Business

FuelTrust: Latest bunkering contamination at Singapore validates need for early warning system

‘We are seeing another fuel crisis similar to Houston in 2018,’ said Jonathan Arneault, Co-Founder of FuelTrust, who notes early warning systems to alleviate risk exist today.

Published

3 years ago

April 8, 2022

Admin

The latest fuel contamination outbreak to hit the bunkering market, this time in Singapore, should be a wake-up call to the danger of discovering quality issues only after fuel is onboard vessels, warns marine fuel tracking solutions provider FuelTrust.

FuelTrust estimates the scale of this contamination outbreak to have spread to dozens of vessels. The disruption is widespread, with many vessels suffering blackouts, engine damage, and the need to debunker. Given the additional disruption to cargo delivery, insurance claims could easily run in the hundreds of millions of dollars.

“We are seeing another fuel crisis similar to Houston in 2018,” said Jonathan Arneault, Co-Founder of FuelTrust.

“Four years later, the lawsuits from Houston are still ongoing, and we’re just realising the financial impact that a single batch of bad fuel can have on the industry. This recent incident is shining a light on a persistent global issue. Fuel quality problems cause debunkering issues every month in ports around the world, most of which never make the news.”

Bunkering remains a fragmented supply chain, full of ‘unknown unknowns’. Contaminant issues may not be picked up by today’s required testing.

The lack of digital technology to drive transparency and traceability across the industry means greater risk of fuel quality, quantity, compatibility, and fraud issues. Early warning systems to alleviate risk exist today, at a cost that works out to cents on the barrel.

FuelTrust’s Bunker Insights uses artificial intelligence and blockchain technologies to establish a digital record of fuel transactions, analyse and identify chemical risks and provide an early warning to ship owners and bunker suppliers based on these insights.

FuelTrust’s AI Digital Chemist™ allows users to know where a batch of fuel came from, what changes happened to it over its lifecycle, how it will operate in a particular engine under specific conditions and enables us to make extremely fine predictions about what happens during combustion.

“We have analysed more than 390 million barrels of fuel, looking at their exact chemical make-up.” Arneault continues.

“FuelTrust gives suppliers and shipowners the ability to know the content, history, and expected performance of fuel prior to sale or bunkering. This could reduce operational and financial risk across the industry.

“In this latest instance, a GCMS (Gas chromatography–mass spectrometry) test would have revealed the presence of the organic chlorides contaminating the fuel. FuelTrust keeps a GCMS lab analysis of the supplier storage fuel tanks, in a secured blockchain record – and provides alerts when our AI detects anomalies or non-compliant fuels before they are bunkered.”

Mark Barton, Business Development Manager at MHG Insurance and a FuelTrust advisor, confirmed the scale of the disruption to shipping from contaminated fuel, and echoed the call for an early warning system.

“What is yet to be seen here is the true scale of the contamination, which has already spread to dozens of vessels. Damage to these vessels not only means financial impact in terms of repair and time at sea, but also costs associated with failure to meet contractual agreements. We will likely see delays lasting weeks, but legal challenges could go on for years.”

“This underlines the need for better transparency and visibility in the marine fuels supply chain – and for a method of giving shipowners and bunker suppliers advance warning of problems with the fuel. The industry cannot afford to continue finding out about this kind of contamination only once the damage is done, which is why solutions like FuelTrust’s are so valuable in our fight for a safer, greener and more trustworthy marine fuels sector.”

Dr. Ram Vis, owner of Viswa Labs, echoed the call to use technology to better document and analyze risk in the supply chain.

“The current bunker quality problems give a feeling of déjà vu from an organic chlorides contamination in 2001, and more recently what we saw in Houston four years ago. While the industry has taken steps to safeguard the fuel supply chain, how do we prevent this from ever happening again in the bunker fuel industry?”

“The most effective solution is to use technology, reducing reliance on manual procedures wherever we can. There are plentiful technologies available today which can facilitate that. We can use blockchain to create a secure record of analysis, so that any gaps can be instantly identified, and the point of contamination or adulteration can be captured. In addition to blockchain, machine learning will capture the changing trends in the fuel quality relative to the bunkering port and supplier. If applied correctly, machine learning along with blockchain should prevent a recurrence of such incidents for decades to come.”

Dr. Vis goes on to say, “The last time this happened in Singapore, the MPA took very stringent action, and it is a tribute to their constant vigilance that, for almost 21 years, there has not been any major contagion there.”

Photo credit: Manifold Times
Published: 8 April, 2022

Alternative Fuels

Singapore: MPA issues circular on resolutions adopted at IMO MSC 109

New circular informs shipping community of the resolutions, including on use of ammonia cargo as bunker fuel, and urges the shipping community to prepare for the implementation of these resolutions.

Published

3 hours ago

March 18, 2025

Admin

The Maritime and Port Authority of Singapore (MPA) on Monday (17 March) issued Shipping Circular No. 2 of 2025 regarding resolutions adopted by the 109th session of the Maritime Safety Committee (MSC 109) of the International Maritime Organization (IMO), which was held from 2 to 6 December 2024:

This circular informs the shipping community of the resolutions adopted by MSC 109 and urges the shipping community to prepare for the implementation of these resolutions.

MSC 109 adopted the following mandatory resolutions:

Resolution MSC.566(109) – Amendments to the International Code for the Construction and Equipment of Ships Carrying Liquefied Gases in Bulk (IGC Code)

This resolution adopts amendments to Chapter 16 of the IGC Code, mainly to allow the use of ammonia cargo as fuel. The amendments will enter into force on 01 July 2026 and will be given effect through the Merchant Shipping (Safety Convention) Regulations.

Resolution MSC.567(109) – Amendments to the International Code of Safety for Ships using Gases or other Low-flashpoint Fuels (IGF Code)

This resolution adopts amendments to IGF Code regarding ship design and arrangements; general pipe design; safety functions of the gas supply system; fire protection; hazardous area zones; and ventilation requirements. The amendments will enter into force on 01 January 2028 and will be given effect through the Merchant Shipping (Safety Convention) Regulations.

MSC 109 also adopted the following resolutions:

Resolution MSC.568(109) – Amendments to the Revised recommendation on testing of life-saving appliances (resolution MSC.81(70))

This resolution adopts amendments to Part 1- Prototype Test for Life-saving Appliances, for self-righting test requirements of totally enclosed lifeboats, under paragraph 6.14.1.1 of the Revised recommendation on testing of life-saving appliances (resolution MSC.81(70)).

Resolution MSC.569(109) – Performance standards for the reception of maritime safety information and search and rescue related information by MF and HF digital navigational data (NAVDAT) system

This resolution adopts the Performance standards for the reception of maritime safety information and search and rescue related information by MF and HF digital NAVDAT system.

Resolution MSC.509(105)/REV.1 – Provision of radio services for the Global Maritime Distress and Safety System (GMDSS)

This resolution adopts the revised Recommendation on provision of radio services for the GMDSS, the Criteria for use when providing shore-based digital selective calling (DSC) facilities for use in the GMDSS, the Criteria for establishing GMDSS sea areas, the Criteria for use when providing a NAVTEX service and the Criteria for use when providing a NAVDAT service, set out in annexes 1 to 5, respectively, to the resolution. This resolution revokes resolution MSC.509(105).

Resolution MSC.570(109) – Performance standards for a universal shipborne Automatic Identification System (AIS)

This resolution adopts the revised Performance standards for a universal shipborne AIS, recognising the need for measures to prevent unauthorised entry or tampering of the ship's identity information in shipborne AIS.

Any queries relating to this circular should be directed to MPA Shipping Division via email at [email protected].

Photo credit: Maritime and Port Authority of Singapore
Published: 18 March, 2025

Business

Singapore-based AET appoints Nick Potter as new President and CEO

Potter, who assumes the CEO role from Zahid Osman, also assumed the role of Vice President, Petroleum & Products at MISC Group, joining the MISC Executive Leadership Team.

Published

3 hours ago

March 18, 2025

Admin

Singapore-based AET appoints Nick Potter as new President and CEO

Singapore-headquartered AET, MISC’s petroleum arm, on Monday (17 March) announced the appointment of Nick Potter as the new President and Chief Executive Officer (CEO) of the company.

Potter also assumed the role of Vice President, Petroleum & Products at MISC Group, joining the MISC Executive Leadership Team.

With over 35 years of experience in the maritime and energy sectors, Potter has led commercial, technical, and operational teams across the globe. He previously served as Head of Shipping and Maritime for Asia, Pacific, and the Middle East at Shell, and before that, as Global Head of Maritime at BG Group.

His career began at sea as an Engineering Officer, before progressing through various roles at Shell and BG, giving him deep expertise in maritime logistics and the tanker business.

Beyond his leadership roles, Potter is a strong advocate for energy transition, maritime talent development, and seafarer welfare. He has actively contributed to key industry bodies, including OCIMF, the Singapore Maritime Foundation, and the International Chamber of Shipping's Clean Energy Marine Hubs Task Force.

Outgoing CEO Zahid Osman welcomed Potter in a symbolic leadership handover at AET’s headquarters, marking a new chapter in our journey.

“As Zahid takes on his expanded leadership role as President & Group CEO at MISC, we look forward to continuing our close collaboration as part of MISC Group,” AET added.

Photo credit: AET
Published: 18 March, 2025

Alternative Fuels

AAL Shipping names methanol-ready multipurpose heavy lift vessel in China

Singapore-based AAL Shipping says it held a naming ceremony for “AAL Dubai” – a multipurpose heavy lift vessel that is methanol-ready – at CSSC Huangpu-Wenchong Shipyard in Guangzhou.

Published

3 hours ago

March 18, 2025

Admin

AAL Shipping names methanol-ready multipurpose heavy lift vessel in China

Singapore-headquartered project heavy lift carrier AAL Shipping (AAL) on Thursday (13 March) said it held a formal naming ceremony for its fifth Super B-Class vessel, AAL Dubai.

The 32,000 dwt AAL Dubai – a multipurpose heavy lift vessel that is methanol-ready – was officially named on March 12 at the CSSC Huangpu-Wenchong Shipyard in Guangzhou, China.

The AAL Dubai is engineered to transport a vast array of cargo, including heavy lift project equipment, breakbulk, and dry bulk, all on a single voyage. With a combined lifting capacity of 700 tonnes, this vessel is designed to offer high efficiency, cargo flexibility, and economies of scale to shippers worldwide.

The vessel will now embark on its maiden voyage, joining sister vessels AAL Limassol, AAL Hamburg, AAL Houston, and AAL Antwerp in serving project cargo customers across Asia, Europe, the Middle East, and the Americas.

“We are now over the halfway mark with our Super B-Class deliveries, and those already in service are exceeding our expectations,” said Liew Teck Liong, Chief Financial Officer at AAL.

“With these vessels, we have achieved both company and industry firsts, and we look forward to redefining what a heavy lift, multipurpose vessel can accomplish as we deploy them for complex cargo challenges.”

Later this year, AAL will take delivery of the AAL Dammam, which will be shortly followed by the AAL Newcastle and AAL Mumbai that have an increased maximum heavy lift capability of 800 tonnes.

Photo credit: AAL Shipping
Published: 18 March, 2025