtzer, a seasoned finance executive with over 25 years of diverse experience, joins Infineum from Shell, where he has held various senior positions. His most recent role was Senior Vice President of Shell Finance for Chemicals and Products.

During his career, Oberholtzer has acquired extensive expertise in public accounting, investment banking, and trading. He began his professional journey at KPMG in San Francisco as an auditor. He then moved on to Merrill Lynch, focusing on mergers and acquisitions and equity offerings within the energy sector, ultimately serving as Head of Structured Finance at Merrill Lynch Commodities.

In 2011, he joined Shell’s Mergers and Acquisitions team in the U.S., leading key projects such as the launch of Shell Midstream Partners and the Eagle Ford divestment. He subsequently managed finance teams in Trading & Supply, covering European Gas & Power, Global Crude, and Global Products & Operations.

Infineum CEO Aldo Govi, said: “We are deeply grateful for Philippe’s years of dedication and excellent contribution to Infineum. At the same time, I am thrilled to welcome Rahim to our corporate leadership team.”

Photo credit: Infineum
Published: 4 October, 2024