28681 members and growing – the largest networking group in the maritime industry!

LoginJoin

Sunday, August 18, 2019

Oil Products News

Grace 1 remains impounded, not because of its flag but because it was suspected of taking oil to Syria in breach of EU sanctions, an allegation that Iran denies. Image Credit: © MarineTraffic.com

INSIGHTS: Noose Tightens Around Iranian Shipping

Somewhere on its journey from the waters off Iran, around Africa's southern tip and into the Mediterranean, the Grace 1 oil tanker lost the flag under which it sailed and ceased to be registered to Panama. Iran later claimed it as its own.The ship carrying 2 million barrels of Iranian crude was seized by British Royal Marines off Gibraltar, raising tensions in the Gulf where Iran detained a UK-flagged ship in retaliation.Grace 1 remains impounded, not because of its flag but because it was suspected of taking oil to Syria in breach of EU sanctions…

Image Credit: AdobeStock/ © 14KTGold

Singapore's Ocean Tankers tests IMO-2020 Compliant Fuel

Off the coast of Singapore, the world's largest ship refuelling centre, a bunker barge sidled next to the supertanker Pu Tuo San to fill the giant vessel with a new type of fuel that will meet global standards that start up in January.With a little over five months left until stricter marine fuel rules come into effect, shippers such as Singapore's Ocean Tankers that own the very large crude carrier (VLCC) Pu Tuo San have started testing out lower sulphur fuel to prepare their…

AdobeStock / © mikesjc

Singapore Fuel Stocks at Eight-month Low Ahead of IMO 2020 Deadline

Oil product inventories in the Singapore storage and trading hub fell to an eight-month low in the week ended July 17, official data showed, in one of the latest signs that suppliers are gearing up for rule changes to make marine fuel cleaner.Singapore onshore stocks of petroleum products, which include gasoline, diesel, jet fuel and residual fuel oil, came in at 38.372 million barrels, down from 41.725 million barrels in the previous week and their lowest since the week ended Nov.

Chart: BIMCO

BIMCO: VLCC Freight Rates from Gulf to China Doubles

VLCC spot freight rates between the Arabian Gulf and China rose 101% in the days between June 13, 2019 and June 20, 2019, in the aftermath of attacks on two tankers in the Strait of Hormuz. Spot freight rates for a VLCC, carrying 2 million barrels of oil, between the Arabian Gulf and China reached USD 25,994 per day on June 20, their highest level since March and significantly above the May average of USD 9,979 per day.Despite this increase, freight rates on this route only narrowly exceeds the daily break-even costs of a VLCC…

U.S. Deploys Troops to Middle East, Blames Iran for Tanker Attacks

The United States on Friday announced the deployment of 1,500 troops to the Middle East, describing it as an effort to bolster defenses against Iran as it accused the country's Revolutionary Guards of direct responsibility for this month's tanker attacks.President Donald Trump's administration also invoked the threat from Iran to declare a national security-related emergency that would clear the sale of billions of dollars' worth of weapons to Saudi Arabia, the United Arab Emirates…

Pic: Gazpromneft Marine Bunker

Gazpromneft Marine Bunker in Pact with Cruise Lines

The Gazprom Neft bunkering business Gazpromneft Marine Bunker has concluded new agreements with cruise operators Royal Caribbean International and Saga Cruises.Gazpromneft Marine Bunker will be managing approximately 60 bunkering operations for Royal Caribbean and Saga cruise liners during the summer navigation season (May—September 2019) at St Petersburg’s Marine Façade passenger port.Total sales of marine fuels under these contracts are expected to be in the order of 55,000…

Image: Maersk Product Tankers

Maersk in Sale, Leaseback Pact with ICBC

Danish tanker shipping company Maersk Product Tankers has just entered a sale-and-leaseback agreement for four medium range (MR) vessels with the Chinese bank, Industrial and Commercial Bank of China (ICBC).The four ships were built in 2015 and 2016 and will be chartered back to Maersk Product Tankers on ten-year bareboat contracts. The company will retain options for the vessels and will still undertake the commercial and technical management for the vessels.“The agreement will increase financial flexibility and strengthen the financial position of Maersk Product Tankers…

Pic: Port of Rotterdam

Volume Rises at Port of Rotterdam

Port of Rotterdam posted a record overall freight tonnage in the first quarter of 2019, up 5.1% on the same period last year, thanks to strong growth in container traffic.In total, 123.9 million tonnes were handled compared with 117.8 million tonnes in the same period in 2018."The increase mainly concerned the throughput of containers (+7.3% in TEU, +5.9% in tonnes) and fuels. Mineral oil products, iron ore and scrap throughput fell," said a press release from the largest port in Europe…

File Image: AdobeStock / © Jose Gill

Diesel Laden VLCC Changes Course for Togo

The Very Large Crude Carrier (VLCC) Olympic Lyra changed its destination to Lome in Togo from Southwold in Britain, Refinitiv ship tracking data showed.VLCCs have a capacity of around 300,000 tonnes and their arrival in a region can affect refining margins.The Olympic Lyra, sailing from Asia, was supposed to arrive in Britain around May 7, but the shipping data now shows an estimated time of arrival in Lome on April 25. VLCCs often carry refined, or clean, oil products on their maiden journey before switching to crude oil or fuel oil.Reporting by Shadia Nasralla

File Image (CREDIT: AdobeStock / © Jose Gill)

Trafigura Sends More Asian Gasoline to Americas

Commodity trader Trafigura is shipping this month a second newly built crude tanker with Asian gasoline onboard to South America amid strong demand in the West, four industry sources who closely monitor petrol trade flows said on Thursday.Although it is not uncommon for traders to use a brand new crude tanker of 150,000 deadweight tonnage (dwt) to ship clean fuels such as diesel, it is rare to use them for gasoline because of the sheer size."South America likely needs gasoline more than gasoil now.

The CMA CGM refueling operation (CREDIT: GoodFuels Marine

CMA CGM Boxship Refuels with Bio-Fuel

Previously announced IKEA, CMA CGM, GoodShipping Program and Port of Rotterdam pilot celebrates milestone moment in industry-first partnership.IKEA Transport & Logistics Services, CMA CGM, the GoodShipping Program and the Port of Rotterdam announced the successful refueling on Saturday, March 23 of the CMA CGM White Shark with sustainable marine bio-fuel oil.The test, which represents a major step for the decarbonization of ocean freight, saw the companies work together in a first-of-its-kind partnership for the shipping industry.

CMA CGM Group vessel © CMA CGM

Partnership to Test Sustainable Marine Bio-Fuel Oil

IKEA Transport & Logistics Services, CMA CGM, the GoodShipping Program and the Port of Rotterdam have announced they will cooperate in a first of its kind partnership to test and scale the use of sustainable marine bio-fuel oil. The test will commence with a landmark bunkering of the marine bio-fuel oil on a CMA CGM container vessel on March 19th, representing a major step towards the decarbonization of ocean freight.The test is being facilitated by the GoodShipping Program, a sustainable initiative dedicated to decarbonizing ocean freight…

Pic: Port of Rotterdam. Photo: Eric Bakker

Rotterdam Port Achieves TEU Milestone in 2018

Europe's largest port, the Port of Rotterdam ended 2018 with a total container throughput at 469.0 million tonnes (MT) which slightly higher than in 2017,  which was itself a record year (467.4 MT).Container transhipment was the engine of growth again, with a 4.5% increase in tonnage. Measured in TEUs, the standard unit for containers, the increase was 5.7% and the annual total was 14.5 million TEUs – also a record.This strengthens the position of Europe’s largest container port in this strategically important market segment.

Image: Ports & Maritime Organization

Chabahar Port Volumes Up

Iran's Shahid Beheshti Port in Chabahar, which was taken over by Indian Ports Global Limited last month, registered high volumes in in container loading and unloading.“Container and petroleum products unloading and loading in the Chabahar port have increased by 61% and 81% respectively,” Behrooz Aghaee, Director General of Ports and Maritime of Sistan and Baluchestan Province said.Detailing on the performance of the Chabahar port, Aghaee pointed that Loading and unloading of containers operations has grown by 61% within the last 10 months compared to the same period last year.

Image: MRTS

Huge Increase in Arctic shipping

Data from Russia’s ports and Northern Sea Route show that the volume of goods being shipped out into the Arctic waterway are up by 25 percent 2018.According to information from the Russian Transport Ministry, a total of 92.7 million tons was handled by regional seaports, of which almost 70 percent was oil products and liquified natural gas.The biggest increases came in Sabetta, which sits on the icy Yamal Peninsula in the Kara Sea, according to Bellona. With Novatek’s $27 billion Yamal LNG project now in commercial production…

Pic: Ports & Maritime Organization

Iranian Ports Records 78% Growth in Non-oil Transit

Iran's Director of Ports and Maritime office of Lengeh port announced an increase of 78 percent in non-oil transit, a 19 percent increase in safe passenger transport and an increase of 86 percent in container loading and unloading at ports in west of Hormozgan.Ghasem Askari Nasab, reporting on the nine-month performance of the ports of West of Hormozgan in 2017, stated that during this period, a total of 6 million and 759,558 tons of oil and non-oil products were loaded and unloaded at these ports.Of the 1…

Pic: Port of Amsterdam

Record Transshipment at Port of Amsterdam in 2018

Port of Amsterdam achieved a new transhipment record in 2018 with transhipment totalling 82.3 million tonnes, compared to 81.3 million tonnes in the previous year.Together with the other ports in the North Sea Canal Area, total transhipment consequently amounted to 101.8 million tonnes in 2018, said a press release from the 4th busiest port in Europe by metric tonnes of cargo.This is revealed in the provisional transhipment figures announced today. Transhipment in IJmuiden rose by 1% to 18.6 million tonnes. Beverwijk saw transhipment decline by 9% to 0.7 million tonnes.

Pic: Port of Rotterdam Authority

Rotterdam Port Awards Green Award Discount for Vessels

The Port of Rotterdam Authority will widen and facilitate the Green Award discount for sea-going shipping from the start of 2019.The discount will encourage safe and green shipping in the liquid bulk segment. From 2019 onwards, certified chemical tankers and sea-going vessels with a cargo capacity (DWT) of less than 20,000 tons may also make use of the scheme.Also new for 2019 is that the Port Authority is making the port dues process more customer friendly for shipping lines whose vessels call at the Port of Rotterdam.

Image: Ports & Maritime Organization

Chabahar Port Builds LPG Storage Tanks

The operationalizing of three investment projects will begin in Shahid Beheshti port of Chabahar this week, said a communication from the Iran government.Behrooz Aghaee, Director General of Ports and Maritime Affairs of Sistan and Baluchestan Province, announced the operationalization of three investment projects with the presence of the deputies of the Ministry of Roads and Urban Development and members of the board of directors of the Ports and Maritime Organization at Shahid Beheshti port of Chabahar.Three investment projects of construction of oil products reservoirs…

A typical tow arrangement on German inalnd waterways / CREDIT AdobeStock / © digitalstock

Rhine River Shipping Returns to Normal as Water Levels Rise

Freight shipping on the river Rhine in Germany has returned to normal after heavy rain in the past week raised water levels, traders said on Monday.Water levels on the Rhine had been low for around six months after a hot dry summer and a dry autumn, forcing vessels to sail only partly loaded and increasing the cost of commodity deliveries."The heavy, repeated rainfall in the past days was just what was required," one grains trader said.

File Image: AdobeStock / © Leeylutung

Diesel-Loaded Tankers Stranded off Asia as Demand Wanes

Several tankers carrying diesel fuel are floating off Taiwan and Southeast Asian waters as a steep fall in oil prices kept buyers at bay, trade and shipping sources said on Friday, helping push rates to their highest since January 2016.With tanker rates also boosted by strong Chinese oil exports, it was a big relief for an industry that has been in the doldrums for the past three years.About seven to nine long-range tankers carrying about 5 to 7 million barrels of diesel are currently floating off Taiwan waters largely due to a drop in bunker fuel demand from the South China Sea…

© Nikita Starichenko / Adobe Stock

Argus Adds New Marine Fuel Price Assessments

Oil price reporting agency Argus has launched five new price assessments for low-sulphur marine fuels, ahead of new global rules capping the amount of sulphur in marine fuels, also known as bunkers.International Maritime Organization (IMO) regulations will cut the limit for sulphur in bunker fuels globally from 3.5 percent to 0.5 percent from the start of 2020."Argus is pleased to be taking the lead in bringing price transparency that enables this large and emerging oil market to advance trading in preparation for the IMO 2020 required fuels…

Pic: TORM

TORM, ME Production and GSI JV for Production for Scrubbers

Danish shipping company TORM has established a joint venture with scrubber manufacturer ME Production and Guangzhou Shipyard International (GSI).The joint venture, ME Production China, will manufacture and install scrubbers in China and deliver them to a range of maritime industry customers for both newbuildings and retrofitted vessels, said a press release from the carriers of refined oil products. TORM holds an ownership stake of 27.5% in the new joint venture. GSI is part of…

Image: Port of Hamburg

Fitch Warns: Shippers' Costs and Capex may Increase

More stringent fuel regulations regarding sulphur content could significantly increase global shipping companies' operating costs and capex needs, says Fitch Ratings in a new report."This may negatively affect their credit quality unless they manage to pass these costs to customers. Many shipping companies have started implementing fuel surcharges to recover costs associated with the new sulphur cap regulation, but their ability to sustain these will depend on market fundamentals…

Singapore Petroleum Builds New Oil Storage, Distribution Center

Singapore Petroleum Company, a subsidiary of PetroChina International, said in a statement on Friday it completed a new oil products storage and distribution terminal on Jurong Island, an artificial island off Singapore's southwest coast.The terminal "will allow us to develop our marketing network and to serve the growing needs of our customers in Singapore," Xia Hongwei, managing director of PetroChina International (Singapore) said in the statement.The terminal comprises 10 storage tanks with a total capacity of 50,000 cubic meters for gasoline and gasoil.The terminal is connected via pipeli

© Markus Mohr / Adobe Stock

Record Low Rhine Levels Hampers Barge Trade

Water levels on the Rhine River fell to a record low on Thursday and were forecast to fall even further, hampering oil product barge trading in northwest Europe.Water levels at the Kaub point of the river fell to 31 cm, according to Refinitiv Eikon data, the lowest level in data available since September 1995.Shallow water on the Rhine in Germany means freight vessels cannot sail fully loaded.The river is an important shipping route for commodities including grains, minerals, coal and oil products including heating oil.