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FuelTrust: Early warning is the best protection against contaminated bunkers

Digital early warning system – combining AI and blockchain technologies – could have helped reduce risks in Singapore bunker contamination case, says Jonathan Arneault, CEO of FuelTrust.

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In an exclusive article shared with Manifold Times, Jonathan Arneault, CEO of FuelTrust, a startup company using blockchain and AI to trace the provenance of marine fuels, shares on how a digital early warning system can help protect against contaminated bunkers and warn buyers and suppliers of possible risks before the fuel is bunkered.

The Singapore contamination earlier this year affected hundreds of ships, caused millions of dollar in damages and – like the Houston fuel contamination in 2018 – will most likey result in legal actions for year to come. 

The cause of this disruption has been attributed to a batch of high sulphur fuel oil, containing unacceptable concentration levels of chlorinated organic compounds. Unfortunately current ISO 8217 testing methods are not enough to have detected the contaminates in either the Singapore or Houston incidents. 

FuelTrust: Early warning is the best protection against contaminated bunkers

Far reaching costs

Beyond the price of the fuel itself, widespread contamination comes at a big cost. Insurance claims for disruption to cargo delivery and damage to machinery alone could easily run to hundreds of millions of dollars. There are also the costs that shipowners and operators must bear for repairs, vessels out of operation while being fixed and potential penalties for failing to meet contractual agreements. Moreover, a single batch of bad fuel can cause long-term reputational damage to the fuel suppliers involved.

Ship operators are typically advised to avoid taking on contaminated bunkers by selecting suppliers carefully, performing additional tests on bunkers and checking the details of bunker supply contracts in case there is a time limit for giving notice of quality issues. This is good advice for helping to mitigate risks, but it is far from foolproof, and it does not take into account the commercial time pressures operators face. 

Tracking and analysing the transactions that a batch of fuel goes through to reach the bunker terminal using digital technology can help protect against these major risks, and warn buyers and suppliers of possible risks before the fuel is bunkered. This digital early warning system can also fit in with the commercial timelines of vessel operators and fuel suppliers alike.

Shared data and insight

Access to the content, history and expected performance of bunker fuel prior to sale or bunkering, allows suppliers and shipowners to reduce their operational and financial risks. Suppliers, in particular, can spread these benefits across their customers. In Singapore, a GCMS (Gas chromatography–mass spectrometry) test would have revealed the presence of the organic chlorides causing the fuel contamination. A digital early warning system, combining AI and blockchain technologies, could have helped reduce the risks in this case, by providing a record of the GCMS lab analysis of the supplier storage fuel tanks.

Importantly, these digital technologies work together. Blockchain technology is used to establish a digital record of a batch of fuel throughout its lifecycle, and to allow suppliers to grant data access only to parties that need the information. Recording information using blockchain technology provides a single source of truth for the fuel lifecycle. AI technology is used to analyse the data held in the blockchain and to identify chemical risk, providing an early warning to ship owners and bunker suppliers based on these insights. 

Recording data from the fuel lifecycle using blockchain-based technology provides data security through encryption and permissioned transparency, allowing suppliers to only share this information with their commercial partners – building transparency and trust, but not at the cost of competitiveness. 

Digital technology also allows operators and suppliers to receive alerts when AI algorithms detect anomalies or non-compliant fuels before they are bunkered, saving suppliers and shipowners from reputational, operational and commercial damage. Using AI and blockchain technologies requires no hardware or manual resources, meaning these insights can be made available at very low cost – just a few pennies per barrel.

While the scope of the recent incidents in Singapore again brought attention to the persistent, global issue of fuel contamination, fuel quality problems cause debunkering issues every month in ports around the world – most of which never make the news. At FuelTrust, we have developed a digital solution that delivers trusted transparency for the bunker industry, and provides the early warning indicators to alleviate the types of fuel contamination issues that cost the sector hundreds of millions of dollars. 

 

Photo credit: FuelTrust
Published: 15 September, 2022

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Milestone

China: Xiamen port records 16.37% jump in bunker sales volume in 1H2025

Total of 416 international ships, an increase of 6.12% on year, received marine fuel in bunkering operations during the same period.

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Xiamen port bunkering

The Port of Xiamen recorded bonded bunkering volume of 274,500 metric tonnes (mt) in the first half (1H) of 2025, representing a jump of 16.37% on year, reported Xiamen Daily on Thursday (10 July).

A total 416 international ships, an increase of 6.12% on year, received marine fuel in bunkering operations during the same period.

The report noted Xiamen Port to be increasing bunker players while optimising its bonded marine fuel supply chain system in recent years.

Before February 2025, there were only two bonded bunker fuel suppliers with national licenses operating at Xiamen Port.

The port welcomed Xiamen Kunlun Fuel Oil [厦门昆仑燃料油] as a new marine fuel supplier on 1 February; the company was awarded the first Xiamen local license by both Xiamen Customs and the local government.

Followingly, Xiamen Kunlun Fuel Oil performed its first bonded bunkering operation at Xiamen port on 26 February.

Xiamen Port earlier launched a pilot programme called “two warehouse functions superposition” which combines the functions of both bonded oil storage warehouse and export supervision warehouse into one unit.

Using just a single oil storage tank allows bunker fuel suppliers at Xiamen to save on renting tanks, reduce time spent on tank unloading, improve utilisation rates, and shorten bunker delivery times.

Related: PetroChina subsidiary wins first bonded bunkering licence in Xiamen

 

Photo credit: Xiamen Port Authority, China
Published: 11 July 2025

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Newbuilding

China: Steel cutting ceremony for methanol bunkering tanker “Lucia Cosulich” held

A steel cutting ceremony was held for the 7,999 DWT IMO Type 2 chemical bunker tanker at Taizhou Maple Leaf Shipyard, China.

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Lucia Cosulich

Fratelli Cosulich Marine Energy on Wednesday (9 July) announced the steel cutting ceremony of Lucia Cosulich, a 7,999 DWT IMO Type 2 chemical bunker tanker – the second vessel in a series of four – at Taizhou Maple Leaf Shipyard, China.

“This milestone marks another bold step in our Marine Energy business unit’s commitment to clean fuel readiness and operational excellence,” said the company.

The vessel will be fully methanol-ready, capable of carrying, burning, and bunkering methanol safely and efficiently, with full regulatory compliance standards.

It will feature an integrated Nitrogen Generator System, ensuring safe and inert tank operations at all times. Equipped with advanced safety systems specifically engineered for low-flashpoint fuel handling, the vessel sets a new benchmark in future fuel readiness.

A complete methanol bunkering setup will come as standard, including the Quick Connect/Disconnect Couplings (QCDC), dedicated transfer lines and comprehensive monitoring and control systems to ensure efficient and secure fuel handling.

“Built on state-of-the-art architecture, she is designed not only to meet but to exceed the evolving demands of tomorrow’s energy supply chain,” noted the firm.

Lucia Cosulich embodies our vision to lead the transition within the maritime fuel landscape.”

 

Photo credit: Fratelli Cosulich
Published: 11 July 2025

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Financial Result

Glander International Bunkering reports EBT of USD 22 million for FY2025

‘This fiscal year, we focused on staying close to our clients, while adapting to a fast-changing market,’ says CEO Carsten Ladekjær.

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Glander Result 2024 2025 MT

Global bunker trading and energy solutions provider Glander International Bunkering on Thursday (10 July) posted financial results for the year ended on April 30, 2025 – reflecting stable performance amid ongoing changes in global maritime and regulations.

The company reports a turnover of USD 3 billion and earnings before tax (EBT) of USD 22 million, including a non-recurring item.

“These results demonstrate consistent performance compared to the previous fiscal year, as the company continues to focus on conventional fuels, new fuels, risk management and extensive global reach,” CFO David Varghese comments.

Navigating change in maritime

Throughout the 2024-25 fiscal year, the bunker industry faced critical challenges including the escalation of the US-China trade conflict, ongoing Red Sea and Suez Canal security risks, and the first full-year impact of the EU Emissions Trading System (EU ETS) for maritime shipping.

Compliance with IMO CII measures and the uptake of new fuel products also influenced bunker demand patterns and pricing strategies.

“This fiscal year, we focused on staying close to our clients, while adapting to a fast-changing market,” says CEO Carsten Ladekjær. “In a time of uncertainty and transformation, we focused on staying agile, supporting customers with conventional fuels, and laying the groundwork for new fuel solutions.”

New fuels and other key achievements

Glander International Bunkering made significant progress in 2024-25: completing bioLNG deliveries, expanding biofuel supply, and launching a compliance calculator to help customers navigate FuelEU Maritime. Compared to the previous fiscal year, the company achieved a 71% increase in biofuel volume and 85% increase in LNG volume, along with the sale of nearly 100,000 EUAs.

Other achievements throughout the year include the renewal of its ISCC certifications, membership in the Smart Freight Centre, and Great Place to Work certification for the 7th consecutive year.

Looking ahead, Ladekjær says, “We will do what we have always done since 1961– adapt to new changes and be there for our clients.” He added that Glander International Bunkering is prepared for the next phase of change in global shipping, as decarbonisation, regulatory expansion and geopolitical developments continue to shape the bunker fuel market.

 

Photo credit: Glander International Bunkering
Published: 11 July 2025

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