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TotalEnergies: How market demands are driving marine lubricant evolution

Ship owners and operators are going to have to make strategic fuel choices which will impact key components of the shipping industry including bunker fuel suppliers and bunkering operation.

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Stuart Fuller, Market Liaison & Product Manager for Engine Oils in the Marine & Power division of TotalEnergies, recently spoke at the Nor-Shipping conference, providing insights and thoughts on the key drivers shaping the evolution of marine lubrication. 

In this article, Fuller captured some of the main points he shared with the audience of maritime professionals in Oslo:

The shipping industry faces a dual challenge - more energy, with fewer emissions. It is a key target that we are working on tirelessly at TotalEnergies, with our customers, stakeholders and our partners.

How we are Supporting the Shipping Industry’s Decarbonization Journey

Tackling our responsibilities head on, TotalEnergies has joined forces with the Mærsk Mc-Kinney Møller Center for Zero Carbon Shipping as a strategic partner, working with other industry partners to examine innovative technologies and what’s needed to build the infrastructure to support those technologies. We have so far committed 3 full time colleagues that are seconded to the project as well as enlisting the support of a further 12 colleagues on a part time basis.

TotalEnergies also actively participates in many other industry organizations working to improve combatting Climate Change, such as IMO, ISO, SEA/LNG, SGMF, Ammonia Energy Association, CIMAC and more, all with a shared goal of moving shipping into a carbon-free transport.

 The Market Drivers – Life After IMO2020

Post IMO2020, a number of drivers have been shaping the industry namely:

  • Technology - new engine design (increased temperatures/pressures), Exhaust gas after treatment, Scrubbers, EGR / SCR
  • Regulatory - SOX, NOX, ECA's, CO2...
  • Fuels - Hight/Low Sulfur Fuels, LNG, Biofuels

Future Fuels - Navigating Complexity

Currently the shipping industry is firmly focussed on the directions that the future fuels market is likely to take. Decarbonisation of transport will rely on massive investment in sustainable liquid fuels along with Biofuels, supplemented by e-fuels after 2030.

The predicted take up of H2 based e-fuels (including e-methanol and e-ammonia) is expected to take place between 2030 & 2050 and will be significant. It is also anticipated that LNG will remain in the mix but not significantly above the post 2030 volumes.

So, we are undoubtedly heading towards a more complex market with multiple fuel solutions making up the landscape.

And with 2050 just one ship life away, ship owners and operators are going to have to make strategic fuel choices which will impact the key components of the shipping industry including engine manufacturers, fuel suppliers, bunkering operations, global port developments and of course lubrication development.

Note: Read more on Fuller's insight in his full report titled ‘Shaping the Future of Marine Lubrication - How Market Demands are Driving Marine Lubricant Evolution’ here.

Photo credit: TotalEnergies
Published: 27 October, 2023

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Lubricants

Gulf Marine, Workato dive into benefits of automation on marine lubricant supply chain

Both share how automating Gulf Marine’s order-to-payment process has improved the efficiency of its overall operations by ensuring timely delivery of its marine lubricants to support shipping operations.

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Gulf Marine, Workato dive into benefits of automation on marine lubricant supply chain

Marine lubricant supplier Gulf Marine and Workato recently shared how automating Gulf Marine’s order-to-payment process has improved the efficiency of its overall operations. This in turn can help the company complete timely delivery of marine lubricants to customers to avoid potential equipment damages:

By David Price, CEO of Gulf Marine and June Lee, General Manager of Workato Asia

As a vital cog in the machine of international trade, the maritime industry requires constant operational oversight to ensure the efficient running of vessels that support global relations. This highly dynamic sector, subject to rapid growth and geopolitical fluctuations, presents several challenges for businesses aiming to scale at a competitive pace. 

At the heart of these scaling efforts lies a critical component: lubricant. Ensuring the timely delivery of these vital fluids is paramount for supply chain companies to support shipping operations. However, many in this sector still rely on traditional, manual processes for order placement, inventory tracking, and replenishment. These outdated methods can hinder the expedition of lubricant business operations and create bottlenecks in confirming deal quotations. 

To address these challenges and drive efficiency, the maritime industry requires a significant upgrade in its workstreams.

The Challenges of a Complex Supply Chain

Given its intricate nature, the lubricant industry is highly susceptible to supply chain disruptions. Global events, including natural disasters and economic fluctuations, can significantly impact the availability of crucial raw materials like base oils and additives which are components necessary for producing various lubricants. Additionally, seasonal variations, economic cycles, and changes in shipping patterns can lead to unpredictable demand spikes and troughs, complicating the accurate forecast of inventory needs and pricing changes.

Furthermore, the maritime industry at large also faces various logistical challenges, including port congestion, vessel delays, and fluctuating freight costs. These can impact the timely essential planning for delivery of lubricants to vessels while also creating financial repercussions from extended port stays due to delays in refuelling and maintenance. As lubricants come in a wide variety of formulations tailored to specific applications as well, managing such complex permutations requires sophisticated inventory management systems and efficient end-to-end order fulfilment processes.

With the increasing focus on rapid growth in a rapidly expanding economy, companies in the lubricant supply chain must prioritise high standards of customer satisfaction and employee experience. To achieve this balance, implementing innovative solutions can help mitigate industry challenges and reduce service downtime. 

Introducing Digital Transformation 

Digital transformation is no longer a luxury but rather a business imperative. By embracing digital technologies, companies can improve their operational efficiency and enhance customer experiences to stay competitive in today’s fast-paced digital age.

Solutions such as automation are being integrated to help companies achieve tangible benefits such as cost savings, and improved turnover rates across numerous internal teams. By automating highly dynamic and manual processes such as barge planning or product pricing, businesses can streamline workflows, reduce application switching, and access critical data promptly, eliminating time-consuming manual tasks across disparate systems. This helps companies reduce manual efforts and improves both customers’ and employee’s experiences by accelerating service response times. 

Automation ensures data accuracy and consistency across all enterprise applications and data integrations, reducing the risk of errors and minimising costly mistakes. By automating repetitive tasks, businesses can significantly reduce operational costs and improve overall efficiency. Furthermore, automation platforms help generate valuable data that can be analysed to predict trends, optimise processes, and offer insights for more informed decision-making processes.  

David Price, CEO of Gulf Marine

David Price, CEO of Gulf Marine

Embracing Automation and the Pursuit of Efficiency

As automation reshapes the lubricant supply chain and shipping industry as a whole, it is essential to include it within workforce development. Automation isn’t about replacing workers – it is about empowering them to do more with less. By investing in employee training, companies can future-proof their workforce. With employees trained to utilise automation tools and data analysis techniques, companies can equip their workforce to streamline processes, identify opportunities for improvement, and make data-driven decisions that drive business growth.

By relieving employees of repetitive tasks, automation solutions allow workers to shift their focus to higher-level problem-solving and critical thinking. This enables them to address more complex industry challenges, such as optimising supply chain logistics, improving product quality, and developing innovative solutions to meet evolving customer needs. By fostering a culture of innovation and adaptability, businesses can empower their workforce to embrace change and drive continuous improvement.

Moreover, by orchestrating workstreams through automation, businesses can create a more responsive organisation. This enables them to quickly adapt to market shifts, customer demands, and unpredictable factors that could impact vessel delivery routes. For instance, Gulf Marine was able to streamline manual business processes by integrating Workato’s integration platform, saving more than 2,100 hours per month on activities such as pricing quotations and barge planning. 

By building a strong foundation of automation and an appetite for implementing technological innovations, businesses like Gulf Marine can position themselves for success by becoming more agile and future-forward in this dynamic maritime industry. 

Preparing for a New Horizon

Through leveraging automation and investing in employee training, maritime industry players can optimise their lubricant supply chain, reduce costs, improve operational efficiency, and mitigate risks, positioning their businesses for long-term success in a dynamic and competitive market. 

Collaborations with innovative technology solution providers can not only address pressing business priorities, but also enhance the overall competitiveness of businesses. This is vital as companies in the maritime industry seek to evolve to be future-ready, and automation continues to be a critical enabler of global supply chain resilience, empowering businesses to adapt to disruptions and optimise operations.

 

Photo credit: Gulf Marine
Published: 27 January, 2025

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Employment

VPS appoints Steve Laino as new Americas Managing Director

Laino will apply his experience and knowledge in emerging emissions and alternative fuels to deliver complete value-chain solutions for bunker fuels, lubricants and decarbonisation in the region.

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VPS appoints Steve Laino as new Americas Managing Director

Marine fuel quality and surveying firm VPS on Wednesday (18 December) announced the appointment of Steve Laino to the role of Managing Director for the Americas. 

In this role, Laino will apply his experience and knowledge to deliver complete value-chain solutions for fuels, lubricants and decarbonisation in the region. 

Laino joined VPS having held C-suite and leadership roles as a ship owner, broker, entrepreneur and advisor across multiple sectors and markets in the global supply chain. 

Most recently, Laino has applied his subject matter expertise and in-depth understanding of the emerging emissions and alternative fuels sectors in his role as Global Head of Environmental Solutions with Poten & Partners/BGC Partners. 

He has a strong background in shipping, having graduated from the US Merchant Marine Academy at Kings Point, sailed as an officer in the US Merchant Marine and served as Lieutenant Commander in the US Naval Reserve.

Dr. Malcolm Cooper, VPS CEO, stated: “The maritime industry is changing fast with ambitious emissions targets and decarbonisation requirements driving the introduction of new technologies and fuels into the market.”

“In this dynamic landscape, we are very pleased to have Steve on board to lead delivery of all VPS services to customers in the Americas and help them optimise their operations by understanding which new fuels to use and how to adapt to these sustainable business drivers and meet new regulations.”

Steve Laino, stated: “Industries around the world are witnessing a paradigm shift in the energy products that power them and the environmental regulations that govern their stakeholders’ compliance. An increased need for transparency and traceability of energy sources and production methods will grow to be a primary driver of successful business strategies.”

“Testing, verification, certification, data-supported analysis and the ability to easily access and disseminate critical information from these sources are quickly becoming required tools of the trade.”

“For decades, VPS has reliably provided and evolved their services to the maritime, power generation and wind sectors. In response to the evolution of energy products and the impact on businesses in and adjacent to the supply chain, VPS has invested in new digital platforms, testing capabilities and advisory capacity to meet the challenges faced by its customers.”

“I am very pleased to join VPS to lead and grow their business in the Americas.  I look forward to working closely with our team to gather and provide valuable decision-making information to our clients, yielding the flexibility and foresight needed to navigate the new commercial, operational and technical challenges before us.”

 

Photo credit: VPS
Published: 19 December, 2024

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Alternative Fuels

Eni and MSC to jointly explore potential use of LNG and bio bunker fuels

As part of a MoU, both will explore potential use of LNG as well as lower-carbon energy carriers, such as HVO and bio-LNG biofuels, as well as lubricants from renewable raw material, for use on MSC fleets.

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MSC vessel

Integrated energy company Eni and shipping and logistics provider MSC Mediterranean Shipping Company on Monday (25 November) signed a Memorandum of Understanding (MoU) aimed at developing joint initiatives in the field of sustainability and energy transition. 

The agreement includes the potential use of LNG as well as lower-carbon energy carriers, such as HVO and bio-LNG biofuels, as well as lubricants from renewable raw materials, for use on MSC fleets dedicated to both logistics and cruise transport. 

Renewable energy solutions will be assessed to contribute to the decarbonisation of MSC’s sites and facilities. More generally, the agreement aims to create new synergies between the two companies’ operations, from logistics services to intermodal transport, covering both agro-industrial activities for the production of raw materials, including Agri feedstock, for biorefining, and the storage and transport of HVO biofuels through innovative intermodal sea, rail and road transport solutions. 

The agreement provides for good circular economy practices, from the on-board use of plastics also from renewable and recycled raw materials, including single-use packaging products, to the collection and management of waste produced on board the fleets, and the potential redevelopment of decommissioned Eni areas and assets.

Claudio Descalzi, CEO of Eni, said: “This agreement marks the start of our collaboration with MSC in the decarbonisation of transport and cruise services. MSC is the world leader in the sector and we are confident that together we will be able to develop and implement decarbonisation initiatives, that provide an important contribution to the sector and to the reduction of emissions from our transport systems.”

Diego Aponte, MSC Group President, said: “We look forward to working more closely with Eni as we broaden and deepen our approach to sustainability and decarbonization across the MSC Group of companies.”

 

Photo credit: MSC Mediterranean Shipping Company
Published: 26 November, 2024 

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