Oil News

07 Apr 2020

BP Issues Force Majeure Notice for Golar FLNG Unit

(Image: BP)

Golar LNG Ltd said on Tuesday that it received a force majeure notice from a BP Plc unit seeking to delay taking delivery of a floating liquefied natural gas facility by a year.The notice is the latest force majeure claim issued in the LNG sector that is struggling with a seasonal plunge in demand as well as the spread of the coronavirus outbreak, which has further hammered the consumption of the super-chilled fuel globally.BP is expecting a one-year delay due to the pandemic and currently sees no possibility in reducing the duration of the new timing…

07 Apr 2020

As Oil Crisis Deepens, Hedge Funds Sense a Turnaround

© nattapon7/AdobeStock

Hedge fund managers sensed oil prices were nearing a turning point last week, and for the first time in more than two months started to add long positions in anticipation prices would bounce from an unsustainable low.Overall, hedge funds and other money managers were still net sellers of 19 million barrels of petroleum in the six most important futures and options contracts in the week ending on March 31.But they initiated 40 million barrels of new purchases as well as 59 million barrels of fresh sales, according to position records published by ICE Futures Europe and the U.S.

07 Apr 2020

VTT Studying Bio- and Waste-based Oils for Ships

© pengzphoto / Adobe Stock

Researchers looking for an ecologically and economically sustainable way to replace fossil fuels are exploring how suitable fuel oils made from biomass and waste plastics are for power plants and ship diesel engines.Internal-combustion engine power plants use natural gas or heavy fuel oil in diesel engines. In order for large diesel engines to be environmentally sustainable both on land and at sea, it is necessary to find bio- and waste-based alternatives to fossil fuels. These…

07 Apr 2020

Gallery: Giant Crane Vessel Lifts Snorre A Module

The world's largest crane vessel Sleipnir is lifting the SEP module in front of the North Sea Hall in Haugesund. Photo √ėyvind S√¶tre/Aibel.

World's largest semi-submersible crane vessel Sleipnir on Saturday picked up a module for Equinor's Snorre A platform from the quayside at Aibel's yard in Haugesund, Norway.The 220-meter long and 102-meter wide vessel Sleipnir recently arrived in the North Sea region for the first time since its delivery from Singapore last year.It on Saturday arrived at Aibel's yard in Haugesund to pick up the approx. 600-tonne Riser Hang Off module for the Snorre Expansion Project (SEP), and according to Aibel…

07 Apr 2020

Total Charters LNG Dual-fuel VLCCs

(Photo: AET)

Malaysian shipowner AET said it signed a deal with Total's Chartering and Shipping Services SA for the time charter of two liquefied natural gas (LNG) dual-fuel very large crude carriers (VLCC). The two newbuilds, which are able to carry about 300,000 tons of crude oil each, are scheduled to be delivered to AET from the first quarter of 2022.The two newbuilds will be powered by LNG and will be among the most environmentally friendly VLCCs in the market. When in service, they will emit around 20% less CO2 greenhouse gases than conventional vessels; 85% less NOx and 99% less SOx.

07 Apr 2020

Schottel EcoPeller Deployed For Norwegian Ferry Refit

Photo: SCHOTTEL

German maritime propulsion specialist Schottel announced that its Schottel Rudder Eco-Peller (SRE) is set to be installed for the first time in a retrofit project.For the project, a pair of four-bladed SREs type SRE 340 L CP, with an input power of 750 kW each, will be featured in a double-ended ferry from the Norwegian ferry operator Torghatten Traf-ikkselskap.Significant for this project is the fact that no hull changes or major steel work will be necessary, al-lowing work to be carried out by a local shipyard…

07 Apr 2020

Korean Shipyards Test LNG Pumps in Denmark

The Svaneh√łj test tower is an unrivaled tool to validate how the deepwell pumps operate in the most extreme conditions. (Photo: Svaneh√łj Group A/S)

Nothing is left to chance when Korean shipyards Samsung Heavy Industries and Hyundai Heavy Industries are building giant gas tankers worth billions of dollars."It‚Äôs as close to reality as we can possibly get," says Project Manager Lars Foged from Svanehøj, which designs and manufactures deep well and in-line pumps for applications in areas such as relief of liquefied gas, management of gas fuel, engine cooling, fire protection and scrubber technology.In recent months, Foged and his colleagues have been busy in the pump factory‚Äôs 35-metre test tower in Aalborg, Denmark.

07 Apr 2020

North Sea FPSO Shut Down Due to Coronavirus Case Aboard

Hummingbird Spirit FPSO - Image Credit: Spirit Energy

Production from the Hummingbird Spirit FPSO operating at the Chestnut field in the UK sector of the North Sea has been shut down after a coronavirus case has been confirmed aboard.It was initially understood that there has been one confirmed case, and one subsequent suspected case on the FPSO and that production has been temporarily shut-in. The Teekay-owned FPSO is located at Spirit Energy-operated Chestnut offshore oil field.A Spirit Energy spokesperson said the company was working‚Ķ

07 Apr 2020

Opinion: Renewable Energy Wins Over Oil and Gas in Post-Coronavirus World

© Geoff Tweddle / Adobe Stock

Imagine waking up one morning with a deadly tiger snake in your bed. To make matters worse out of the window you notice an approaching bushfire.Both are a threat to your life, but you are going to deal with the imminent danger of the snake first, and then tackle the more distant but still serious fire. It's the same with the new coronavirus and climate change.Since the rapid spread of the coronavirus beyond its origin in China and the social and economic havoc it's wreaking across the globe…

07 Apr 2020

Tankers Carrying U.S. LNG Heading to China After Tax Waivers Granted

SK Resolute LNG Carrier - Image by Geir Vinnes - MarineTraffic

Tankers carrying U.S. liquefied natural gas (LNG) are on their way to China after Beijing started granting tax waivers to some importers, according to shipping and trade sources.This is the first time since March 2019 that shipments have resumed after a long-standing trade war that saw China raise tariffs on LNG imports from the United States to 25% last year.Four LNG tankers are currently en route to China after loading cargoes last month in the United States, ship-tracking data…

06 Apr 2020

US Says No Requests Yet to Waive Jones Act to Help Oil Companies

(Photo: Crowley)

The U.S. government said on Monday it has not yet received requests to waive a 100-year-old law on shipping goods between domestic ports, despite some interested parties who say temporarily lifting the regulation would help energy companies hurt by the oil price plunge.Kelly Cahalan, a spokesperson at the U.S Customs and Border Protection agency of the Department of Homeland Security, said no requests to waive the Merchant Marine Act, better known as the Jones Act, have been received.U.S.

06 Apr 2020

Vietnam Protests Beijing's Sinking of South China Sea Boat

© worawut17 / Adobe Stock

Vietnam has lodged an official protest with China following the sinking of a Vietnamese fishing boat it said had been rammed by a Chinese maritime surveillance vessel near islands in the disputed South China Sea.The Vietnamese fishing vessel, with eight fishermen onboard, was fishing near the Paracel Islands on Thursday when it was rammed and sunk by the Chinese vessel, Vietnam's foreign ministry said in a statement posted on a government website on Saturday.All the fishermen were picked up by the Chinese vessel alive and were transferred to two other Vietnamese fishing vessels operating nearb

03 Apr 2020

Lubrication Selection Fundamentals

¬© Wojciech WrzesieŇĄ / Adobe Stock

As an operator of vessels, you understand that lubricants play an important role in helping you achieve your operational objectives. Yet, finding the right one can be overwhelming since there’s an almost unlimited number of different lubricant formulations. An understanding of lubrication chemistry, performance expectations and operational objectives will help you select a lubricant that will improve operations and lower your overall costs.Lubrication benefitsThe basic function of a lubricant is to reduce friction by separating interacting surfaces.

03 Apr 2020

PGS Cold Stacks Two Seismic Vessels in Response to Low Oil Price

For illustration: Ramform Hyperion vessel - Image by PGS

Norwegian offshore seismic surveyor PGS has said that the coronavirus pandemic and the disruption in the oil market present unprecedented challenges for the offshore services industry, including the marine seismic industry.PGS expects the low oil price will have a material adverse impact on demand for seismic services and activity levels.Brent crude futures fell 3.2%, or 97 cents, to $28.97 per barrel as of 0636 GMT, after having risen 21% on Thursday.While oil companies have recently canceled several seismic survey contracts…

03 Apr 2020

Oil Posts Biggest One-day Gain After Trump Touts Saudi-Russia Deal

© Pavel Ignatov / Adobe Stock

Crude prices posted their biggest-one day gains on record on Thursday after President Donald Trump said he expects Russia and Saudi Arabia to announce a major oil production cut, and Saudi state media said the kingdom was calling an emergency meeting of producers to deal with the market turmoil.Trump said he had spoken to Saudi Crown Prince Mohammed bin Salman, and expects Saudi Arabia and Russia to cut oil output by as much as 10 million to 15 million barrels, as the two countries signaled willingness to make a deal.Trump did not specify barrels per day (bpd)…

02 Apr 2020

Low-Speed, Dual-Fuel Engines Pass 1 Million Operating Hours

View of an MAN B&W 11G90ME-GI engine during its recent shop test. (Photo: MAN Energy Solutions)

Mk II ME-GI and Otto-cycle ME-GA recently added to two-stroke portfolio MAN Energy Solutions reports that its portfolio of two-stroke, dual-fuel engines has accumulated 1 million operating hours.Bjarne Foldager ‚Äď Senior Vice President, Head of Two-Stroke Business at MAN Energy Solutions ‚Äď said: ‚ÄúThis significant milestone owes everything to the dual fuel strategy we have laid over the past decade.‚ÄĚMAN Energy Solutions‚Äô ME-GI (-Gas Injection) and ME-LGI (-Liquid Gas Injection) engines form the core of its two-stroke‚Ķ

02 Apr 2020

Kirby Completes Savage Fleet Acquisition

(Photo: Savage)

Houston-based Kirby Corporation said Thursday it has completed the acquisition of Savage Inland Marine’s inland towboat and tank barge fleet. The total consideration paid was approximately $278 million and was financed with additional borrowings. Savage’s fleet consists of 46 inland towboats and 90 tank barges with approximately 2.5 million barrels of capacity. Savage primarily moves petrochemicals, refined products, and crude oil on the lower Mississippi River, its tributaries…

02 Apr 2020

EU Antitrust Regulators Pause Hyundai, Daewoo Deal Probe

(Photo: Hyundai Heavy Industries)

EU antitrust regulators have halted their investigation into world No.

02 Apr 2020

While Oil Prices Plummets, Tanker Rates Fly High

Source: BIMCO, Clarksons

If one ever needed proof that, no matter how dire the situation, there is always a silver lining, look no further than the crude tanker market, which has seen it day rates skyrocket in the face of a global pandemic that has effectively ground world commerce to a crawl.As is the case with other gravity defying business phenomena, geopolitics is a central factor, in this case a battle between Russia and Saudi Arabia to flood the world with oil in the face of declining demand and…

02 Apr 2020

Long-Term Charter with Total for Havila PSV

Havila Commander - Image by Alan Jamieson/Flickr - Shared under CC BY 2.0 license

Norwegian offshore vessel owner Havila Shipping has secured a long-term contract for its platform supply vessel Havila Commander.Havila Shipping said Thursday that the contract was with Total E&P UK, the UK subsidiary of the French oil major Total.The new contract for the 2010-built platform supply vessel is for a firm period of 18 months. The contract will begin in mid-April 2020 in direct continuation of its current contract.The 85 meters long Havila Commander PSV has worked for Total E&P UK since April 2012.

01 Apr 2020

Vard Scores Fishing Vessel Contract

(Image: Vard)

Norwegian shipbuilder Vard announced it has secured a NOK 500 million $47.8 million) contract to design and build a stern trawler for fishing company P/F Akraberg, a subsidiary of Framherji in the Faroe Islands.Erik Haakonsholm, Vard's General Manager of Offshore and Specialized vessels, said, ‚ÄúThe new contract is a bright spot for Vard, our employees and suppliers, and shows that it is possible to look forward despite challenging times.‚ÄĚThe hull of the vessel will be built at the Romanian yard of the Group in Braila‚Ķ

02 Apr 2020

Workers From a BP Gulf of Mexico Platform Test Positive for COVID-19

File photo. BP did not say which platform the COVID-19 cases were associated with or whether production was impacted. (Photo: BP)

Several workers on a BP Plc oil platform in the U.S. Gulf of Mexico have tested positive for coronavirus, the company said on Wednesday, a day after a worker at BP's operations in Alaska also tested positive.The cases are the first recorded among oil workers in the Gulf of Mexico and Alaska, and follow a positive test at an Equinor offshore project in the North Sea.A case of the coronavirus was also reported at BP's Whiting, Indiana refinery, according to local media reports.More than 850…

01 Apr 2020

Vitol Marine Fuels Acquires Sinanju Tanker Holdings

©  Rex Wholster / Adobe Stock

Vitol Marine Fuels Pte Ltd, a subsidiary of the Vitol Group, has acquired 100% of Singapore-based bunkering specialist Sinanju Tankers Holdings.The Singapore Bunkering license holding entity has been renamed Vitol Bunkers (S) Pte Ltd and from 1st April 2020 all bunker deliveries will be carried out by Vitol Bunkers (S) Pte Ltd.Through the transaction, Vitol has acquired an expert bunker tanker manager and operator with extensive experience of physical bunker supplies in the port of Singapore…

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