Marine Link
Sunday, July 15, 2018

Gas Oil News

Enterprise Adds Vessel Fueling Capabilities at Houston

Photo: Enterprise Products Partners

Enterprise Products Partners, as of June 1, 2018, is the exclusive provider of residual marine fuel (RMG 380) and marine gas oil (MGO) at its Enterprise Hydrocarbons Terminal (EHT) on the Houston Ship Channel. RMG 380 and MGO are the primary transportation fuels used by deep-draft vessels that dock at the EHT facility. “Being able to fuel ships as they load and offload product at our EHT marine terminal significantly streamlines the process, saving our customers time and money by not having to stop at a third party facility,” said A.J.

LNG is the Bridge to ‘Zero Emissions’ Shipping

(Photo: Skangas)

The advent of industry wide tightening of allowable sulfur emissions is getting nearer. Suddenly, with the deadline now little more than one year away, the countdown clock will very soon be ticking much louder. Simply stated, the cap on allowable sulfur content in marine fuels, presently at 3.5 percent in many geographical regions, will be reduced to 0.5 percent in January 2020. The 0.1 percent sulfur cap, already in effect since 2015 in coastal Emissions Control Areas (ECAs) in Europe and North America…

Singapore Marine Fuel Sales at 3-month High

© MAEKFOTO / Adobe Stock

Singapore marine fuel sales climbed to a three-month high of 4.233 million tonnes in April, up 1.6 percent from the previous month but 0.5 percent lower from the same time last year, data from the Maritime and Port Authority of Singapore (MPA) showed on Monday.In a signal of steady demand for marine fuels, the firm April sales volumes came despite rising fuel costs and supply disruptions of some bunker fuels towards the end of the month, trade sources said.The cost of 380-centistoke (cst) fuel oil cargoes, the mainstay bunker fuel for large vessels, in April averaged $385 per tonne in Singapor

Cruise Ship Construction: China Rising

China earns cruise newbuild business, aims for ship financeWhile China has steadily built shipbuilding market share, cruise ship construction –  more specifically mastering the logistical complexities inherent in cruise ship design, outfit and construction – has proved elusive. But it appears that Chinese shipbuilders have turned the corner, with contracts signed for the first cruise newbuilds. We were in Tianjin, China, earlier this year for the 4th Annual China Maritime Finance Forum for a look behind the covers of passenger vessel in China…

Europe Distillates-Cracks Rise Despite Wave of Imports

Benchmark diesel barge refining margins in northwest Europe rose at the start of the week despite plentiful imports from Asia, the Middle East and the United States. Recent highlights include:* In recent days at least seven Diesel cargoes carrying around 550,000 tonnes were booked out of Asia and the Middle East to northwestern Europe as the arbitrage on the route remained open, according to shipping data and traders.* In addition the arbitrage from the U.S. Gulf coast was also open with at least eight tankers booked to go to Europe, carrying around 350,000 tonnes of products, most likely Diesel.* Benchmark crude prices were down 1.2 percent.GASOIL* One barge of 0.1 percent sulphur content gasoil traded at a discount of $13 to the July diesel contract.

New Rules on Ship Emissions Herald Sea Change for Oil Market

© xy / Adobe Stock

New rules coming into force from 2020 to curb pollution produced by the world's ships are worrying everyone from OPEC oil producers to bunker fuel sellers and shipping companies.The regulations will slash emissions of sulfur, which is blamed for causing respiratory diseases and is a component of acid rain that damages vegetation and wildlife.But the energy and shipping industries are ill-prepared, say analysts, with refiners likely to struggle to meet higher demand for cleaner…

Europe’s First LNG Dredger Conversion Underway

(Photo: Damen)

Work has kicked off at Damen Shiprepair Dunkerque to convert the trailing suction hopper dredger (TSHD) Samuel de Champlain from diesel-electric propulsion to dual-fuel capability combining marine gas oil (MGO) and liquefied natural gas (LNG). A ceremony was held at the yard to mark the first cutting of steel for the prefabrication of a new section of hull that will hold the new generators and other equipment.Present at the occasion were Jean-Pierre Guellec, CEO of GIE Dragages-Ports…

New Online Tool Aids 2020 Sulfur Compliance

Photo: Lloyd's Register

The new ‘Sulfur 2020 – Options Evaluator’ from Lloyd’s Register (LR) aims to help the industry identify the best strategy for compliance with the global sulfur in fuel oil limit of 0.50 percent m/m, which comes into effect on January 1, 2020.According to LR, the ‘Options Evaluator’ aims to bring clarity to what the potential cost and investment implications could be for the various compliance strategies, such as transition from fuel oil to marine gasoil (MGO), use of scrubbers…

Singapore Reports Higher May Bunker Fuel Sales

© umike_foto / Adobe Stock

Singapore marine fuel sales climbed to a four-month high of 4.283 million tonnes in May, up 1.2 percent from the previous month and 2.5 percent higher compared with a year ago, data from the Maritime and Port Authority of Singapore (MPA) showed on Wednesday.The strong volumes sold in May were largely in line with industry expectations and come despite sharply higher bunker fuel prices due to rising crude oil prices and shortages of finished grade bunker fuel oil during the month.The cost of 380-centistoke (cst) fuel oil cargoes, the mainstay bunker fuel for large vessels, in May averaged $433

Titan LNG Supplies New Van Oord LNG Powered Werkendam

Photo: Titan LNG

In a joint effort between the Port of Moerdijk, the shipyard Neptune Marine, Cryonorm Systems and Titan LNG the Werkendam was supplied successfully for the first time with LNG. The Werkendam, the new LNG powered vessel of Van Oord, was safely supplied on the 8th of May in the Port of Moerdijk. The Werkendam is an exceptional part of the Van Oord fleet. It is the first LNG-powered inland waterway crane vessel and is the start of a new generation of dredging vessels for Van Oord. The Werkendam is fully powered by LNG, with gas oil as a back-up.

Environmental Regs Drive Work for Gibdock

Photo: Gibdock

With owners required to respond to new rules on invasive species and emissions, Gibraltar-based Gibdock reports it is seeing a stronger than expected surge in interest in ballast water management system and exhaust gas scrubber work. Richard Beards, Managing Director of the Western Med’s gateway repair facility, attributes the upturn in inquiries to the yard’s enduring advantages of location, quality of work and on-schedule redelivery.“We have undertaken significant ballast water work over the last 18 months and in the first half of 2018 we have had more enquiries than ever before…

Distillate Demand Boost from Shipping Sulphur Rules to be Brief

File Image: A typical Middle East Refinery (CREDIT: MELCAL)

A sharp increase in demand for distillates following new shipping fuel rules will fade quickly, the International Energy Agency said on Monday. New rules implemented by the International Maritime Organization (IMO) will significantly cut the amount of sulphur that the world's ships can burn in their engines from 2020, leading to a close to 1 million barrel per day (bpd) rise in gasoil consumption at the expense of high-sulphur fuel oil. While ships can continue to burn higher sulphur fuel if they install scrubbers…

Mitsui LNG Carrier Named Marvel Falcon

Marvel Falcon Photo courtesy Mitsui

On March 29, a naming ceremony was held at Geoje Shipyard of Samsung Heavy Industries Co., Ltd. in Korea, for new liquefied natural gas (LNG) carrier that NYK has concluded a long time-charter contract with Mitsui & Co. Ltd. At the ceremony, the ship was named “Marvel Falcon” by Mr. Tatsuo Yasunaga, president and chief executive officer of Mitsui & Co., Ltd. and the ceremonial rope holding the vessel in place was cut by Mr. Yasunaga’s wife. From NYK, Hitoshi Nagasawa, Representative Director, Senior Managing Corporate Officer attended.

Hamburg Süd, Electrolux partner for SO2 Reductions

Dr. Arnt Vespermann, Chief Executive Officer, Hamburg Süd. Photo credit Hamburg Süd Group

Hamburg Süd and its Swedish customer Electrolux are teaming up to reduce sulfur dioxide emissions in ports. During its layovers in Manzanillo, Mexico; Callao, Peru; and Iquique and Puerto Angamos, Chile. Between March 11 and 24, the 7,114 TEU containershp Santa Catarina voluntarily used cleaner marine gas oil (MGO) instead of standard heavy fuel oil (HFO) to operate its auxiliary engines and boilers. Hamburg Süd and Electrolux already carried out a fuel upgrade in the past, thereby making a contribution to environmental and health protection.

Jan-March Oil Shipments from Georgia's Batumi Down 54 pct

Batumi Port (© Sergej Ljashenko/ Adobe Stock)

Oil and oil-related shipments from Georgia's Black Sea port of Batumi fell 53.7 percent between January and March from a year earlier, an official at the KazMunaiGas-operated terminal said on Wednesday. The official said some volumes of crude oil had been rerouted to the Baku-Tbilisi-Ceyhan pipeline and to the Caspian Pipeline Consortium this year, while some fuel oil had been sent to the port of Taman in Russia and Georgia's other Black Sea port of Kulevi. About ten Batumi terminal…

Sinanju Orders Singapore's 1st Dual-Fuel Bunker Tanker

Sinanju's Depiction of theDual-Fuel Bunker Tanker (CREDIT: Sianju)

Singapore-based Sinanju Tankers Holdings has ordered what it says will be Singapore's first dual-fuel bunker tanker, to be powered mainly by liquefied natural gas (LNG).

Shipping Fuel Costs to Spike 25% on Sulphur Cap

© Kara / Adobe Stock

Costs to rise from roughly $100 bln today; just 2 pct of global fleet to have scrubbers in 2020. Global shipping fuel costs are likely to rise by a quarter, or $24 billion, in 2020 when new rules limiting sulphur kick in, consultants Wood Mackenzie said on Wednesday. The ballooning costs will come as the change in regulations forces a portion of the world's fleet to switch to lower sulphur, but higher cost, fuels such as marine gasoil (MGO) and ultra low sulphur fuel oil. The…

Van Oord LNG Fueled Crane Vessel Named

For celebration of 150th anniversary, Van Oord starts with the naming of the first LNG vessel Werkendam

With a two-day event on the quay of the Biesboschhaven Zuid harbour in Werkendam, Van Oord will launch its first LNG-powered vessel: the Werkendam. Because of Van Oord’s 150th anniversary, this event is taking place in Werkendam, the cradle of the company. On Friday 13 April, school children from the surrounding area are being given a guided tour of the new crane vessel. Business relations are also being welcomed on board during a special network meeting. On Saturday 14 April, the naming ceremony will be held. In the presence of guests and staff, the vessel will be named by Pia van Oord.

LNG as a Fuel Won't Meet Strict Carbon Regulations - analyst

File Image: A recent LNG bunkering operation in progress (CREDIT: Nauticor)

Switching to liquefied natural gas (LNG) to fuel ocean-going vessels may not be enough for shippers to comply with long-term emissions regulations and they will have to find additional ways of reducing emissions, JBC Energy said on Tuesday. The International Maritime Organization (IMO) on Friday reached an agreement to cut carbon dioxide (CO2) emissions by at least 50 percent by 2050 compared with 2008 levels. Shipping accounts for 2.2 percent of world CO2 emissions, according to the IMO, the United Nations agency responsible for regulating the shipping industry.

Scrubbers 'No Silver Bullet' for Shipping -Wartsila

© Diego Cardini / Adobe Stock

Global shipping fleet must cut sulfur emissions by 2020. Wartsila received record orders for sulfur scrubbers last year. Shipping industry hopes that so-called sulfur scrubbers are a quick-fix solution to compliance with drastic emissions reduction demanded by 2020 are somewhat misguided, one of the world's biggest manufacturers of the equipment told Reuters. The International Maritime Organization's (IMO) cut to the amount of sulfur the world's fleet can emit will have massive implications for shippers, oil refiners and even crude oil producers.

Singapore to Require Flow Meters for Bunker Transfers

File Image (CREDIT: AdobeStock / © Seafarer81)

Singapore's Maritime Port Authority (MPA) is set to announce it is making use of mass-flow-meters (MFM) mandatory onboard marine gasoil barges used to refuel large ships, two people with knowledge of the matter said. The announcement will be made at a gala dinner in the city state organised by the International Bunker Industry Association (IBIA) later on Thursday, the people said. They spoke on condition of anonymity because they were not authorised to speak to the media. It wasn't…

Singapore Extends Compulsory Use of Flow Meters to Distillate Barges

© Dmitry Zheltikov / Adobe Stock

Singapore will extend the mandatory use of mass-flow-meters to bunker barges delivering distillate fuels to large ships, the port authority said on Friday, ahead of an expected pick-up in the use of distillates to meet caps on sulfur content.Singapore, the world's largest marine refueling hub, became the first port to mandate the use of mass-flow-meters (MFMs) in 2017, making them compulsory for marine fuel oil bunker barges licensed by the Marine Port Authority (MPA).Along with a crackdown on short deliveries to bunker fuel customers…

ExxonMobil Launches MFMS for Marine Gas Oil in Singapore

Photo: ExxonMobil

ExxonMobil said it is launching its mass flow metering system (MFMS) for marine gas oil (MGO) in Singapore, with the first barge deliveries set to start in May 2018.The Maritime and Port Authority of Singapore (MPA) has mandated that all distillates must be delivered via a MFMS from July 1, 2019. ExxonMobil worked closely with the MPA during a trial that was concluded in October 2017 and is now in a position to launch its MFMS for MGO deliveries ahead of the deadline.According to ExxonMobil…

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