Business

ENGINE: Europe & Africa Bunker Fuel Availability Outlook

VLSFO and HSFO supply remains tight in the ARA; fixing prompt HSFO stems difficult in Gibraltar; bunker supply normal across South African ports.

Published

1 year ago

May 11, 2023

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:

10 May, 2023

VLSFO and HSFO supply remains tight in the ARA
Fixing prompt HSFO stems difficult in Gibraltar
Bunker supply normal across South African ports

Northwest Europe

Securing prompt deliveries of VLSFO and HSFO can be difficult in Rotterdam and in the wider ARA hub, partly because of product tightness at refineries, a source says. Lead times of 6-7 days are advised for good coverage from suppliers, the source adds.

Shell’s Pernis refinery near Rotterdam is undergoing a scheduled three-month maintenance, which is set to be completed by the end of this month.

Availability of LSMGO is said to be better than other grades in the ARA, with recommended lead times at a shorter 3-5 days, sources say.

Independently held gasoil stocks in the ARA averaged slightly higher in the first week of May than across April.

India became the ARA’s top gasoil import source in April. Gasoil imports from India accounted for 22% of the region’s total last month, up from 13% in March, according to cargo tracker Vortexa.

Other gasoil import sources for the ARA were Saudi Arabia (20%), Qatar (8%), Germany (7%) and Italy (6%).

Bunker fuels availability is said to be tight for prompt dates in Flushing, while VLSFO delivery is subject to enquiry in the UK’s Pembroke port.

Availability of VLSFO and LSMGO is said to be normal for prompt delivery off Skaw, a source says. But delivery prospects for HSFO are subject to enquiries, the source adds.

In Germany’s Hamburg, supply of VLSFO, HSFO and LSMGO is said to be normal. Lead times of around 5-6 days are recommended for all fuel grades, a source says.

VLSFO and HSFO deliveries are subject to enquiries in Bremerhaven.

Mediterranean

Supply of most bunker fuel grades is said to be normal in Gibraltar, but fixing prompt stems of HSFO can be slightly difficult there, sources say. One supplier in Gibraltar is fully booked for prompt dates.

Lead times of 3-5 days are advised for VLSFO and LSMGO deliveries in Gibraltar, while HSFO can require a longer period of 5-7 days.

Minimal congestion was reported in Gibraltar and Algeciras on Wednesday, according to MH Bland. Three suppliers in Algeciras were behind schedule on Wednesday morning.

Prompt supply of VLSFO is said to be normal in Algeciras and Ceuta, a source says.

Bunker operations were progressing normally in Ceuta on Wednesday, where three vessels were due to arrive for bunkers throughout the day, according to shipping agent Jose Salama & Co.

Some ports in the Gibraltar Strait are forecast to experience bad weather conditions this week, which could delay bunker deliveries.

HSFO is tight for prompt dates in Portugal’s Lisbon, a source says.

Bunkering has been suspended at Las Palmas’ outer anchorage since Monday due to rough weather conditions, according to port agent MH Bland. Strong winds and swells of 2.3 metres hit the port on Wednesday morning. The weather is forecast to remain bad until Saturday, which could cause more delays and disruptions. Meanwhile, bunker deliveries will remain available via ex-pipe at berth or by barge at the port's inner anchorage, MH Bland says.

Strong winds are also forecast to hit the nearby port of Tenerife this week, which could complicate deliveries there.

Bunker fuel supply across all grades is said to be normal in Malta. Some suppliers can offer deliveries for prompt dates off Malta, a source says. However, offshore Malta is forecast to experience rough weather over the weekend, which could cause delays.

Availability of all bunker fuel grades is also normal in Greece’s Piraeus port, a source says.

Africa

Bunker fuels supply is said to be normal in Durban, Algoa Bay and other South African ports, sources say. But fixing prompt stems for VLSFO and LSMGO can be difficult in Durban and Algoa Bay, where lead times of up to seven days are recommended, a source says.

Bunkering is progressing normally in Algoa Bay, according to Rennies Ships Agency. Strong winds and high swells are forecast to hit the bay in periods between Thursday and Sunday, which could complicate deliveries. 15 vessels are due to arrive for bunkers in Port Elizabeth and Algoa Bay over the course of the rest of the week, Rennies says.

By Shilpa Sharma

Photo credit and source: ENGINE
Published: 11 May, 2023

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

2 days 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

2 days 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

2 days 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