Marine Link
Thursday, March 28, 2024
SUBSCRIBE

Oil Product News

16 Nov 2023

US Sanctions Maritime Companies, Vessels for Shipping Oil Above Russian Price Cap

© Kalyakan / Adobe Stock

The U.S. on Thursday imposed sanctions on maritime companies and vessels for shipping Russian oil sold above the G7's price cap, as Washington seeks to close loopholes in the mechanism designed to punish Moscow for its war in Ukraine.The U.S. Treasury Department in a statement said it slapped sanctions on three United Arab Emirates-based companies and three vessels owned by them in the action, accusing the vessels of engaging in the export of Russian crude oil priced above the $60 a barrel cap.

18 Oct 2023

Russia's Western Sea Port Oil Exports Seen Falling as Refinery Runs Rise

© AUUSanAKUL+ / Adobe Stock

Russia's oil exports via its western sea ports in November may fall by some 300,000 barrels per day (bpd) after ample supplies in September-October as domestic refineries are expected to raise runs as seasonal maintenance ends, three sources familiar with the plans said.Urals, Siberian light and KEBCO crude oil exports from Primorsk, Ust-luga and Novorossiisk ports are set to decline by some 300,000 bpd from October to slightly above 2 million bpd, according to the sources familiar…

21 Sep 2023

Product Tanker Newbuild Contracting hits 10-year high

Source: BIMCO

“During the first eight months of 2023, contracting of product tanker newbuilds hit a 10-year high, reaching 140 ships and 10.72 million deadweight tons (DWT). The last time more than 10 million DWT were contracted from January through August was in 2013,” said Niels Rasmussen, Chief Shipping Analyst at BIMCO.Newbuild contracting activity during the past five years has been low at about 5.46 million DWT per year. In addition, the product tanker order book hit a low of 9.67 million DWT in December 2022…

23 Aug 2023

Insurers Raise Premiums for Black Sea Tankers as Tensions Mount

© Gagarin / Adobe Stock

Insurance companies have notified charterers of ships operating in Russia's Black Sea ports of an increase in additional payments known as "war risk premiums", four traders said.A war risk premium was added to the common insurance costs for tankers last year after the start of Russia's military action in Ukraine, which Moscow calls a special military operation.Military actions in the Black Sea area of Russian and Ukrainian Black Sea ports have escalated since the grain export deal fell apart in mid-July.Most recently Russia reported several attacks at its Black Sea ports.

08 Aug 2023

China's July Crude Imports Drop to Lowest Since January

Credit: Igor Groshev/AdobeStock

China's crude oil imports in July fell 18.8% from the previous month to the lowest daily rate since January, customs data showed on Tuesday, as major exporters cut back overseas shipments and domestic stocks continued to build. Crude shipments into the world's biggest oil importer in July totaled 43.69 million metric tons, or 10.29 million barrels per day (bpd), the data from the General Administration of Customs showed. June's 12.67 million bpd of imports were the second-highest on record.

28 Jun 2023

Performance Shipping Bags Charter for M/T P. Aliki Tanker

Performance Shipping, a shipping company specializing in the ownership of tanker vessels, has entered into a time charter contract with ST Shipping & Transport Pte Ltd., for the 2010-built, 105,304 dwt, LR2 Aframax oil product tanker, the M/T P. Aliki. The gross charter rate will be based on a fixed floor rate of US$45,000 per day for a period of minimum of four months to a maximum of five and a half months at the charterer's option, plus a 50/50 profit share provision above the floor rate. The charter started on June 26, 2023, and is expected to generate approximately a minimum of US$5.5 million to a maximum of US$7.5 million in gross revenue to Performance Shipping…

06 Apr 2023

Western Restrictions on Russian Oil Reshuffle Global Shipping Patterns

©Happyphotons/AdobeStock

Global fuel suppliers are turning to longer and costlier routes that produce more carbon emissions to move their diesel and other products as Western restrictions on Russian cargoes have reshuffled global energy shipping patterns.As a result of the European Union ban on Russian fuel that started on Feb. 5, tankers carrying clean oil products such as gasoline, diesel, jet fuel and naphtha are traveling between 16 and 18 days to bring Russian supplies to Brazil or U.S. cargoes to Europe…

03 Feb 2023

EU Agrees on Price Caps on Russian Refined Oil Products

© momentscatcher / Adobe Stock

European Union countries agreed to set price caps on Russian refined oil products to limit Moscow's funds for its invasion of Ukraine, the Swedish presidency of the EU said on Friday.EU diplomats said the price caps are $100 per barrel on products that trade at a premium to crude, principally diesel, and $45 per barrel for products that trade at a discount, such as fuel oil and naphtha. Ambassadors for the 27 EU countries agreed on the European Commission proposal,which will apply from Sunday.The price caps…

22 Dec 2022

US Gives Grace Period to Cargoes Under Russia Oil Product Price Cap

© Vladimir / Adobe Stock

The U.S. Treasury Department said late on Wednesday that shipments facing the G7's upcoming price cap on oil products such as diesel and gasoline from Russia will have a grace period to arrive at their destination.G7 democracies and Australia are planning to cap prices on two oil products from Russia from Feb. 5 as part of their effort to reduce Moscow's export revenues as it wages war in Ukraine. The move will follow the G7's cap on Russia's seaborne crude oil exports that went into effect on Dec. 5.The measures seek to limit Russia's revenues gradually.

15 Dec 2022

Performance Shipping Takes Delivery of Secondhand Tanker

Greek shipowner Performance Shipping announced on Thursday that it has taken delivery of a 2013-built LR2 Aframax oil product tanker that it agreed to purchase in November 2022.The 105,408 dwt P. Long Beach (formerly Fos Hamilton) was acquired for $43.75 million, partially financed through a term loan facility with Alpha Bank S.A.Long Beach is equipped with an eco-electronic engine and fitted with a ballast water treatment system (BWTS).The vessel is the fourth vessel delivered to the company during the course of this year, bringing the Performance Shipping’s current fleet to a total of eight Aframax tankers.Andreas Michalopoulos, the Company’s Chief Executive Officer, said, “The delivery of our second LR2 Aframax tanker, the M/T P.

17 Nov 2022

Performance Shipping Buys Secondhand Aframax Tanker

Greek shipowner Performance Shipping on Thursday announced it has signed a memorandum of agreement to purchase a secondhand 105,408 dwt LR2 Aframax oil product tanker for $43.75 million.The vessel, Fos Hamilton, was built by South Korea's Hyundai Heavy Industries in 2013 and is equipped with an eco-electronic engine and ballast water management system (BWMS). It is scheduled to be delivered to the company in mid-December 2022 and will be renamed P. Long Beach.Performance Shipping said it will finance the acquisition with cash proceeds from the previously announced sale its oldest vessel, P. Fos, as well as a new senior secured facility.Andreas Michalopoulos…

10 Nov 2022

Performance Shipping Takes Delivery of Secondhand LR2 Tanker

Greek shipowner Performance Shipping Inc. announced it has taken delivery of its first LR2 Aframax oil product tanker, a 2010-built 105,304 dwt vessel it purchased in August 2022.As previously announced, the P. Aliki—formerly named Alpine Amalia—was acquired for a total purchase price of $36.5 million and financed with $18.25 million cash on hand and $18.25 million from the recently announced term loan facility with Alpha Bank S.A.The vessel will enter into a time charter contract with Trafigura Maritime Logistics Pte Ltd. commencing in mid-November at a daily rate of $45,000 per day for a period of minimum seven months to a maximum of 10 months at the option of the charterer.Andreas Michalopoulos…

20 Sep 2022

Marine License Insurance: Do You Need It?

Sponsored Content:Every year, many professional mariners become involved in accidents that trigger a USCG investigation.Imagine working aboard a vessel and, suddenly, you’re involved in a maritime accident that triggers a Coast Guard investigation. In the blink of an eye, your career and USCG license are in serious jeopardy. Every year, this scenario is reality for professional mariners throughout the U.S. Fortunately, MOPS Marine License Insurance can change that.What is Marine…

19 Sep 2022

Marine License Insurance: Do You Need It?

Sponsored Content:Every year, many professional mariners become involved in accidents that trigger a USCG investigation.Imagine working aboard a vessel and, suddenly, you’re involved in a maritime accident that triggers a Coast Guard investigation. In the blink of an eye, your career and USCG license are in serious jeopardy. Every year, this scenario is reality for professional mariners throughout the U.S. Fortunately, MOPS Marine License Insurance can change that.What is Marine…

16 Sep 2022

Marine License Insurance: Do You Need It?

Sponsored Content:Every year, many professional mariners become involved in accidents that trigger a USCG investigation.Imagine working aboard a vessel and, suddenly, you’re involved in a maritime accident that triggers a Coast Guard investigation. In the blink of an eye, your career and USCG license are in serious jeopardy. Every year, this scenario is reality for professional mariners throughout the U.S. Fortunately, MOPS Marine License Insurance can change that.What is Marine…

24 Aug 2022

Performance Shipping Buys Secondhand Aframax Tanker

Greek tanker owner Performance Shipping on Wednesday announced it has reached a deal to acquire a secondhand Aframax tanker for $36.5 million.The vessel, a 105,304 dwt LR2 Aframax oil product tanker built by South Korea's Hyundai Heavy Industries in 2010, will be renamed P. Alik from Alpine Amalia. The ship is fitted with a ballast water treatment system (BWTS) and exhaust gas cleaning system (EGCS), and its next scheduled special survey and drydock is in 2025.Performance Shipping said it expects to take delivery if the vessel in November 2022. The tanker will be the seventh in the company’s fleet.The company said it intends to finance…

01 Aug 2022

Tanker Spills Oil on the Mississippi River

Hafnia Rhine discharged an estimate of 2,100 gallons of oil before its crew secured the source of the discharge. (Photo: U.S. Coast Guard Sector New Orleans)

A Singaporean-flagged oil tanker discharged oil on the Lower Mississippi River near Kenner, La., on Thursday.U.S. Coast Guard Sector New Orleans watchstanders received notification at 6:08 p.m. that the Hafnia Rhine discharged oil during a fueling operation with a fuel barge at Ama Anchorage, mile marker 115. Watchstanders dispatched Coast Guard pollution responders to the scene.The tanker crew secured the oil discharge, but Sector New Orleans pollution investigators estimated up to 2…

17 Dec 2021

Successful Trial: BP, Maersk Tankers Use Biofuel Blend on Tankers

Credit: Maersk Tankers

BP and Maersk Tankers successfully completed trials using marine fuel blended with biofuel on tankers as efforts grow to tackle the shipping sector's greenhouse gas emissions.Global shipping accounts for around 3% of global carbon emissions. The sector is considered relatively hard to decarbonize because of a lack of alternatives to marine fuel.The trials were completed on two refined oil product carriers chartered to BP from Maersk Tankers - Maersk Cirrus and Maersk Navigator, BP said in a statement.Maersk Tankers is an independent company, owned by A.P.

08 Nov 2021

China's Crude Oil Imports in Oct Drop to Lowest in Three Years

Illustration only - Crude oil tanker in front of Qingdao coastline - Credit: Igor Groshev - AdobeStock

China's crude oil imports plunged in October to the lowest since September 2018, as large state-owned refiners withheld purchases because of rising prices while independent refiners were restrained by limited quotas to import.The world's biggest crude oil importer brought in 37.8 million tonnes last month, data from the General Administration of Customs showed on Sunday, equivalent to 8.9 million barrels per day (bpd).That is down from 9.99 million bpd in September and 10.02 million bpd in the same period last year.Over the January-October period, crude arrivals totaled 425.06 million tonnes,

07 Oct 2021

Crude Oil Tanker Demolishing Hits 39-month High -BIMCO

© tittip / Adobe Stock

Has the lid finally come off for crude oil tanker demolition in 2021? If judged by the 1.9 million DWT of capacity that was removed in September, the answer is “yes”, says shipping organization BIMCO. Despite this, it is still too early, however, to declare a sudden U-turn, as we have only seen 2.2 million DWT scrapped in the previous eight months of this year.For the month of September, 15 crude oil tankers, three oil product tankers, two small Handymax bulkers and no containerships have been demolished.

08 Sep 2021

Profitability Still a Way Off for Tanker Shipping -BIMCO

© momentscatcher / Adobe Stock

New virus mutations and outbreaks have slowed the recovery in global oil demand as some countries lock down again and international travel remains complicated.Drivers of demand and freight ratesTo say that the summer has not been kind to the crude oil shipping industry would be an understatement. Average earnings have dropped below $10,000 per day since June for all crude oil tankers, with many trades offering negative earnings; freight rates are not high enough to cover voyage expenses, let alone operating and financing costs.

10 Aug 2021

VLCC Owners Avoid Scrapping ... For Now

© Carabay

During the first seven months of 2021, only three actively trading Very Large Crude Carriers (VLCCs) have been sold for demolition. The current market for seaborne transportation of crude oil is weak and has caused freight rates to drop to multi-year lows. Despite this, crude oil tanker shipowners are not seizing the opportunity to reduce capacity and send less efficient units to the demolition yards.The subdued demolition activity is seen at a time when steel prices offered in Bangladesh, India, and Pakistan – the world’s top ship demolition locations – are at an all-time high.

29 Sep 2021

Oil Tanker Market Set to Endure Low Earnings for Another Year -BIMCO

© aerial-drone / Adobe Stock

The global oil tanker market faces another year of low earnings as the coronavirus pandemic and vaccine inequalities disrupt demand and producers limit output of crude, a shipping analyst said on Wednesday.The earnings of very large crude carriers (VLCCs) that carry the bulk of crude stand at about $10,000 a day, down from 2020 record highs of more than $240,000, after the pandemic battered demand, creating an oil surplus and a scramble for storage.Despite a patchy recovery in global oil demand and some easing of output cuts…