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ENGINE on Fuel Switch Snapshot: LNG bunker premiums narrow

Price drop reduces LNG’s gap with conventional fuels; LNG stays the second-priciest alternative in major ports; B24-VLSFO discount to B24-LSMGO widens in Singapore.

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ENGINE on Fuel Switch Snapshot: LNG bunker premiums narrow

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:

  • Price drop reduces LNG’s gap with conventional fuels
  • LNG stays the second-priciest alternative in major ports
  • B24-VLSFO discount to B24-LSMGO widens in Singapore

Sharp drops in Singapore and Rotterdam’s LNG bunker prices have narrowed their price premiums over conventional fuels in the past week.

Rotterdam LNG’s premium over its VLSFO has decreased by $30/mt to $90/mt and its premium over its LSMGO has dropped by $27/mt to just $5/mt. If we factor in the estimated EU Allowances (EUAs), LNG is $2-8/mt cheaper than LSMGO in the port.

Meanwhile, Singapore LNG’s premium over VLSFO has declined by $23/mt to $94/mt, and its premium over LSMGO has dropped by $36/mt to $67/mt.

B24-VLSFO in Singapore has shifted further from B24-LSMGO, with its discount increasing from $9/mt to $18/mt in the past week.

VLSFO

Rotterdam’s VLSFO price has remained steady over the past week, with just a $6/mt increase, contrasting the significant $2.88/bbl ($21/mt) rise in the front-month ICE Brent futures contract.

Availability of the grade remains good in the port and most suppliers are able to offer prompt deliveries, a trader said. In addition, demand for the grade remains low, the trader added. Ample availability coupled with low demand appear to have capped any significant price gains for VLSFO.

Singapore’s VLSFO price has dropped by $7/mt in the past week, shunning Brent’s rise. Availability in the port remains tight, with lead times now extending up to 15 days, compared to 11 days the week prior.

ENGINE recorded 15 VLSFO stems in Singapore during the past week. Of these, 14 lower-priced stems were fixed for non-prompt deliveries – with lead times of more than seven days – priced between $564-579/mt. Only one stem was fixed for prompt delivery, priced around $30/mt higher than the non-prompt stems. The lower-priced stems appear to have contributed to the benchmark’s decline.

Biofuels

Singapore’s B24-VLSFO UCOME price has decreased by $5/mt, while its B24-LSMGO UCOME price has risen by $4/mt in the past week.

Suppliers in Singapore sold about 68,000 mt of bio-blended bunkers in August, up from 49,000 mt sold in July. Bio-blended bunker sales grew for the second consecutive month in August and were the highest since October 2023, according to preliminary figures from the port authority. Despite a jump in sales in August, spot demand for bio-bunkers in Singapore remains low, two sources said.

Rotterdam’s B24-VLSFO HBE and B24-LSMGO HBE prices have gained by $8-9/mt in the past week. These increases are supported by a $6/mt rise in the underlying ENGINE conventional VLSFO price and a $4/mt rise in conventional LSMGO price.

Additionally, a $19/mt increase in the underlying PRIMA’s POMEME CIF ARA price has added further upward pressure on both biofuel benchmarks.

LNG

Rotterdam’s VLSFO-equivalent LNG bunker price has plunged by $24/mt over the past week. The fall reflects a decline in the front-month NYMEX Dutch TTF Natural Gas contract, driven by Europe’s high gas storage levels, which continue to weigh on prices and signal ample supply in the market.

Singapore’s VLSFO-equivalent LNG bunker price has also plummeted $30/mt in the past week, partly due to the NYMEX Japan/Korea Marker (JKM) contract rolling over from the higher-priced October contract to the lower-priced November contract.

Softening demand for LNG cargoes in Asian markets has further pressured the JKM benchmark.

By Konica Bhatt

 

Photo credit and source: ENGINE
Published: 24 September, 2024

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Methanol

World Fuel and partners complete first green methanol bunkering of car carrier in Shanghai

Operation involved the delivery of approximately 2,800 MT of green methanol to “Arctic Tern” via a ship-to-ship transfer using SIPG Energy’s dedicated methanol bunkering vessel “M/V Hai Gang Zhi Yuan”.

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World Fuel and partners complete first green methanol bunkering of car carrier in Shanghai

Marine fuel provider World Fuel on Tuesday (21 July) said it successfully completed the first green methanol bunkering of M/V Arctic Tern, with EUKOR Car Carriers and SIPG Energy at the Port of Shanghai. 

Arctic Tern is the first vessel in the new Shaper Class series of car carriers. 

The operation involved the delivery of approximately 2,800 MT of green methanol to Arctic Tern via a ship-to-ship transfer using SIPG Energy’s dedicated methanol bunkering vessel M/V Hai Gang Zhi Yuan, the largest vessel of its kind in operation. 

The bunkering operation was carried out at Haitong Terminal, Waigaoqiao Port Area, Shanghai Port, with cargo handling operations conducted simultaneously during bunkering.

This marks EUKOR Car Carriers’ first green methanol operation and the first time Arctic Tern has bunkered methanol since its delivery on 9 July. The operation marked the first bunkering at Shanghai Port of green methanol produced locally in Shanghai for an international PCTC operator. 

It also demonstrated the city’s integrated green methanol value chain, spanning local production, storage and bunkering, and established a replicable “Shanghai Model” for green methanol supply.

World Fuel arranged the supply and delivery of the fuel on behalf of EUKOR Car Carriers, working with SIPG Energy as the physical supplier at the Port of Shanghai.

The green methanol supplied was produced from municipal solid waste, ISCC-EU certified, and had a carbon intensity value below 25 gCO₂e/MJ.

Arctic Tern is the first of fourteen Shaper Class vessels ordered by Wallenius Wilhelmsen. With a capacity of 9,300 car equivalent units and methanol dual-fuel capability, the vessel will be operated by EUKOR Car Carriers, jointly owned by Wallenius Wilhelmsen and Hyundai Motor Group. Following her first green methanol bunkering, Arctic Tern will continue her maiden voyage from Asia to Europe.

Xavier Leroi, COO Shipping Services at Wallenius Wilhelmsen and CEO of EUKOR Car Carriers, said: “Completing Arctic Tern’s first green methanol bunkering shortly after delivery is a significant milestone towards our decarbonisation ambition for both EUKOR Car Carriers and Wallenius Wilhelmsen. It demonstrates how investments in next-generation vessel technology and fuel flexibility are being translated into real-world operations. 

“This achievement reflects the strong collaboration between all parties involved. Together, we have shown how partnerships across the maritime value chain can help make lower-emission fuels available and operationally viable at scale.”

Mark Tamsitt, SVP Global Marine Sales at World Fuel, said, “The first bunkering event with a new fuel is a significant moment for any shipowner, and our role is to make it as seamless as possible. By connecting EUKOR Car Carriers with SIPG Energy’s proven green methanol capability at the Port of Shanghai, we were able to deliver on reliable supply, fuel quality, and safe processes. As more of our customers bring methanol dual-fuel tonnage into service, we are committed to being the partner that makes these kinds of operations routine.”

Mr. Zhang Da, General Manager of SIPG Energy, said, “Welcoming Arctic Tern to the Port of Shanghai for her first green methanol bunkering demonstrates the strength and maturity of our supply capability. Building on our well-established methanol ship-to-ship bunkering services for container vessels, we have already extended such services to pure car and truck carriers (PCTCs). This bunkering sets a new record for the largest single SIMOPs green methanol bunkering for PCTCs in China, marking another step in building Shanghai’s position as a global green energy hub for international shipping.”

This operation follows Wallenius Wilhelmsen’s announcement on 9 July that Arctic Tern would complete her first methanol bunkering shortly after delivery. The vessel entered service on routes between Asia and Europe immediately following handover from China Merchants Jinling Shipyard in Nanjing.

 

Photo credit: World Fuel
Published: 22 July, 2026

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Ammonia

HPA and MB Energy develop safety concept for STS ammonia bunkering

HPA says the Port of Hamburg will become “bunker ready” for ammonia, laying the groundwork for safe and reliable ammonia bunkering in the future.

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HPA and MB Energy develop safety concept for STS ammonia bunkering

The Hamburg Port Authority (HPA) and integrated energy company MB Energy on Tuesday (21 July) said they have completed a comprehensive risk analysis and developed a dedicated safety concept for ship-to-ship ammonia bunkering.

MB Energy said the analysis lays the groundwork for the safe introduction of ammonia as a future marine fuel.

“With our planned ammonia import terminal in Hamburg-Blumensand, MB Energy intends to provide the reliable land side supply infrastructure needed to support this transition across northern German ports,” it said in a social media post. 

Mabanaft Group was renamed to MB Energy last year and merged over 50 existing brands under one identity. 

Separately, HPA said the Port of Hamburg will become “bunker ready” for ammonia, laying the groundwork for safe and reliable ammonia bunkering in the future.

“The focus is in particular on container ships, cruise ships as well as RoRo and ConRo (Container/RoRo) ships,” it said. 

“We expect ammonia to establish itself as an alternative marine marine fuel in the coming years. With our preparatory work, we are already creating the conditions to welcome the first ammonia-powered ships in Hamburg and to bunker them safely.:

HPA added that the import terminal for ammonia planned by MB Energy from 2029 will make a decisive contribution to ensuring the reliable availability of ammonia as a bunker fuel in northern German ports in the long term. 

“The use of an ammonia bunker barge is considered a possible addition to the landside infrastructure to enable ship bunkering in the port and beyond in the future,” it said.

Related: Mabanaft Group renames as MB Energy, merging over 50 brands under one identity

 

Photo credit: Hamburg Port Authority
Published: 22 July, 2026

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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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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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