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StormGeo: Smarter voyage decisions can boost payback amid market swings

‘In an environment of fuel price fluctuations, freight market swings, operational disruption and rising emissions costs, voyage planning can no longer remain static,’ says StormGeo’s Rolf Reksten.

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StormGeo: Voyage optimisation falls short without real-time commercial clarity

Higher bunker prices. Trade route disruption. Soaring freight rates. 

The impact of the Middle East war on global shipping has again demonstrated how geopolitical shocks can drastically affect operational planning – and why navigating market volatility is essential to optimize the commercial efficiency of voyages, according to StormGeo on Thursday (28 May). 

“Operators have to expect the unexpected and be agile in their thinking,” said StormGeo’s Commercial Lead Routing Rolf Reksten.

“In an environment of fuel price fluctuations, freight market swings, operational disruption and rising emissions costs, voyage planning can no longer remain static.

“Operational decisions – from routing and speed to arrival timing – must increasingly respond to constantly changing economic conditions, in the same way that shipping must adapt to more extreme weather patterns caused by climate change,” he explained.

Accelerating cyclicality

Shipping markets have always experienced cycles, but these are becoming more frequent and volatile, driven by geopolitical effects, macroeconomic factors, energy market shifts, supply and demand, evolving regulation and critical stockpiles in key countries.

Optimization is no longer solely determined by speed and fuel efficiency, but by diverse factors that are reshaping voyage economics – and this makes operational decision-making more complex than ever.

“Rather than sailing smoothly from the Persian Gulf to India or China with crude, you may have to pick up the cargo from West Africa, Brazil or the US Gulf. Voyages are longer, the need for optimization is greater, and you have to relate execution much more to market volatility than before,” Reksten said.

The commercial outcome of a voyage is affected by the interplay of different economic variables – from fuel price volatility, rapidly moving freight markets and regulatory shifts that impact carbon costs to delays and trade disruption caused by port congestion, weather or regional conflict that can result in both direct costs and missed opportunities.

Fuel price effect

Given fuel is the largest cost variable of a voyage, bunker price hikes can significantly affect profitability without consideration of the wider commercial picture, and this requires a dynamic approach to decision-making to capture value across the voyage cycle.

Operators may lose value or increase risk if decisions are made without updated economic insight based on changing market conditions.

A case in point is the recent Strait of Hormuz crisis that fuelled higher tanker rates and a spike in bunker prices, which is estimated by lobby group Transport & Environment to have cost shipping companies an additional €340 million a day in fossil fuel bills.

Among the challenges for shipping companies are planning voyages without considering fuel price shifts, making speed decisions that do not account for port congestion or schedule changes, and having limited visibility into emissions cost exposure.

And this demands constant economic awareness with real-time data insights of the different variables to facilitate a shift from static to adaptive voyage planning to avoid leaving value on the table, according to Reksten.

‘Keeping an eye on markets’

“If you don’t have an eye on the markets and you’re purely focused on the route, this can undermine the commercial outcome of the voyage. You may need to reassess during the voyage whether to adjust speed, ETA or bunker strategy to execute in the most optimal way in relation to your commercial goals,” he said.

The need for a more dynamic approach to voyage planning is driving industry adoption of AI-driven voyage intelligence – integrating real-time data for ocean and weather conditions, vessel performance, market insights and emissions monitoring – to deliver predictive analytics supported by human expertise to inform adaptive decision-making, according to Reksten.

This enables operators to evaluate multiple scenarios and adapt according to changing conditions to safeguard voyage margins even in volatile markets, such as by capturing opportunities in a rising freight market.

“How you execute the current voyage can be tied to what your next employment will be. If the market is rising steeply, you want to sail as quickly as possible to discharge and offer your ship into the market at a higher price point,” Reksten explained.

Single source of truth

By combining operational, economic and sustainability data, voyage intelligence fully integrates commercial awareness into the planning process. Furthermore, it provides a single source of truth with visibility across company departments to allow better coordination between different teams, avoiding possible blind spots in decision-making.

“A typical voyage entails interaction between a lot of different moving parts – and this requires alignment of KPIs across commercial and operations teams that can be difficult in a fast-paced environment,” Reksten said.

Voyage intelligence allows decision-making to be informed by both operational expertise and evolving economic realities – such as metocean conditions, fuel prices, charter party requirements, freight market conditions, emissions and compliance obligations – to enable adaptive voyage management aligned with a shifting environment.

Managing uncertainty

This means shipping companies can manage uncertainty more effectively to provide better costs control in fluctuating fuel markets, freight market visibility, reduced risk of delays, improved schedule reliability, lower emissions and compliance risk – and stronger commercial margins.

“Profitability is the ultimate driver of decisions in shipping – and this is strongly impacted by market volatility. But companies able to quickly respond to changing conditions can turn volatility into competitive advantage,” Reksten concluded.

 

Photo credit: StormGeo
Published: 29 May, 2026

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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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