Asia Fuel Oil: 380-cst cash premium rises 76 percent

marinelink.com
Wednesday, March 12, 2014

The cash premium of the benchmark 380-cst fuel oil grade firmed for the fourth straight session on Wednesday, underpinned by lower supply in the region in early April.

 

The 380-cst cash premium rose 76 percent or close to $1 a tonne to a two-week high of $2.22 a tonne, Reuters data showed. As cash trading begins for early-April loading barrels, tighter supply over
this period has provided some support for the 380-cst market. Around 4.17 million tonnes of fuel oil will arrive in April from the West, of which only an estimated 950,000 tonnes or just 20 percent of the total, will make a landfall in the first 10 days of the month, Reuters reported earlier.
 
On the other hand, demand from southeast Asia is also set to increase, with Vietnam seeking additional fuel oil for April to May delivery to meet the shortfall of residual products lost when its sole Dung Quat refinery undergoes maintenance over May to July. State-owned Bangladesh Petroleum Corp (BPC) plans to import 67 percent more fuel oil in the April-June quarter from the first quarter to feed demand for power generation as summer approaches, Reuters reported earlier.
 

"Demand drivers have improved, with (South Asia's) demand up, and requirements into Vietnam should also improve with Dung Quat in turnaround," said a Singapore-based trader. In other market news, Japan's stocks of low sulphur fuel oil climbed 4.3 percent on week to 0.66 million kilolitres, while its refinery run rate was trimmed by 1.9 percentage points to 82.9 percent, latest data from the Petroleum
Association of Japan showed on Wednesday.

CASH DEALS: One 380-cst trade.

Glencore sold to BP 40,000 tonnes of 380-cst for March 29-April 2 at $597.50 a tonne.
 
TENDER NEWS

Indian Oil Corp (IOC) sold 30,000-35,000 tonnes of 380-cst for March 29-31 loading from Kandla to BP at a discount of $15 a tonne to the IOC formula, 25 percent wider than the February cargo awarded to PetroChina. The Indian refiner separately sold 15,000 tonnes of 380-cst for March 17-19 loading from Haldia to Petronas at a narrower discount of $20-21 a tonne to IOC formula, versus discount of $21-25 a tonne previously for a Feb. 15-17 cargo awarded to PetroSummit. Hindustan Petroleum Corp Ltd sold 25,000-30,000 tonnes of 380-cst for March 26-28 loading from Vizag to Mercuria, at a discount of $20 a tonne to Singapore spot quotes, steady from the refiner's previous sale of a March 1-5 to the same company. The Saudi Aramco-Shell joint venture refinery in Yanbu awarded 80,000 tonnes of fuel oil loading over March 17-21 to Glencore, at an undisclosed price.
    
Reporting by Jane Xie; Editing by Anand Basu

 

Maritime Reporter August 2015 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Finance

G E Shipping delivers “Jag Aakash” to Buyers

The Great Eastern Shipping Company Ltd. delivered the new building Kamsarmax Dry Bulk Carrier “Jag Aakash” (81,600 dwt) to the buyers.  The vessel was contracted for sale in August 2015.

New Energy-saving Windshield on MOL MARVEL

Mitsui O.S.K. Lines, Ltd. today announced that it has started demonstration tests of a new windshield for containerships, which has the potential to reduce wind resistance,

Taiwan Eyes Budget for New Submarines

Taiwan’s defense ministry seeks financing to expand the country’s submarine fleet, reports Reuters quoting local media reports.   The government has allocated $92.

Fuels & Lubes

Rapid Oil Spill Response Vessel Launched

Western Canada Marine Response Corporation (WCMRC) launched their newest oil spill response vessel in Burrard Inlet. The boat, named after former employee George Penman,

Total Lubmarine Resumes Full Service in Tianjin

Marine lubricants and greases provider Total Lubmarine informs it has resumed all services based out of the Port of Tianjin following the deadly explosions that rocked the port August 12.

LNG-fueled Box Ship a 'Momentous Step Forward'

On Saturday, August 29, 2015, the world’s first series of energy efficient containerships welcomed its second LNG-powered vessel in San Diego, fueling the U.S.

Marine Power

Rolls-Royce to Design, Equip Canadian Stern Trawler

The shipbuilding company VARD Group AS in Norway has received an order from a Canadian company for a shrimp stern trawler to be designed and equipped by Rolls-Royce,

Sea Breeze 2015 Kicks off in Odesa

Maritime forces from 11 nations kicked off the U.S.-Ukraine co-hosted multinational exercise Sea Breeze 2015 in Odesa, Ukraine and the Black Sea, Sept. 1. Sea Breeze,

MN: Corvus Energy

The Company: Corvus is a manufacturer of proven, high power Energy Storage Systems (ESS). Its field proven battery systems provide power to hybrid and fully electric marine propulsion systems.

 
 
Maritime Security Maritime Standards Navigation Offshore Oil Pipelines Port Authority Ship Electronics Ship Repair Ship Simulators Sonar
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.2387 sec (4 req/sec)