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Alternative Fuels

ENGINE on Fuel Switch Snapshot: Biofuel-LNG price gap widens

Conventional fuel prices rise with Brent; bio blends cost over $200/mt more than LNG; bio demand sluggish in Singapore and Rotterdam.
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ENGINE on Fuel Switch Snapshot: Biofuel-LNG price gap widens

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:

8 July 2024

  • Conventional fuel prices rise with Brent
  • Bio blends cost over $200/mt more than LNG
  • Bio demand sluggish in Singapore and Rotterdam

Rotterdam’s VLSFO premium over LNG has surged by $29/mt in the past week, to $35/mt. This gap has widened as VLSFO has gained while LNG has declined. When we add the estimated EU Allowance (EUA) costs, LNG is now $41-47/mt cheaper than VLSFO in Rotterdam.

Bio premiums have shot up in both Rotterdam and Singapore for yet another week.

Bunkering a B24-VLSFO blend in Rotterdam will now be $179/mt costlier than bunkering VLSFO, and $214/mt more than LNG.

HSFO remains the most affordable option for scrubber-fitted ships, even with estimated EUA costs factored into the price of bunker fuel.

VLSFO

A $1.54/bbl ($11/mt) increase in front-month ICE Brent futures has pushed up Rotterdam and Singapore’s VLSFO prices. When we include estimated EUA costs, VLSFO has increased by $17-20/mt in Rotterdam and $15/mt in Singapore.

VLSFO availability in Rotterdam remains normal, with lead times roughly unchanged over the last few weeks at 3-5 days.  

Availability in Singapore has tightened again after a slight improvement in the previous week. Most suppliers now recommend lead times of up to 14 days, though some can supply stems within four days.

Biofuels

Sharp price increases for both pure VLSFO and palm oil mill effluent methyl ester (POMEME) components have driven up the price of Rotterdam’s B24-VLSFO HBE biofuel blend price over the past week.

The PRIMA-assessed POMEME price in the ARA region surged by $40/mt in the past week, to $1,448/mt.

Bio-bunker demand remains sluggish in Rotterdam and the wider ARA hub, according to two sources. Availability has been good, with prompt deliveries also possible, a trader said.

Singapore’s B24-VLSFO UCOME price has increased by $10/mt in the past week, or $12/mt when factoring in estimated EUA costs.

Spot bio-bunker demand remains low in Singapore, with most deliveries booked for term supply contracts, two sources say. These term contracts are mostly for container lines.

LNG

Prices for VLSFO-equivalent LNG bunker fuel have dropped in both Rotterdam and Singapore in the past week.

Rotterdam’s LNG bunker price has decreased by $14/mt. The main reason for this is high inventory levels and steady supplies from Norway, which continue to weigh down on prices.

Singapore’s price has made a smaller $7/mt drop, primarily influenced by a decline in the JKM (Japan/Korea Marker) gas benchmark. This decrease comes amid weak demand in the Asian LNG market, according to Rystad Energy.

By Konica Bhatt

 

Photo credit and source: ENGINE
Published: 9 July 2024

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LNG Bunkering

PIL’s LNG dual-fuel boxship “Kota Elok” arrives in Singapore on maiden call

As the first of 13 new 13,000 TEU vessels joining its fleet, Kota Elok is equipped to operate on LNG and low-sulphur fuel oil that helps reduce our greenhouse gas emissions.

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July 21, 2026

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PIL's LNG dual-fuel boxship “Kota Elok” arrives in Singapore on maiden call

Singapore-based Pacific International Lines Pte Ltd on Monday (20 July) said its first 13,000 TEU LNG dual-fuel container vessel, Kota Elok, recently made her maiden call to Singapore on 15 July.

As the first of 13 new 13,000 TEU vessels joining its fleet, Kota Elok is equipped to operate on liquefied natural gas (LNG) and low-sulphur fuel oil that helps reduce our greenhouse gas emissions. 

The vessel also incorporated energy-saving features and digital technologies to reduce fuel consumption and enhance operational performance, as well as a bow windshield to improve aerodynamics, contributing to improved fuel efficiency and lower emissions over the course of long-haul voyages.

“Following Singapore, Kota Elok will continue her voyage on our East Coast Service 1 (ES1) route to South America, calling at ports in Brazil, Uruguay, and Argentina before returning to Asia,” the company said in a social media post. 

Kota Elok also became PIL’s first vessel to receive Lloyd’s Register certification for compliance with the IACS UR E26 and UR E27 cyber security requirements.

Developed by the International Association of Classification Societies (IACS), UR E26 and UR E27 are mandatory cyber resilience requirements for newbuild vessels contracted from 1 July 2024. 

 

Photo credit: Pacific International Lines
Published: 21 July, 2026

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LNG Bunkering

CIMC SOE secures order for 12,000-cbm LNG bunkering vessel from Sinopec Clean Energy

Once operational, the vessel is expected to strengthen Sinopec’s domestic coastal LNG bunkering network and help address gaps in China’s alternative fuel bunkering infrastructure.
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July 21, 2026

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CIMC SOE secures order for 12,000-cbm LNG bunkering vessel from Sinopec Clean Energy

China’s Nantong CIMC Sinopacific Offshore & Engineering Co., Ltd. (CIMC SOE) recently signed a contract with Sinopec (Beijing) Clean Energy Co., Ltd. to build a 12,000-cubic metre (m3) LNG bunkering vessel, according to Chinese maritime media.

The vessel is scheduled for delivery in 2028 and will support Sinopec’s efforts to expand its presence in the marine clean energy sector.

Once operational, the vessel is expected to strengthen Sinopec’s domestic coastal LNG bunkering network and help address gaps in China’s LNG bunkering infrastructure.

With this signing , CIMC Pacific Offshore Engineering’s LNG bunkering vessel orderbook is further strengthened, maintaining its leading position in the global market for small and medium-sized LNG bunkering vessels.

The contract also marked another milestone for CIMC SOE, which has seen a sharp increase in orders and business performance this year amid a surge in domestic LNG vessel demand.

 

Photo credit: Nantong CIMC Sinopacific Offshore & Engineering
Published: 21 July, 2026

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Nuclear

ABS awards AiP to Korean institute for SMR-powered container ship concept design

KRISO says AiP recognises the technical feasibility and safety of its concept design, marking an important milestone toward the development of next-generation nuclear-powered commercial ships.
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July 21, 2026

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ABS awards AiP to Korean institute for SMR-powered container ship concept design

Korea Research Institute of Ships & Ocean Engineering (KRISO) on Thursday (16 July) received Approval in Principle (AiP) from the American Bureau of Shipping (ABS) for its concept design of a 15,000 TEU Small Modular Reactor (SMR)-powered container ship utilising Molten Salt Reactor (MSR) technology.

KRISO said the AiP recognises the technical feasibility and safety of its concept design, marking an important milestone toward the development of next-generation nuclear-powered commercial ships.

“This achievement demonstrates international recognition of KRISO’s technological capabilities in the rapidly evolving field of nuclear-powered shipping, supporting the transition toward low-carbon maritime transport,” it said. 

Building on this milestone, KRISO will continue advancing basic and detailed ship design, paving the way for future demonstration and commercialisation of SMR-powered vessels. 

Through continued R&D and international collaboration, KRISO remains committed to strengthening next-generation maritime technologies and contributing to the safe deployment of nuclear propulsion in the maritime industry.

 

Photo credit: Korea Research Institute of Ships & Ocean Engineering
Published: 21 July, 2026

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