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ENGINE on Fuel Switch Snapshot: Bio premiums down in Rotterdam, up in Singapore

Sharp Brent gain narrows Rotterdam bio-bunker premiums; Singapore bio premiums widen despite subdued demand.

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Fuel Switch Snapshot: Bio premiums down in Rotterdam, up in Singapore

Once a week, bunker intelligence platform ENGINE will publish a snapshot of alternative and conventional bunker fuel prices in the world’s two biggest bunkering hubs. The following is the latest snapshot: 

18 March 2024

  • Sharp Brent gain narrows Rotterdam bio-bunker premiums
  • Singapore bio premiums widen despite subdued demand

All the prices in the chart above are adjusted for their fuels’ different calorific contents. This makes each of them VLSFO-equivalent, which means that the same weight of fuels in metric tonnes (mt) will theoretically allow you to sail the same distance because they contain equal amounts of energy.

Brent is sharply up on the week and has sent European oil-based bunker prices rallying. Rotterdam’s VLSFO and LSMGO price gains have outpaced B24-VLSFO and B24-LSMGO gains to narrow their discounts by $4-7/mt.

The opposite is the case in Singapore, where B24-VLSFO and B24-LSMGO have moved $2-5/mt further up and away from pure VLSFO and LSMGO grades, to render bio-bunker blends less unattractive alternatives for bunker buyers.

LNG remains the cheapest bunker fuel for vessels bunkering in Rotterdam. That is the case whether you consider the outright VLSFO-equivalent LNG price only, or this price with EUA costs included.

HSFO comes in just below LNG in price in Singapore, where it is about $50/mt more expensive to bunker LNG than in Rotterdam.

VLSFO

Rotterdam’s VLSFO benchmark has gained by $17/mt in the past week, supported by a $3.26/bbl ($24/mt) jump in underlying front-month Brent futures. Singapore’s VLSFO price has been steadier and recorded a $5/mt increase in the past week.

VLSFO availability remains normal in Rotterdam. Lead times for VLSFO stems have been stable over the past week, with traders advising 4-5 days for this grade.

Prompt availability of VLSFO is tight in Singapore and traders recommend lead times of 9-13 days for the fuel grade. Demand for VLSFO has also picked up in the port, a trader said, though it is still lower than it was in January and February.

Biofuels

Rotterdam’s B24-VLSFO HBE bunker price has gained by $13/mt in the past week.

A palm oil mill effluent methyl ester (POMEME) cargo was priced at $1,301/mt in the ARA region on Friday, according to PRIMA Markets. This price has gained around $11/mt over the past week, PRIMA said. POMEME-based biofuels can qualify for advanced biofuel rebates through the Dutch HBE system.

Singapore’s B24-VLSFO UCOME bunker price has come up by $10/mt over the past week. A UCOME cargo was recorded at $1,020/mt in China’s main ports on Friday, around $20/mt higher than the previous day, PRIMA reported. As Singapore relies heavily on Chinese UCOME imports, higher Chinese UCOME prices can raise Singapore’s UCOME prices.

Demand for B24-VLSFO bunker blends has slowed in Singapore, sources told ENGINE. Bio-blended bunker sales data from the Singapore port authority reflects this waning demand. Singapore sold only 16,000 mt of bio-VLSFO (mostly B24) in February, its lowest figure since August 2022. Lead times of up to seven days are generally recommended for B24-VLSFO in Singapore. But these deliveries are subject to barge availability as only a few barges carry the product, a trader added.

LNG

Rotterdam’s LNG bunker price has declined by $1/mt in the past week, tracking a similar decline in the front-month NYMEX Dutch TTF Natural Gas benchmark.

Forecasts of a mild temperatures throughout Europe have combined with already subdued demand and contributed to the recent downward pressure on European natural gas prices. Natural gas prices have also been suppressed by a lot of wind power generated in Germany and a recovery in Norwegian gas flow nominations, ICIS LNG analyst Robert Songer told ENGINE.

Singapore’s LNG bunker price has been rather steady and made a most gain of $3/mt over the past week.

High spot demand and price-sensitive buying behaviour among consumers has been supporting Asian LNG prices, according to an Energy Flux report. Japan’s LNG demand is expected to rise following an earthquake in the Fukushima region, Tony Jordan, senior Partner at Auxilione wrote in a market report.

Prompt availability of LNG bunkering remains tight in Singapore, a trader said.

EUAs

The Dec24 ICE EUA futures contract moved €1.00/mtCO2e ($0.78/mtCO2e) higher over the past week, to trade around $65/mt on Friday.

EUAs’ upward price trend was mainly influenced by aggressive buying at lower levels, commodities brokerage Freight Investor Services (FIS) said in a report. The absence of the biweekly Polish EUA auction on 6 March tightened the market, adding support to the price, FIS said.

By Konica Bhatt and Erik Hoffmann

Related: ENGINE introduces price tracker of comparable alternative and conventional bunker fuels

 

Photo credit and source: ENGINE
Published: 19 March 2024

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Alternative Fuels

Yang Ming orders six LNG dual-fuel, ammonia-ready containerships from Hanwha Ocean

Each of the six new vessels will have a capacity of up to 13,650 TEU and feature LNG dual-fuel propulsion and Ammonia Fuel Ready specifications.

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Yang Ming orders six LNG dual-fuel, ammonia-ready containerships from Hanwha Ocean

Taiwanese shipping firm Yang Ming Marine Transport Corporation (Yang Ming) and South Korean shipbuilder Hanwha Ocean on Wednesday (2 September) signed a shipbuilding contract for six 13,000 TEU class LNG dual-fuel container vessels. 

The contract was signed by Dr. Chuck Tsai, Chairman of Yang Ming, and Mr. Charles Kim, CEO of Hanwha Ocean. The vessels are scheduled for delivery between 2028 and 2029. 

They will complement Yang Ming’s existing fleet of 10,000+ TEU vessels and serve as key vessels on East-West services, with deployment flexibility across trade lanes connecting Asia with the East and West Coasts of North America, South America, and the Mediterranean. 

Each of the six new vessels will have a capacity of up to 13,650 TEU and feature LNG dual-fuel propulsion and Ammonia Fuel Ready specifications.

“As Yang Ming transitions toward net-zero emissions, LNG provides a relatively mature and economically viable alternative fuel solution, capable of reducing greenhouse gas emissions by approximately 20%,” the company said. 

“At the same time, ammonia can serve as a carbon-free fuel by utilising converted LNG storage facilities, while offering relatively lower conversion costs and comparatively well-developed supply chains and infrastructure. The Ammonia Fuel Ready design will therefore provide Yang Ming with greater flexibility in responding to increasingly stringent international regulations on greenhouse gas emissions.”

In addition, the vessels will be equipped with Type B LNG fuel tanks with a design pressure of 1.0 bar to enhance the safety and efficiency of LNG operations, together with a range of energy-saving technologies, including Wind Shields, Rudder Bulbs, Pre-Swirl Stators, and Shore Power Systems. Smart ship technologies and cybersecurity protection features will also be incorporated to enhance operational efficiency, safety, and reliability while effectively reducing fuel consumption and greenhouse gas emissions.

Deliveries under Yang Ming’s next-generation fleet optimization plan commenced earlier this year. By 2030, a total of 24 new vessels are expected to enter service. 

This includes 18 LNG dual-fuel vessels—comprising five 15,500 TEU, seven 16,000 TEU, and the six 13,000 TEU vessels under this contract—alongside six 8,000 TEU methanol dual-fuel-ready ships. 

 

Photo credit: Yang Ming Marine Transport
Published: 4 September, 2026

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Alternative Fuels

LR, China’s MARIC unveil tanker concept ready for three future bunker fuels

Both secured AiP for a new 114,000 DWT product and crude oil tanker designed to accommodate future conversion to LNG, methanol or ammonia.

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LR, China’s MARIC unveil tanker concept ready for three future bunker fuels

Lloyd’s Register (LR) and the Marine Design and Research Institute of China (MARIC) on Thursday (3 September) have secured Approval in Principle (AiP) for a new 114,000 DWT product and crude oil tanker designed to accommodate future conversion to LNG, methanol or ammonia.

Announced at SMM 2026, the concept addresses one of the biggest investment challenges facing shipping today: the need to develop vessels and capabilities that can support a range of alternative fuel options and pathways as technologies, infrastructure and regulations evolve.

While LNG is already a mature fuel pathway, methanol and ammonia remain at an earlier stage of development, with questions around global fuel availability, infrastructure development, economics and long-term adoption.

The 114,000 DWT tanker concept has been designed as a product and crude oil carrier that can accommodate future conversion to LNG, methanol or ammonia as technologies, regulations and fuel supply chains mature. By incorporating conversion readiness at the design stage, the concept aims to reduce future retrofit complexity and provide owners with greater confidence when planning long-term fleet investments.

The design concept was reviewed against LR’s July 2026 class rules and regulations, including requirements relating to ships using gases and other low-flashpoint fuels, alongside relevant IACS Common Structural Rules for oil tankers. Final classification and statutory approval remain subject to full compliance with all applicable rules and regulations.

Theo Kourmpelis, Global Business Director for Tankers, Lloyd’s Register, said: “Shipowners are being asked to make major investment decisions today despite continued uncertainty around which fuels will dominate in the decades ahead. Alternative fuel solutions each offer potential pathways to compliance, but fuel infrastructure, regulation and economics continue to evolve at different speeds around the world.

“Designs that preserve flexibility will be critical in helping owners manage risk while preparing for multiple future scenarios.”

Si Nan, Marine & Offshore Marketing Department Vice Director, MARIC, said: “As the industry explores different decarbonisation pathways, shipowners need vessel designs that can adapt alongside technological and regulatory developments. This concept was developed specifically to provide greater fuel flexibility and long-term resilience, allowing owners to respond to changing market requirements without being locked into a single fuel strategy.

“Receiving Approval in Principle from Lloyd’s Register is an important milestone that validates the design concept and supports its future development.”

 

Photo credit: Lloyd’s Register
Published: 4 September, 2026

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Alternative Fuels

DNV: Alternative-fuelled vessel orders hit highest monthly level since October 2024

LNG-fuelled vessels accounted for the vast majority of August activity while the strong summer performance marked a significant acceleration in ordering activity after a relatively slow start to the year.

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DNV: Alternative-fuelled vessel orders hit highest monthly level since October 2024

Latest data from classification society DNV’s Alternative Fuels Insight (AFI) platform alternative-fuelled vessel ordering was strong in August, with 52 new vessels added to the platform.

This is the highest monthly total since October 2024 and follows another active month in July, when 47 vessels were added to the database.

LNG-fuelled vessels accounted for the vast majority of August activity, with 46 orders recorded. The container segment led the way with 30 orders, while the car carrier segment contributed a further 12 LNG-fuelled vessels. In addition, four ethanol-fuelled bulk carriers and two hydrogen-powered bulk carriers were added during the month, as well as one LNG bunker vessel.

The strong summer performance marked a significant acceleration in ordering activity after a relatively slow start to the year. In total, 242 alternative-fuelled vessel orders have been placed in the first eight months of 2026, representing a 27% increase compared with the same period in 2025.

LNG remains the dominant fuel choice, accounting for 63% of all alternative-fuelled vessel orders registered so far this year. Container vessels represent the largest share of these LNG orders (59%), followed by car carriers (30%).

Jason Stefanatos, Global Decarbonization Director at DNV Maritime, said: “The past two months have been particularly strong for alternative-fuelled vessel ordering, with August recording the highest monthly total we’ve seen since October 2024. This has helped lift year-to-date orders to a level well above the same period last year.

“LNG remains the leading fuel choice, driven largely by activity in the container and car carrier segments. These sectors have been among the earliest adopters of alternative fuels, supported by predictable liner operations and increasing demand from cargo owners to reduce emissions across supply chains. 

“For many owners, LNG offers a combination of emissions reductions, fuel availability and future flexibility while the longer-term fuel landscape continues to evolve. 

“At the same time, the latest figures include orders for ethanol- and hydrogen-fuelled vessels, highlighting that owners continue to explore a range of decarbonization pathways. Different segments are making different fuel choices, but the overall level of activity demonstrates continued investment in lower-emission shipping.”

Screenshot 2026 09 04 at 12.29.26 PM Screenshot 2026 09 04 at 12.29.36 PM

 

Photo credit: DNV
Published: 4 September, 2026

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