Ship owners are postponing or cancelling the installation of scrubbers as the lockdown of economies due to the COVID-19 pandemic reduces financial cash flow, reports Reuters.
The global oil price crash has also intensely narrowed the differential between low sulphur and high sulphur bunker fuel from USD 300 in January to as low as USD 40 a tonne to date.
This would significantly increase the pay back time on the investment made by companies to retrofit scrubbers on their ships.
Norwegian shipping firm Wallenius Wilhemsen have reportedly cancelled scrubbers for nine ships and postponed an additional eight until later this year or 2021.
Frontline said it estimates a positive cash impact of approximately USD 7.6 million in 2020 resulting from these deferrals
Photo credit: Manifold Times
Published: 15 June, 2020
Webinar will offer delegates insights on the prevention of operational issues when using VLSFOs, along with an update on biofuels and bunker fuel quality trends for 2021 and its forecast for the current year.
Heating VLSFOs to prevent cold flow issues causes issues related to distillate ageing, and there is a gentle balance to be maintained when handling the product.
Research into n-paraffin distribution of VLSFOs has shown that they not only differ from MGO, but significantly differ from each other as well, states bulletin.
Bunker Holding and Dan-Bunkering have decided not to appeal the city court ruling in the case where the companies were on trial for breaching EU sanctions against Syria, states USTC.
Poll shows market participants think Singapore’s future as a bunkering hub in the near term will be impacted most by growth in alternative bunker fuels and intensifying competition from other ports in Asia.
‘We will now take the necessary time to consider and evaluate the verdict and the premises of the verdict thoroughly before making any decision of whether to appeal to a higher court,’ informs company.