Heavy Products News

Facing a “gradually deteriorating market,” Sweden based tanker shipping company Concordia Maritime said it was able to post a profit in Q2 2016 based on high vessel employment and successful chartering, though still coming in under its Q2 2015 results largely due to an arbitration settlement and lower daily income for its vessels. The company reported a profit before tax of SEK 12.4 (44) million for the second quarter 2016, with operating cash flow (EBITDA) of SEK 57.2 (105.2) million, corresponding to USD 7 (13.1) million.

Concordia Maritime signed time-charter contract for two P-MAX tankers and launched a pool with four vessels. The time-charter contracts are with Stena Bulk and cover the wholly owned Concordia Maritime tankers Stena Perros and Stena President, for one year each. The pool to be started up by Concordia Maritime and Stena Bulk will also include the P-MAX vessels Stena Penguin and Stena Primorsk for the same period of time. The four tankers will transport heavy petroleum products, primarily in the Atlantic market. “We are very pleased with the agreement and still believe in a stronger market in 2015, but we also want to balance our spot market exposure.

Petchem producers unlikely to buy due to impurities in oil. Big middle distillates yield, less naphtha, LPG; wide variance in API gravities in assays, samples. Tests on samples of the same type of U.S. condensate now heading to South Korea and Japan have raised questions about the ultra-light crude's suitability for use in Asia, sources said, making some potential buyers wary about taking the oil. The uncertainty could delay a rapid build-up in the flow of U.S. condensate to Asia after the arrival of the first exports of U.S. crude in 40 years. Asian refiners and chemical producers will have to first determine the best use for the ultra-light oil before starting to buy in large volumes.

With the aim of giving a better service to its customers, CEPSA Marine Fuels, S.A. has put into place a new barge in Algeciras Bay, providing service for the ports of the Strait. The double hull barge is the Monte Anaga, which is new building and holds the most advanced technology. It has been specially designed to supply marine products in terms of manoeuvres, pumping rates, automatic blenders, radar soundings and meters. It segregates up to four different products, two for heavy products and two for lighter ones, providing a great versatility in everyday operations. The Monte Anaga is 4.335 MT DWT with a pumping rate of 4x250 m3/h for heavy and 2x100 for light products, and with capacity of 3.300 MT for heavy products and 550 MT for lighter ones.

Finnish Minister of Transport and Communications Leena Luhtanen will present the maritime safety prize to staff representatives of the Langh Ship shipping company onboard the icebreaker Sisu. The prize is awarded for the company’s approach to their work, which has enhanced safety at sea and resulted in their operating efficiently and economically. The shipping company, based in Piikkiö near Turku in south-west Finland, specializes in export deliveries of the Finnish steel industry’s heavy products. The transportation of bulky steel coils has caused problems ever since their production started. Coils loaded onto the tank top have been known to make vessels over-stable, causing them to roll violently in rough conditions.