Connect with us

Alternative Fuels

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.

Admin

Published

on

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

Continue Reading

Biofuel

Pinnacle Marine and Abo Shoten ink MoU for B100 trial in Singapore

Pinnacle will carry out a 1,000-hour B100 biodiesel trial on an aluminium harbour craft in Singapore; Abo Shoten will contribute funding to support construction and operational expenses of the trial vessel.

Admin

Published

on

By

Pinnacle Marine and Abo Shoten ink MoU for B100 trial in Singapore

Singapore-based shipbuilding firm Pinnacle Marine on Wednesday (13 November) said it signed a Memorandum of Understanding (MOU) with Abo Shoten, Ltd. to launch a collaborative research project centred on a full biodiesel (B100) trial.

Pinnacle will carry out a 1,000-hour B100 biodiesel trial on a 16-metre aluminium harbour craft within Singapore’s port waters. Other partners are NTU’s Maritime Energy & Sustainable Development Centre of Excellence (MESD), Weichai Singapore Pte Ltd, and China Classification Society.

“As part of the agreement, Abo Shoten will contribute funding to support the construction and operational expenses of the trial vessel,” Pinnacle said in a social media post. 

“This MOU aligns with Abo Shoten’s Sustainable Development Goals, which emphasise sustainable practices, maritime decarbonisation, and environmental stewardship - principles that closely align with Pinnacle’s commitment to sustainability.”

The MOU was formally signed by the CEOs, Mr. Ren Wada of Abo Shoten and Mr. Fabian Lim of Pinnacle Marine.

“We look forward to continued collaboration with our partner in advancing maritime decarbonisation, including the construction, delivery, and successful operation of this research harbour craft powered by B100 biodiesel in our port waters,” the firm added.

Manifold Times previously reported Pinnacle signing a Research Collaboration Agreement with NTU Maritime Energy & Sustainable Development Centre of Excellence (MESD), Weichai Singapore Pte Ltd, and the China Classification Society.

Related: Biodiesel sea trial to be conducted on harbour craft in Singapore

 

Photo credit: Pinnacle Marine
Published: 14 November, 2024

Continue Reading

Ammonia

KR and partners to develop safety guidelines for ship-to-ship ammonia bunkering

KR, HD KSOE, HD HHI, KSS Line, and Liberian Registry will work together to develop standardised safety procedures that will set international benchmarks for ship-to-ship ammonia bunkering.

Admin

Published

on

By

KR and partners to develop safety guidelines for ship-to-ship ammonia bunkering

Classification society Korean Register (KR) on Wednesday (13 November) said it has formed a landmark partnership to develop the safety guidelines for ship-to-ship ammonia bunkering through a Memorandum of Understanding (MoU) with HD Korea Shipbuilding & Offshore Engineering (HD KSOE), HD Hyundai Heavy Industries (HD HHI), KSS Line, and the Liberian Registry.

As the demand for ammonia-fuelled vessels rises, the partnership aims to establish robust safety standards for STS ammonia bunkering, an efficient method for supplying fuel to ammonia-fuelled vessels. 

“The safe bunkering of alternative fuels, like ammonia, requires rigorous risk assessment and the establishment of controlled zones,” KR said in a statement. 

“While standards for LNG and methanol bunkering have already been defined through various international industry standards, ammonia currently lacks relevant guidelines, highlighting the urgent need for the partnership’s research.”

To address this industry need, the five organisations involved will work together to develop standardised safety procedures that will set international benchmarks for ship-to-ship ammonia bunkering.

As part of the initiative, HD KSOE will perform risk assessments aligned with international industry standards, while HD HHI and KSS Line will utilise their expertise and experience in alternative-fuel vessels and ammonia carriers to evaluate controlled zones and safety procedures for ammonia STS bunkering. 

KR will verify the compliance of these safety procedures and issue an Approval in Principle (AIP) certificate. The Liberian Registry, overseeing the world’s largest registered fleet, will further review the validity of these safety procedures.

KIM Yeontae, Executive Vice President of KR’s technical division, said: “With the expected rise in ammonia bunkering demand driven by the construction of more ammonia-fueled vessels, this collaborative effort to establish safety standards is highly significant.”

“Through this partnership, KR is committed to advancing ammonia fuel technology and supporting the industry’s decarbonisation efforts.”

KIM Jungsik, Managing Director of the Korea Office at the Liberian Registry, said, “Just as we observed with the initial adoption of LNG STS bunkering, it is critical to establish regulations and procedures for ammonia as well.”

“Our Innovation and Energy Transition team will thoroughly review the safety protocols and support the development of international standards.”

 

Photo credit: Korean Register
Published: 14 November, 2024

Continue Reading

Bunker Fuel

Hercules Tanker Management plans fleet expansion with new chemical bunker tankers

Firm plans to add up to 10 IMO II Chemical Tankers that will have the ability to supply up to 100% biofuel and all forms of methanol and feature diesel-electric and battery-ready power units.

Admin

Published

on

By

Hercules Tanker Management plans fleet expansion with new chemical bunker tankers

Hercules Tanker Management (HTM) on Tuesday (12 November) announced plans to further expand and renew its fleet with six new vessels, and the option to build an additional four, set to be agreed later this year. 

Following last month’s announcement of the construction of four new tankers, HTM, the new shipping venture launched by John A. Bassadone, founder and CEO of independent marine fuel supplier Peninsula, is now adding a further 10 ‘ultra-spec’ vessels, in a 6+4 deal, with the first expected to be delivered in 2026. 

The 7,700 DWT IMO II Chemical Tankers will be sister ships to the four vessels announced previously, and are also being constructed in the Jiangmen Hangtong shipyard in China.

The vessels are described as ‘ultra-spec’ due to their flexible, sustainable design, which aims to minimise emissions.

All vessels will have the ability to supply up to 100% biofuel, all forms of methanol and feature diesel-electric and battery-ready power units, which, combined with advanced hull and propeller design, will reduce emissions by around 20% compared to older conventional barges.

John A. Bassadone, Founder and CEO Hercules Tanker Management and Peninsula, said: “The order of these new vessels marks another important milestone for HTM as we continue expanding and renewing our fleet, closely aligned with the needs of both HTM’s and Peninsula’s customer base.”

“We remain committed to the supply of conventional fuels, but our new assets will achieve this with lower emissions. Equally we anticipate an evolving alternative fuels market, in which we will play a leading role with specialist supply assets.”

Related: Peninsula to time-charter four tanker newbuildings from HTM
Related: Peninsula founder launches shipping firm Hercules Tanker Management
Related: Hercules Tanker Management orders LNG bunkering vessel from Hyundai Mipo

 

Photo credit: Hercules Tanker Management
Published: 14 November, 2024

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

OUR INDUSTRY PARTNERS

  • SEAOIL 3+5 GIF
  • 102Meth Logo GIF copy
  • Singfar advertisement final
  • HL 2022 adv v1
  • Triton Bunkering advertisement v2


  • E Marine logo
  • PSP Marine logo
  • MFA logo v2
  • Mokara Final
  • 300 300
  • Cathay Marine Fuel Oil Trading logo
  • Synergy Asia Bunkering logo MT
  • pro liquid
  • Auramarine 01
  • Kenoil
  • Headway Manifold
  • Advert Shipping Manifold resized1
  • VPS 2021 advertisement
  • 400x330 v2 copy

Trending