Crude oil tanker firm Euronav on Thursday (6 August) published its unaudited financial results for Q2 and 1H 2020 which ended 30 June which reported a profit of USD 259.6 million in Q2, up from USD 225.6 million in Q1.
“Tanker markets continued to deliver strong earnings throughout Q2 and into the early part of the third quarter,” said Hugo De Stoop, CEO of Euronav.
“Floating storage requirements dissipated sooner than expected, pivoting the tanker market to a transition phase ahead of our prior forecast.
“With our sector low leverage, supported by over USD 1 billion liquidity Euronav is very well positioned to navigate challenges and seize opportunities as the market transitions to a lower crude supply and demand dynamic.”
During 2019, Euronav said it purchased 420,000 metric tonnes of compliant fuel and stored it on its vessel, the Oceania (2003 – 441,561 dwt) ahead of the new IMO 2020 fuel regulation.
In view of the significant drop in oil and fuel oil price owing to COVID-19, the Company has actively managed its fuel position by procuring its fuel requirement from both the open market and its stored compliant fuel.
In Q1 2020, the company had to write down the value of the 0.5% sulphur fuel it had in storage “significantly below the acquisition cost” after the oil market collapsed.
The quantity onboard the Oceania on 30 June was approximately 275,000 metric tonnes of compliant fuel and the marked-to-market value was USD -32 million, a much improved position from the last quarter.
The Company concluded that no write down is required at this time but will continue to assess its position each quarter in full compliance with the accounting policy.
Photo credit: Euronav
Published: 7 August, 2020
The top three positive movers in the 2020 bunker supplier list are Hong Lam Fuels Pte Ltd (+13); Chevron Singapore Pte Ltd (+12); and SK Energy International (+8), according to MPA list.
‘We will operate in the Singapore bunkering market from the Tokyo, with support from local staff at Sumitomo Corporation Singapore,’ source tells Manifold Times.
Changes include abolishing advance declaration of bunkers as dangerous cargo, reducing pilotage fees on vessels receiving bunkers, and a ‘whitelist’ system for bunker tankers.
Claim relates to deliveries of MGO to the vessels Pacific Diligence, Pacific Valkyrie, Pacific Defiance, Crest Alpha 1, and Pacific Warlock between March 2020 to April 2020.
3,490 mt of LSFO from Itochu Enex was lifted at Universal Terminal; the same bunker stem was bought by Global Marine Logistics and delivered by bunker tanker Juma to receiving vessel Kirana Nawa.
Representatives of Veritas Petroleum Services, Maersk, INTERTANKO, ElbOil Singapore, and SDE International provide insight from their respective fields of expertise on what lies ahead.