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SIBCON 2020: Deep dive finds out how bunkering value chain is coping with industry issues post Covid-19

Representatives of Oldendorff Carriers, Hafnia, TMFGS, and Sing Fuels provide their perspectives on scrubbers, bunker demand, market dynamics and more.

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Deep dive MT

Several stakeholders in the bunkering value chain provided information on how their respective businesses were coping this year during a deep dive session at the 21st edition of Singapore International Bunkering Conference, also known as SIBCON 2020, on Tuesday (6 October).

Unni Einemo, Director & IMO Representative of the International Bunker Industry Association (IBIA), who was moderating the session SIBCON Deep Dive: Managing the Strategic and Operational Impact to Industry Post COVID-19 asked panellists how they expect demand for bunkers to be in the next six to 12 months.

 She also asked the panel about how oil market dynamics caused by Covid-19 had influenced the choice of IMO 2020 compliant fuels in terms of price, availability and quality, including the use of scrubbers with HSFO, Covid-19 operational impacts, counterparty credit risk, and more.

Oldendorff Carriers 

“We have always been working on it and we knew the challenge when we knew we would be going for scrubbers,” said Jens Maul Jorgensen, Director of Bunkers at Oldendorff Carriers.

Jorgensen noted the German bulk carrier firm has been training its crew to operate scrubbers since more than a year ago and so far the company has not encountered any issues handling the equipment.

He added the company had already secured “a lot” of bunker contracts for high sulphur bunker fuel around the world, with the main bunkering port being Singapore.

In August 2019, Oldendorff Carriers further secured a 6,000 dwt bunker tanker dedicated to supplying its vessels with high sulphur bunker fuel at Singapore port. 

“The operation has been very successful and we will still have that for years to come. So, with good and proactive planning, there has been no issues at all with availability of high sulphur bunker fuel,” he shared.

Though the price difference between high sulphur bunkers and IMO 2020 compliant fuels has not been substantial, Jorgensen said Oldendorff still managed to produce “good savings” when looking at the whole cost of the operation.

“If you do proper planning, then you’re also saving money. And if you’ve secure good client contracts, then you don’t get hit so much. I will say this is still looking very, very positive,” he explained.

“I would say the savings are there every day.”

Hafnia

 “Our fleet and bunker pattern just didn’t really justify doing scrubbers and thereby having to source high sulphur bunker fuel. And I do acknowledge that it makes sense for certain segments to use scrubbers but for us it didn’t,” said Kasper Sørensen, Manager, Bunkers at Hafnia. 

Sørensen shared that the company saw plenty of availability of IMO 2020 compliant marine fuel at the major bunkering hubs and even at smaller ports. 

“And so I mean, availability wise it’s been quite good. And obviously, if everyone can see the economical side of things the price difference between high sulphur bunkers and its low sulphur equivalents is not huge at the moment,” he adds.

“Our strategy is to secure term contracts wherever we see opportunities, in order to create some sort of stability of the quality of the fuel that we’re getting. 

“We also introduced risk limitation and procedures in order to ensure that we weren’t putting all our eggs in one basket.” 

Sørensen gave examples and explained Hafnia does not fully stock a whole vessel with one batch of fuel, and the company is constantly monitoring the data of suppliers provided by fuel quality experts.

“I think in this period with the new fuels and in this new market you could argue it’s been a good opportunity mainly for bunkers suppliers to show their true colours and then for customers to find out what those colours really are,” he replied when asked about dealing with bunker claims.

“So it’s a chance to shine, and it’s a chance to fail. We’ve seen both approaches and luckily we’ve seen more of the ones on the positive side of things.” 

Sørensen believed it would be wise for fuel buyers to establish stronger relationships, potentially even partnerships with bunker suppliers to be on the favourable side of a bunker claim.

“A lot of the time, bunker suppliers are just one part of the chain and they have to move the claim backwards towards cargo suppliers, and maybe even refiners,” he explains. 

Total Marine Fuels Global Solutions (TMFGS)

“We have great data in Singapore because the Maritime and Port Authority of Singapore (MPA) produces the monthly bunker figures and we know bunker demand has stayed very robust in Singapore,” said Jesper Rosenkrans, Global Sales & Business Development Director at TMFGS. 

“Maybe a slight increase, but certainly not a drop. Whereas in other parts of the world we’ve seen a pretty significant decrease in demand.”

Rosenkrans notes a trend which is more likely to stay is the pickup that the company has seen in Chinese bunkering volumes.

“Depending on the estimates and the source of estimates, bunker volume at Chinese ports is probably between 10 to 15%, up this year, despite the backdrop of Covid-19,” he shares. 

“That’s a trend that we will probably see continuing, that the Zhoushan Ningbo area will remain strong. And we’re very excited that we’ve been able to enter that area together with our joint venture partner Zhejiang Energy Group, and we are already delivering bunkers through the TOTAL-ZEG JV entity, ZPMF.”

Moving forward, Rosenkrans believes Covid-19 has actually increased acceleration of interest in the newer types of marine fuels, such as liquefied natural gas (LNG) and biofuels.

“When preparing for IMO2020 we made the decision to focus on these cleaner marine fuels, and have intensified our strategic focus since,” he states. 

“There has not been a shift in our business strategy because of Covid-19. We remain fully committed to cleaner marine fuels for now and for the future.”

Sing Fuels

 “I think everybody was a little bit surprised in terms how fast things actually changed due to Covid-19,” shared Ulrich Hyldedahl Rasmussen, Vice President, Credit Risk Management at Sing Fuels.

 “We are seeing bankers and we are seeing credit insurers pulling out. So I do foresee that the liquidity in the market in the future is going to change.”

The development means everyone will be reviewing their counterparties as a counterparty three months ago might not be in the same shape as now or in another three months’ time, he notes. 

“So basically, the frequency of counterparty review is much more important now than ever before,” adds Rasmussen.

“I hope this will help drive change across the bunkering value chain for an increase in transparency.”

A series of SIBCON 2020 related articles have been earlier written by Manifold Times:

Related: SIBCON 2020: Singapore enters memorandum of cooperation on future fuels port network
Related: SIBCON 2020: Equatorial Marine Fuels provides view on local and global bunker markets post Covid-19
Related: SIBCON 2020: BIMCO Chief Shipping Analyst explains new business dynamics in bunker fuels sector
Related: Chairman of Technical Committee for Bunkering explains SS 660, TR 80; and cast an eye to the future
Related: SIBCON 2020: TR 48 reaps annual savings of at least SGD 80 million for bunkering sector
Related: SIBCON 2020: Singapore introduces new MFM bunkering standards SS 660 and TR 80
Related: SIBCON 2020: Powering Fuels of the Future, Driving towards Decarbonisation
Related: SIBCON 2020: Senior Minister highlights ‘quality resilience and sustainability’ for bunkering sector
Related: Infineum explains: ISO 8217:2017 should be viewed as a ‘minimum performance benchmark’ for VLSFOs
Related: Interview: Hafnia shares IMO 2020 preparations, promotes transparency for bunkering operations
Related: VPS: Shipowners face ‘tricky situation’ to balance VLSFO shelf life and wax appearance temperature
Related: VPS: Big data analysis reveals link between Covid-19 and spike in low flashpoint MGO off-spec cases
Related: Interview: Total Marine Fuels Global Solutions discusses sector growth, IMO 2020, and future plans
Related: SIBCON 2020: Evolution to a ‘completely different’ bunkering industry event, says organiser
Related: Singapore: SIBCON 2020 bunkering event to be hosted virtually

 

Photo credit: SIBCON 2020

Published: 9 October, 2020

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Alternative Fuels

Yang Ming orders six LNG dual-fuel, ammonia-ready containerships from Hanwha Ocean

Each of the six new vessels will have a capacity of up to 13,650 TEU and feature LNG dual-fuel propulsion and Ammonia Fuel Ready specifications.

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Yang Ming orders six LNG dual-fuel, ammonia-ready containerships from Hanwha Ocean

Taiwanese shipping firm Yang Ming Marine Transport Corporation (Yang Ming) and South Korean shipbuilder Hanwha Ocean on Wednesday (2 September) signed a shipbuilding contract for six 13,000 TEU class LNG dual-fuel container vessels. 

The contract was signed by Dr. Chuck Tsai, Chairman of Yang Ming, and Mr. Charles Kim, CEO of Hanwha Ocean. The vessels are scheduled for delivery between 2028 and 2029. 

They will complement Yang Ming’s existing fleet of 10,000+ TEU vessels and serve as key vessels on East-West services, with deployment flexibility across trade lanes connecting Asia with the East and West Coasts of North America, South America, and the Mediterranean. 

Each of the six new vessels will have a capacity of up to 13,650 TEU and feature LNG dual-fuel propulsion and Ammonia Fuel Ready specifications.

“As Yang Ming transitions toward net-zero emissions, LNG provides a relatively mature and economically viable alternative fuel solution, capable of reducing greenhouse gas emissions by approximately 20%,” the company said. 

“At the same time, ammonia can serve as a carbon-free fuel by utilising converted LNG storage facilities, while offering relatively lower conversion costs and comparatively well-developed supply chains and infrastructure. The Ammonia Fuel Ready design will therefore provide Yang Ming with greater flexibility in responding to increasingly stringent international regulations on greenhouse gas emissions.”

In addition, the vessels will be equipped with Type B LNG fuel tanks with a design pressure of 1.0 bar to enhance the safety and efficiency of LNG operations, together with a range of energy-saving technologies, including Wind Shields, Rudder Bulbs, Pre-Swirl Stators, and Shore Power Systems. Smart ship technologies and cybersecurity protection features will also be incorporated to enhance operational efficiency, safety, and reliability while effectively reducing fuel consumption and greenhouse gas emissions.

Deliveries under Yang Ming’s next-generation fleet optimization plan commenced earlier this year. By 2030, a total of 24 new vessels are expected to enter service. 

This includes 18 LNG dual-fuel vessels—comprising five 15,500 TEU, seven 16,000 TEU, and the six 13,000 TEU vessels under this contract—alongside six 8,000 TEU methanol dual-fuel-ready ships. 

 

Photo credit: Yang Ming Marine Transport
Published: 4 September, 2026

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Alternative Fuels

LR, China’s MARIC unveil tanker concept ready for three future bunker fuels

Both secured AiP for a new 114,000 DWT product and crude oil tanker designed to accommodate future conversion to LNG, methanol or ammonia.

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LR, China’s MARIC unveil tanker concept ready for three future bunker fuels

Lloyd’s Register (LR) and the Marine Design and Research Institute of China (MARIC) on Thursday (3 September) have secured Approval in Principle (AiP) for a new 114,000 DWT product and crude oil tanker designed to accommodate future conversion to LNG, methanol or ammonia.

Announced at SMM 2026, the concept addresses one of the biggest investment challenges facing shipping today: the need to develop vessels and capabilities that can support a range of alternative fuel options and pathways as technologies, infrastructure and regulations evolve.

While LNG is already a mature fuel pathway, methanol and ammonia remain at an earlier stage of development, with questions around global fuel availability, infrastructure development, economics and long-term adoption.

The 114,000 DWT tanker concept has been designed as a product and crude oil carrier that can accommodate future conversion to LNG, methanol or ammonia as technologies, regulations and fuel supply chains mature. By incorporating conversion readiness at the design stage, the concept aims to reduce future retrofit complexity and provide owners with greater confidence when planning long-term fleet investments.

The design concept was reviewed against LR’s July 2026 class rules and regulations, including requirements relating to ships using gases and other low-flashpoint fuels, alongside relevant IACS Common Structural Rules for oil tankers. Final classification and statutory approval remain subject to full compliance with all applicable rules and regulations.

Theo Kourmpelis, Global Business Director for Tankers, Lloyd’s Register, said: “Shipowners are being asked to make major investment decisions today despite continued uncertainty around which fuels will dominate in the decades ahead. Alternative fuel solutions each offer potential pathways to compliance, but fuel infrastructure, regulation and economics continue to evolve at different speeds around the world.

“Designs that preserve flexibility will be critical in helping owners manage risk while preparing for multiple future scenarios.”

Si Nan, Marine & Offshore Marketing Department Vice Director, MARIC, said: “As the industry explores different decarbonisation pathways, shipowners need vessel designs that can adapt alongside technological and regulatory developments. This concept was developed specifically to provide greater fuel flexibility and long-term resilience, allowing owners to respond to changing market requirements without being locked into a single fuel strategy.

“Receiving Approval in Principle from Lloyd’s Register is an important milestone that validates the design concept and supports its future development.”

 

Photo credit: Lloyd’s Register
Published: 4 September, 2026

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Alternative Fuels

DNV: Alternative-fuelled vessel orders hit highest monthly level since October 2024

LNG-fuelled vessels accounted for the vast majority of August activity while the strong summer performance marked a significant acceleration in ordering activity after a relatively slow start to the year.

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DNV: Alternative-fuelled vessel orders hit highest monthly level since October 2024

Latest data from classification society DNV’s Alternative Fuels Insight (AFI) platform alternative-fuelled vessel ordering was strong in August, with 52 new vessels added to the platform.

This is the highest monthly total since October 2024 and follows another active month in July, when 47 vessels were added to the database.

LNG-fuelled vessels accounted for the vast majority of August activity, with 46 orders recorded. The container segment led the way with 30 orders, while the car carrier segment contributed a further 12 LNG-fuelled vessels. In addition, four ethanol-fuelled bulk carriers and two hydrogen-powered bulk carriers were added during the month, as well as one LNG bunker vessel.

The strong summer performance marked a significant acceleration in ordering activity after a relatively slow start to the year. In total, 242 alternative-fuelled vessel orders have been placed in the first eight months of 2026, representing a 27% increase compared with the same period in 2025.

LNG remains the dominant fuel choice, accounting for 63% of all alternative-fuelled vessel orders registered so far this year. Container vessels represent the largest share of these LNG orders (59%), followed by car carriers (30%).

Jason Stefanatos, Global Decarbonization Director at DNV Maritime, said: “The past two months have been particularly strong for alternative-fuelled vessel ordering, with August recording the highest monthly total we’ve seen since October 2024. This has helped lift year-to-date orders to a level well above the same period last year.

“LNG remains the leading fuel choice, driven largely by activity in the container and car carrier segments. These sectors have been among the earliest adopters of alternative fuels, supported by predictable liner operations and increasing demand from cargo owners to reduce emissions across supply chains. 

“For many owners, LNG offers a combination of emissions reductions, fuel availability and future flexibility while the longer-term fuel landscape continues to evolve. 

“At the same time, the latest figures include orders for ethanol- and hydrogen-fuelled vessels, highlighting that owners continue to explore a range of decarbonization pathways. Different segments are making different fuel choices, but the overall level of activity demonstrates continued investment in lower-emission shipping.”

Screenshot 2026 09 04 at 12.29.26 PM Screenshot 2026 09 04 at 12.29.36 PM

 

Photo credit: DNV
Published: 4 September, 2026

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