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ENGINE on Fuel Switch Snapshot: Singapore’s LNG-biofuel price gaps shrink

Brent records biggest weekly drop in over a year; gas loses price advantage again; Singapore LNG’s discounts to bio blends narrow.

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ENGINE on Fuel Switch Snapshot: Singapore’s LNG-biofuel price gaps shrink

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:

21 October 2024

  • Brent records biggest weekly drop in over a year
  • Gas loses price advantage again
  • Singapore LNG’s discounts to bio blends narrow

The front-month ICE Brent futures contract has dropped by $5.98/bbl ($44/mt) over the past week, as concerns about supply disruptions in the Middle East eased on renewed hopes of a ceasefire in Gaza.

Brent’s fall has put heavy downward pressure on conventional fuel benchmarks over the past week.

Singapore’s VLSFO premium over Rotterdam stands at $44/mt, a $10/mt decline over the past week.

LNG has lost the price advantage it gained last week, and its VLSFO-equivalent price has returned to a premium over LSMGO in both Rotterdam and Singapore.

LNG’s discount to B24-VLSFO UCOME in Singapore has narrowed by $28/mt to $41/mt. Its price discount to Singapore’s B24-LSMGO blend has decreased by $32/mt to $65/mt.

VLSFO

Rotterdam’s VLSFO price has fallen by $14/mt over the past week, a more modest decline than Brent. While VLSFO supply has improved slightly, securing prompt stems still remains a challenge. According to a trader, demand for bunker fuel has also picked up. This has helped support the benchmark.

Singapore’s VLSFO has seen a larger decline of $24/mt. Consistently tight supply of the grade in the port has prevented a steeper drop.

Biofuels

Rotterdam’s B24-LSMGO HBE price has dropped by $42/mt in the past week, which was three times the $14/mt decline in the B24-VLSFO HBE price.

The more pronounced drop in the B30-LSMGO HBE price has been driven by a sharper $44/mt decline in the underlying ENGINE conventional LSMGO price. 

Singapore’s B24-VLSFO UCOME has shed $27/mt in the past week, while its B24-LSMGO UCOME price has tumbled by $41/mt.

These declines have been driven by a $24/mt fall in the underlying ENGINE conventional VLSFO price and a $41/mt drop in the LSMGO price. Adding to the downward pressure, the China UCOME FOB price also dropped by $20/mt, exerting additional pressure on both benchmarks.

LNG

Rotterdam’s LNG bunker has dropped by $10/mt in the past week. Strong LNG import activity in northwest Europe and reduced gas demand across the continent has exerted downward pressure on benchmark.

On the other side of the world, rising concerns over potential gas supply constraints in Asia have pushed Singapore’s LNG bunker price up by $1/mt in the past week.

By Konica Bhatt

 

Photo credit and source: ENGINE
Published: 22 October, 2024

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Biofuel

BHP and GCMD trial multi-feedstock B100 bio bunker fuel on bulk carrier

Bio-blend in the BHP and GCMD pilot is being used on a BHP-chartered bulk carrier “Berge Lyngor”, which was bunkered in Singapore in early May.

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BHP and GCMD trial multi-feedstock B100 bio bunker fuel on bulk carrier

BHP and the Global Centre for Maritime Decarbonisation (GCMD) on Wednesday (3 June) said they have blended biofuels from two distinct feedstocks—used cooking oil and waste animal fats —and introduced the lower-emissions marine fuel into a BHP-chartered bulk carrier as part of a pilot project.

The bio-blend in the BHP and GCMD pilot is being used on a BHP-chartered bulk carrier Berge Lyngor, owned and operated by Berge Bulk, transporting BHP iron ore from Western Australia to China. When run on bio-blend, the vessel has the potential to reduce well-to-wake greenhouse gas emissions by approximately 79 per cent per voyage compared to sailing on very low sulphur fuel oil (VLSFO).

The vessel bunkered in Singapore in early May with a B100 bio-blend comprising 50 percent tallow-derived biodiesel, sourced and supplied by HAMR Energy, and 50 per cent used cooking oil (UCOME) supplied by Mitsui & Co Energy Trading Singapore (METS).

Mitsui also blended the fuel and Dan-Bunkering coordinated and executed the bunkering operation, which was performed by Global Energy’s barge MT Maple.

The BHP and GCMD pilot will assess how biofuels from multiple feedstocks can be blended, handled, and introduced under real-world operating conditions using existing used cooking oil bunkering infrastructure.

At the same time, insights from this pilot will help identify solutions to challenges related to fuel quality, handling, traceability, and onboard vessel performance.

Biofuels for global shipping today rely heavily on used cooking oil – a feedstock whose availability is approaching its projected limits. Biofuel from waste animal fats presents a promising option to expand the supply of lower-emissions marine fuels.

The outcomes of the pilot are expected to shed light on the practical steps to integrate biofuel blends from different feedstocks into existing supply chains. The diversity of biofuels will provide shipowners and operators with greater flexibility to optimise fuel procurement based on cost, availability, and lifecycle emissions performance.

Biofuels derived from different feedstocks can exhibit varying properties that may impact operations, including potential corrosion from oxidation, fuel system clogging caused by wax formation, which this pilot aims to assess.

The pilot will trace and verify the biofuel blend’s integrity aimed at bolstering confidence in emissions reductions reporting. The pilot will also provide insights into how robust tracing can support future marine fuel supply chains where biofuels from multiple feedstocks with varying lifecycle greenhouse gas emissions footprints are blended together.

This project is co-funded by the Maritime and Port Authority of Singapore under the Maritime Innovation and Technology Fund (MINT).

 

Photo credit: Global Centre for Maritime Decarbonisation
Published: 3 June, 2026

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Biofuel

NYK starts one-year B100 bio bunker fuel trial on car carrier

In this trial, NYK will operate a car carrier continuously on B100 for one year to evaluate the impact on engines, fuel supply systems, and operational practices.

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NYK starts one-year B100 bio bunker fuel trial on car carrier

Japanese shipping firm NYK on Tuesday (2 June) said it has commenced a one-year long-term trial involving the continuous use of 100% biofuel (B100) on an NYK-operated car carrier. 

In this trial, NYK will operate a car carrier continuously on B100 for one year to evaluate the impact on engines, fuel supply systems, and operational practices. High-purity biofuels such as B100 are known to be susceptible to degradation from oxygen, light, and heat, raising concerns about the stability of such fuels during long-term use.

In this trial, the biofuel primarily comprises FAME (Fatty Acid Methyl Ester) derived from used cooking oil and similar feedstocks.

The initiative is designed to evaluate the fuel’s effects on the vessel’s equipment and verify operational safety under real-world conditions. 

Through this effort, NYK seeks to accumulate technical expertise that will support the broader use of high-purity biofuels and further accelerate efforts to reduce greenhouse gas (GHG) emissions.

NYK has been advancing the use of biofuels through various initiatives. In 2024, the company conducted a trial using biofuel blend B24 and subsequently expanded practical usage to B30. However, the company said there remains limited global experience with the long-term continuous use of B100.

“By collecting long-term operational data through this trial, NYK aims to accumulate valuable technical insights to support both the safe operation of vessels and the wider adoption of high-purity biofuels,” it said. 

 

Photo credit: NYK
Published: 3 June, 2026

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Ammonia

AM Green plans to build green ammonia plant at Indian port

Initiative also includes development of green ammonia handling, storage and bunkering infrastructure, pilot bunkering operations, safety procedures and training programmes, says VOC Port Authority.

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VO Chidambaranar (VOC) Port Authority on Friday (29 May) said it has signed a Memorandum of Understanding (MoU) with India’s ammonia producer AM Green Ammonia to collaborate in the development of a green ammonia production plant.

The plant will have a capacity of one million tonnes per annum (MTPA) at Tuticorin.

The initiative also includes development of green ammonia handling, storage and bunkering infrastructure, pilot bunkering operations, safety procedures and training programmes. 

The project is expected to support the development of green fuel corridors connecting VOC Port with major ports in Europe and Asia, thereby strengthening India’s position in the global green fuels value chain.

VOC Port also signed a Memorandum of Understanding (MoU) with Bureau Veritas (India) Pvt. Ltd., to collaborate on Green Port certification, emissions accounting, ESG reporting, safety validation, development of green bunkering practices, and establishment of a Centre of Excellence for green fuels and sustainability.

The port also plans for an upcoming 750 m³ green methanol bunkering facility.

 

Photo credit: Naveed Ahmed on Unsplash
Published: 3 June, 2026

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