Connect with us

Bunker Fuel

ENGINE on Fuel Switch Snapshot: HSFO remains cheapest across hubs

Brent’s steep fall brings VLSFO down; Singapore premiums over Rotterdam narrow; EU to impose tariffs on Chinese biodiesel imports.

Admin

Published

on

ENGINE on Fuel Switch Snapshot: HSFO remains cheapest across hubs

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:

22 July 2024

  • Brent's steep fall brings VLSFO down
  • Singapore premiums over Rotterdam narrow
  • EU to impose tariffs on Chinese biodiesel imports

A sharp drop of $2.40/bbl ($18/mt) in front-month Brent futures has pushed down conventional fuel prices for yet another week. 

Bio-blend prices have also declined amid decreases in both bio- and conventional fuel components. 

Rotterdam’s VLSFO-equivalent LNG benchmark has bucked the downward trend and inched up by $3/mt in the past week.

LNG bunker fuel is priced $16/mt higher than VLSFO in Singapore, making VLSFO the cheaper option for dual-fuel vessels bunkering there. Conversely, LNG is the more cost-effective choice for dual-fuel ships bunkering in Rotterdam.

The ARA’s B24-VLSFO UCOME price premium over Singapore’s has widened from $19/mt to $32/mt as Singapore’s price has dropped.

VLSFO

VLSFO demand has improved slightly in the ARA in the past week, following slow activity the week before, a trader said. This seems to have prevented Rotterdam’s VLSFO benchmark from following Brent's significant decline.

Singapore’s VLSFO benchmark has tracked more of the crude benchmark's price drop, slipping by $14/mt in the past week. Most suppliers recommend lead times of up to 14 days for VLSFO in the port, but some can manage deliveries within five days.

When factoring in estimated EUA costs, Rotterdam’s VLSFO price has declined by $7-9/mt, while Singapore’s price has fallen by $16/mt.

Biofuels

Singapore’s B24-VLSFO UCOME price has declined by $7/mt in the past week, while its B24-LSMGO UCOME price has fallen by $9/mt. The two bio-bunker benchmarks have declined amid declining values for pure VLSFO ($4/mt) and LSMGO ($9/mt).

On Friday, the European Commission announced that it will impose provisional duties of up to 36.4% on biodiesel imports from China. PRIMA said “the EU anti-dumping results and its associated duties (ADDs) have effectively killed off Chinese biodiesel trading prospects into Europe”.

A lack of EU demand for Chinese biodiesel could result in more Chinese UCOME being exported to meet demand in countries like Singapore, sources say.

Rotterdam’s B30-VLSFO HBE price has declined by $8/mt in the past week, while its B30-LSMGO HBE price has dropped by a greater $14/mt. A $32/mt drop in the ARA POMEME price assessed by PRIMA Markets has pulled both benchmarks lower.

Biofuel price premiums over pure conventional fuels in Rotterdam are $189/mt for B30-VLSFO HBE blends and $136/mt for B30-LSMGO HBE blends. These premiums have narrowed by $9-12/mt in the past week.

The EU’s provisional duties on Chinese biodiesel imports could tighten availability of bio feedstocks for bio-bunker blending across Europe.

LNG

Rotterdam’s LNG bunker price has risen by $22/mt to $652/mt in the past week. The price rise has tracked an increase in the front-month NYMEX Dutch TTF Natural Gas contract.

The upward trend can be attributed to supply concerns at the Freeport LNG export terminal on the US Gulf Coast, a major source of European LNG supply. Some 5.4% of Europe's total LNG imports last year came from Freeport LNG.

Several LNG cargoes from Freeport LNG were held back from being exported by supply disruptions caused by Hurricane Beryl. This has contributed to push Rotterdam's LNG price higher in the past week.

Singapore's LNG bunker price has decreased by $11/mt, driven by a falling NYMEX Japan/Korea Marker (JKM) price.

The JKM price increased some in the middle of last week due to active deals to meet summer demand, before falling amid ample supply and high inventory levels, according to a report by the Japan Organization for Metals and Energy Security (JOGMEC).

By Konica Bhatt

 

Photo credit and source: ENGINE
Published: 23 July 2024

Continue Reading

Bunker Fuel

Singapore confirms bunker spill from damaged shore fuel hose at Brani Regional Base

Authorities said about 23 metric tonnes had leaked from a damaged shore fuel hose used to refuel patrol craft at Selat Sengkir and no oil slicks observed.

Admin

Published

on

By

RESIZED SG bunker tanker

Singapore authorities on Thursday (6 February) confirmed that a diesel oil leak was discovered at the Police Coast Guard (PCG) Brani Regional Base on 5 February, at around 11.40am (Singapore Time). 

The leak was eventually isolated at about 3.40pm. 

“About 23 metric tonnes had leaked from a damaged shore fuel hose used to refuel patrol craft at Selat Sengkir,” said Singapore Police Force, Maritime and Port Authority (MPA) and National Environment Agency (NEA) in a joint statement. 

PCG and the Maritime and Port Authority of Singapore have deployed patrol craft and spill response resources to clean up small patches of light oil sheens observed in our southern waters. 

Contractors have also been activated to support the operation. There are no oil slicks observed. 

Navigational traffic in the area is not affected. There is no impact to operations in the Port of Singapore.

 

Photo credit: Manifold Times
Published: 7 February, 2025

Continue Reading

LNG Bunkering

LNG bunkering at Port of Barcelona increases by 60.5% on year in 2024

Port said 229,750 cubic metre of LNG were supplied at the port in 2024, achieving an increase of 60.5% compared to 2023 and a total of 491 LNG bunkering operations were carried out at the port.

Admin

Published

on

By

LNG bunkering at Port of Barcelona increases by 60.5% on year in 2024

The Port of Barcelona on Wednesday (5 February) said 229,750 cubic metre (m³) of LNG were supplied at the port in 2024, achieving an increase of 60.5% compared to 2023.

The Port said the achievement placed Barcelona as the leading port in the state - with 40% of the total m³ of LNG supplied - and one of the first in Europe in LNG bunkering. 

In 2024, a total of 491 LNG bunkering operations were carried out for ships, of which 402 were via tankers trucks, with 45,427 m³ supplied, and 89 were ship-to-ship (STS) transfers from barges, with 184,324 m³ delivered. 

Of the 8,398 ship calls at the Port of Barcelona during 2024, 822 calls were from ships using LNG, about 10% of the total calls at the port.  

The ships that have received LNG bunker fuel in Barcelona have been mainly cruises and ferries, reaching close to 23% and 19% of the calls of both types of ships and contributing to a reduction in nitrogen oxide (NOx) emissions of 20% for cruises and 18% for ferries. 

The top cruise companies have incorporated LNG-powered ships into their fleets, a good number of which operate regularly in Barcelona. During 2024, a total of 1,664,712 cruise passengers (45.5%) passed through Barcelona on board an LNG-powered cruise ship.

The increase in bunker supply of 60.5% has been possible due to several factors: 

  • the presence of the LNG supply barge based in the Haugesund port Knutsen, from the company Knutsen-Scale Gas,
  • the commitment of the shipping company Baleària to LNG, provided by several tanker trucks at the same time,
  • and the incorporation of new types of ships that use LNG in the port, notably car carriers. The Lake Herman ship, from Japanese shipping company MOL, was the first vehicle carrier to carry out LNG bunkering at the Port of Barcelona, ​​followed by four more ships of the same service, to which two new ships have been added at the beginning of 2025. 

During 2024, the fast ferry Margarita Salas, powered by dual LNG engines, was also added. Operated by Baleària, this ship began operating last June, connecting Barcelona with Mallorca and Menorca at high speed. This new connection reinforces the commitment to integrating LNG into passenger transport and significantly reduces the emissions generated on this route.

The Port of Barcelona said it will continue to facilitate the introduction of LNG with measures such as administrative simplification to facilitate the authorisation of LNG bunkering operations; and the availability of generic risk analyses to be able to expand these operations to other types of ships. 

During 2025, new risk analyses will be carried out to allow the supply of LNG to container ships, for which the port has already received interest from supply operators.

 

Photo credit: Port of Barcelona
Published: 7 February, 2025

Continue Reading

Shipping Corridor

Clear plan developed for Stockholm-Turku green shipping corridor

After a year of cooperation, Viking Line, Port of Turku and Ports of Stockholm said they have now laid a solid foundation for the green corridor project and developed a clear plan for a common way forward.

Admin

Published

on

By

Clear plan developed for Stockholm-Turku green shipping corridor

Viking Line, Port of Turku and Ports of Stockholm on Thursday (6 February) said they have now laid a solid foundation for a green shipping corridor project and developed a clear plan for a common way forward.

This comes after working together for a year on the project which aims to establish a green, fossil-free shipping corridor between Stockholm and Turku. 

On the anniversary on 6 February, the parties and a large number of invited stakeholders gathered for an open seminar in Turku, Finland. Results, experiences, challenges and opportunities were discussed based on the common goal of establishing a green maritime corridor between Stockholm and Turku by 2035.

Magdalena Bosson, CEO Ports of Stockholm, said: “We are very pleased with the cooperation and the work done during the first year.”

“We have been investing in onshore power supply infrastructure for ships for many years and Viking Line is one of the pioneers. Now we are further sharpening our goals together with the other parties to establish a fossil-free shipping corridor between Stockholm and Turku.”

Jan Hanses, CEO Viking Line, said: “We are proud to be part of this important co-operation project for a cleaner Baltic Sea. Our most significant investment so far is to offer all our passengers and freight customers biofuel for transport between Stockholm and Turku, reducing emissions for their journeys by 90%.”

“In addition, a possible battery installation and Elogrids, which reduces energy consumption, are important elements of our work in the coming years.”

Elogrids is a grid system installed on the ship's hull to reduce resistance and improve fuel efficiency. It optimises water flow and reduces turbulence, resulting in lower energy consumption.

Erik Söderholm, CEO Port of Turku, said: “A green shipping corridor gives us the opportunity to promote sustainable development and reduce the environmental impact of shipping.”

“During the past year, we have started more detailed planning of measures related to the green shipping corridor, such as updating our carbon footprint calculation and preparing for the development of charging stations for heavy traffic.”

During the first year, the parties have identified and prioritised the most important goals and measures to reduce carbon dioxide emissions in shipping. 

A clear project plan with activities has been developed, including:

Viking Line

  • Pre-study of battery installation on Viking Grace and Viking Glory
  • Installing Elogrids on the vessels
  • Increase sales of biogas supplements for transport between Stockholm and Turku

Port of Turku

  • Study and pilot project for onshore power supply at the quay
  • Zero emissions from Viking Line vessels at berth
  • Guidelines and incentives for port operators for zero emissions
  • In collaboration with external actors, develop concepts that link the green shipping corridor with sustainable transport from and to the port on land
  • Opportunity for shipping companies to bunker sustainable fuels

Ports of Stockholm

  • Zero emissions from Viking Line vessels at the quayside
  • In collaboration with external actors, develop concepts that link the green shipping corridor with sustainable transport from and to the port on land
  • Opportunity for shipping companies to bunker fossil-free fuels

 

Photo credit: Ports of Stockholm
Published: 7 February, 2025

Continue Reading
Advertisement
  • Sea Trader & Sea Splendor
  • Zhoushan Bunker
  • SBF2
  • Aderco advert 400x330 1
  • v4Helmsman Gif Banner 01
  • RE 05 Lighthouse GIF
  • EMF banner 400x330 slogan
  • Consort advertisement v2

OUR INDUSTRY PARTNERS

  • E MARINE LOGO
  • SEAOIL 3+5 GIF
  • Singfar advertisement final
  • Triton Bunkering advertisement v2
  • HL 2022 adv v1


  • PSP Marine logo
  • Auramarine 01
  • Synergy Asia Bunkering logo MT
  • Mokara Final
  • MFA logo v2
  • Victory Logo
  • endress
  • Innospec logo v6
  • Energe Logo
  • Central Star logo
  • LabTechnic
  • Headway Manifold
  • 400x330 v2 copy
  • VPS 2021 advertisement
  • Advert Shipping Manifold resized1

Trending