Latest figures from classification society DNV’s Alternative Fuels Insight (AFI) platform saw a total of 17 new orders for alternative fuelled vessels were placed in September 2024. 

DNV said LNG was the biggest driver, accounting for nine vessels, with most of these coming from the container segment. The remaining eight orders were for methanol fuelled vessels.

Although it was a relatively slow month for alternative fuelled vessel orders, it follows the two strongest months of the year in July and August, where 81 and 95 new orders were placed. 

“In both months, LNG was the main fuel of choice, accounting for 53 and 55 new orders respectively.  Order uptake continues to be dominated by the container segment, which accounted for around two-thirds of all orders in the third quarter of 2024,” it said. 

Overall, the steady momentum in the alternative fuelled orderbook remains. A total of 370 alternative fuelled vessels were ordered in the first three quarters of 2024, representing year-on-year growth of 24%.

Jason Stefanatos, Global Decarbonization Director at DNV Maritime, said: “Despite a slow month in September, a broader view confirms that the momentum in the new order market towards alternative fuelled vessels remains strong.

“LNG is clearly the headline story since the summer, accounting for around 60% of all alternative fuelled new orders in the third quarter mainly thanks to a strong uptake in the container segment.

“Although 49 new orders for methanol fuelled vessels were registered in the third quarter, only eight of these were placed in September, demonstrating a slight stagnation.”

 

Photo credit: DNV
Published: 3 October, 2024 

CPG Bunkering on Monday (30 September) said it signed an extension to their bunkering operating agreement with Maputo Port Development Company (MPDC). 

As part of this agreement, CPG Bunkering has agreed to deploy an additional bunker tanker, CPG Alma, to the Port of Maputo in addition to its existing bunker tanker CPG Alix.

“With two bunker barges operating at the port of Maputo, the expanded service will be able to cater for reliable at-berth supplies during cargo operations and an increasing volume of bunker-only calls at anchorage,” CPG Bunkering said in a social media post. 

Signed on 26 September, the extension to the exclusive agreement between the parties covers all grades of marine fuels, lubricants and ship-to-ship transfer services. 

Furthermore, during the extension period, CPG Bunkering has agreed to evaluate the possible supply of alternative bunker fuels such as biofuels, LNG, methanol and ammonia at the port of Maputo. 

Both CPG Alma (IMO 9326677) and CPG Alix (IMO 9418406) are presently in the Port of Maputo and have commenced the provision of this service.

 

Photo credit: CPG Bunkering
Published: 1 October, 2024

Once a week, bunker intelligence platform ENGINE will publish a snapshot of alternative and conventional bunker fuel prices in the world’s two biggest bunkering hubs. The following is the latest snapshot:

30 September 2024

• VLSFO availability remains tight in Singapore
• LNG prices soar above VLSFO and LSMGO
• Dutch HBE rebates become more attractive

LNG bunker prices have risen in both Singapore and Rotterdam and moved to wider premiums over conventional fuels.

Rotterdam's LNG premium over LSMGO has shot up from $5/mt to $35/mt, and $22-28/mt with estimated EU Allowances (EUAs) included in the prices.

LNG bunker suppliers in the ARA have been seeing some switching from LNG to conventional fuels lately, especially for smaller stems.

In Singapore, LNG's premium over its LSMGO has widened by $21/mt to $88/mt without estimated EUAs, and to $81/mt with.

Rotterdam’s B24-VLSFO HBE remains at a $63/mt price discount to its B24-LSMGO HBE. In Singapore, B24-VLSFO UCOME is only $14/mt cheaper than B24-LSMGO UCOME.

VLSFO

Rotterdam’s VLSFO has been unchanged in the past week despite a $2.41/bbl ($18/mt) decline in front-month Brent futures.

Prompt availability of VLSFO is still good in Rotterdam, a trader told ENGINE. Demand for the grade has been muted, a source added. These countering factors seem to have kept prices stable without significant movements in either direction.

Singapore’s VLSFO benchmark has also remained rather steady, with only a $5/mt decline amid persistently tight availability.

Biofuels

Rotterdam’s B24-VLSFO HBE and B24-LSMGO HBE prices have declined by $8-9/mt in the past week, partly because of a $15/mt drop in the underlying PRIMA POMEME CIF ARA price.

The estimated Dutch HBE rebate for B30-VLSFO HBE has now risen to $90/mt, a level last seen in April. This makes POMEME-based biofuel blends even more attractive in Dutch ports as these blends qualify for Dutch advanced HBE rebates.

Singapore’s B24-VLSFO UCOME price has shed $9/mt and its B24-LSMGO UCOME price has declined by a greater $13/mt, amid a drop in the underlying UCOME FOB China price.

Despite a falling UCOME FOB China price, buying interest has been tepid. “The Chinese waste-based biodiesel market declined on Friday, as fresh offers indicated faltering confidence amongst sellers, especially as overseas demand remains limited lately,” PRIMA said.

LNG

Rotterdam's VLSFO-equivalent LNG bunker price has soared by $29/mt in the past week.

Europe's gas market is facing supply concerns due to planned outages in Norway and maintenance at Medgaz, a key gas pipeline between Algeria and Spain. Medgaz has a capacity of 10.16 billion cbm/year.

Singapore's LNG bunker price has increased by $10/mt. This increase has been driven by a higher NYMEX Japan/Korea Marker (JKM) price.

Asia's gas inventories are under pressure from demand for air conditioning in the region, though spot buying has been limited. Japan's power company Jera has reportedly secured spot deliveries for the upcoming winter months, Rystad Energy added.

By Konica Bhatt

 

Photo credit and source: ENGINE
Published: 1 October, 2024