Saudi Arabia News

24 Sep 2020

'Oil Spot' Reported Near Decaying Tanker off Yemen

Satellite image ©2020 Maxar Technologies.

Saudi Arabia warned the U.N. Security Council on Wednesday that an "oil spot" had been seen in a shipping transit area 31 miles (50 km) west of a decaying tanker that is threatening to spill 1.1 million barrels of crude oil off the coast of Yemen.The Safer tanker has been stranded off Yemen's Red Sea oil terminal of Ras Issa for more than five years. The United Nations has warned that the Safer could spill four times as much oil as the 1989 Exxon Valdez disaster off Alaska.In a letter to the 15-member body, reviewed by Reuters, Saudi Arabia's U.N.

10 Sep 2020

Second Wave of Floating Storage Triggered by Ailing Oil Market

© Vladimir / Adobe Stock

A stalled global economic recovery from the coronavirus pandemic is leading to a fresh build-up of global oil supplies, pushing traders including Trafigura to book tankers to store millions of barrels of crude oil and refined fuels at sea again.The use of so-called floating storage onboard tankers comes as traditional onshore storage remains close to capacity as supplies outpace demand.Trading house Trafigura has chartered at least five of the largest tankers each capable of storing 2 million barrels of oil…

31 Aug 2020

Alberta Oil Shipped Through Panama Canal to Atlantic Canada

© Amtek Marine / MarineTraffic.com

On July 20, the tanker Cabo de Hornos delivered an estimated 450,000 barrels of crude oil to the Irving Oil refinery’s Canaport storage facilities in Saint John, N.B.What made Cabo de Hornos’s delivery different was that it was the first time crude oil had arrived in Saint John by ship from Alberta. It came via the Trans Mountain pipeline to the Westbridge Marine Terminal in Burnaby, B.C., and then through the Panama Canal.By the end of April next year, a second tanker will arrive at Canaport carrying 350,000 to one million barrels of Western Canadian crude oil.

31 Aug 2020

Saudi-led Coalition Destroys Explosive-laden Drone, Boat Launched by Yemen's Houthis

Map by  Peter Hermes Furian/AdobeStock

The Saudi-led coalition fighting in Yemen intercepted and destroyed an explosive-laden drone at Saudi Arabia's Abha international airport and a remotely controlled explosive-laden boat in the south of the Red Sea both launched by Iran-aligned Houthis on Sunday, Saudi state news agency (SPA) reported.As a result of intercepting the drone, some splinters fell on the airport, causing no injuries or damage, coalition spokesman Colonel Turki al-Malki said, according to SPA.Air traffic at the airport was proceeding as normal, state-run Al Ekhbariya TV said, citing its reporter.Al-Malki said the expl

21 Aug 2020

Bahri Orders Ten Chemical Tankers from Hyundai for $410M

Image Credit: Bahri (Cropped)

Saudi Arabia's national shipping company Bahri has ordered ten 49,999-dwt Medium Range (MR) chemical tankers from Hyundai Mipo Dockyard, part of South Korea's Hyundai Heavy Industries (HHI).Bahri said the order, signed at a virtual ceremony,  was valued $410 million, meaning $41 million per vessel. The first deliveries are expected in the first quarter of 2022.Seung-Yong Park, Chief Operating Officer and Senior Executive Vice President of HHI, said the latest order would bring the tally of various types of vessels that HHI has built for Bahri to 61.In May 2020…

18 Aug 2020

SS Cape Florida Arrives in Brownsville for Recycling

SS Cape Florida (Photo: EMR)

It's the end of the line for decommissioned barge carrier SS Cape Florida, which recently arrived at a scrapyard in the Port of Brownsville in Texas for recycling.International Shipbreaking LLC, (ISL) part of EMR, has been awarded a U.S. Maritime Administration (MARAD) contract to transport, strip and recycle the decommissioned vessel, which has been out of service since 2006.After being awarded the contract on July 6, ISL made preparations to tow the Cape Florida from MARAD Ready Reserve Fleet in Beaumont…

14 Aug 2020

IMSC Issues Statement on Iran Boarding Liberian-flagged Tanker

Wila, a merchant vessel in international waters en-route to the UAE port of Khor Fakkan, in the Gulf of Oman, was boarded by armed Iranian personnel from both an Iranian Sea King helicopter and the Iranian auxiliary vessel Hendijan (1401). (U.S. Navy photo)

The International Maritime Security Construct (IMSC) has issued a statement on Wednesday's boarding of the commercial tanker Wila by Iranian forces in the Gulf of Oman, calling the incident a "blatant violation of international law"."Iran's use of its military forces to conduct an armed boarding of a commercial vessel in international waters constitutes a blatant violation of international law that undermines freedom of navigation and the free flow of commerce," said IMSC, a partnership…

06 Aug 2020

U.S. Sends First Crude Shipment to Saudi Arabia in Years

Illustration by evgenii/AdobeStock

The United States sent a shipment of crude to Saudi Arabia in June, data from the U.S. Census Bureau showed on Wednesday, in what appears to be the first such delivery since the U.S. ban on crude exports ended in 2015.The United States shipped about 550,000 barrels, or 18,300 barrels per day (bpd), of crude to Saudi Arabia in June, U.S. Census data shows. The U.S. Energy Information Administration has no recorded instances of a U.S. crude shipment to Saudi Arabia.U.S. Census data shows a miniscule 1,000-barrel shipment to Saudi Arabia in 2002.

05 Aug 2020

Deadly Explosion Rips Through Beirut Port Area

© Em / Adobe Stock

A powerful blast in port warehouses near central Beirut storing highly explosive material killed 78 people, injured nearly 4,000 and sent seismic shockwaves that shattered windows, smashed masonry and shook the ground across the Lebanese capital.Officials said they expected the death toll to rise further after Tuesday's blast as emergency workers dug through rubble to rescue people and remove the dead. It was the most powerful explosion in years in Beirut, which is already reeling from an economic crisis and a surge in coronavirus infections.President Michel Aoun said that 2…

27 Jul 2020

China's Surging Crude Imports Mask Weakness in the Rest of Asia

Illustration only - Crude oil tanker in China - Credit: Igor Groshev/AdobeStock

The ongoing flood of crude oil into China is obscuring the fact that demand in the rest of Asia remains weak, and that countries in the world's top-consuming region didn't join China is stocking up when prices slumped.China's crude imports set consecutive records in May and June, and will remain at high levels in July and likely August too, as the massive volumes of oil bought during a brief price war in April enter the country.China imported 12.9 million barrels per day (bpd) in June…

23 Jul 2020

Video: Navantia Launches Saudi Arabia's New Warship

(Photo: Navantia)

Spanish state-owned shipbuilder Navantia on Wednesday launched the first of five Avante 2200 corvettes it's building for the Royal Saudi Naval Forces (RSNF) for delivery through 2024.The five frigates were ordered in July 2018 for a cost of €1.8 billion ($2.1 billion), and first steel was cut for the series' first vessel in January 2019.Launched at the builder's San Fernando shipyard, the new vessel Al-Jubail has a length of 104 meters, a beam of 14 meters and will be able to accommodate 102 people (crew and additional personnel).

09 Jul 2020

Wave of N. American Oil and Gas Bankruptcies to Continue at $40 Oil

© Mike Mareen / Adobe Stock

A wave of oil and gas bankruptcies in North America is likely to continue this year as oil prices remain depressed and a new surge of COVID-19 cases threaten to stall any recovery in fuel demand, law firm Haynes and Boone said in a report released this week.Bankruptcies surged in the second quarter, including from major shale independents Chesapeake Energy and Whiting Petroleum, as oil prices collapsed due to the pandemic and a brief, unexpected price war between Saudi Arabia and Russia.There were 18 producer bankruptcies in the second quarter…

10 Jul 2020

Governments Pledge Crew Change Action

A dozen countries have have committed to facilitate crew changes and achieve key worker designation for seafarers, following a virtual ministerial summit hosted by the U.K. government on Thursday, marking progress to help resolve a growing crisis facing the maritime industry, and enable hundreds of thousands of stranded seafarers to go home or join ships.“The inability of ship operators worldwide to conduct ship’s crew changes is the single most pressing maritime operational challenge to the safe and efficient movement of global trade…

01 Jul 2020

LOOP Crude Exports Surge Surprisingly

© Vladimir / Adobe Stock

Crude exports from the Louisiana Offshore Oil Port (LOOP) are hitting a record high even as U.S. crude exports have fallen as the coronavirus pandemic has chopped worldwide fuel demand.Oil majors Royal Dutch Shell Plc and BP Plc are the main winners from rising LOOP exports, because they pump most of the mid-sour crude exported from the terminal.LOOP largely ships out Mars crude, a medium-sour grade of oil produced from the Mars platform, a joint venture of majority-owner Shell and BP, located about 130 miles (210 km) off the coast of New Orleans.

26 Jun 2020

China's Saudi Oil Imports Surge to All-time High

© Riekelt / Adobe Stock

China's crude oil imports from Saudi Arabia nearly doubled in May from a year earlier to all-time high as refineries snapped up cheap fuel, while the kingdom retained its position as the top supplier to the world's biggest oil buyer.Arrivals from Saudi last month reached 9.165 million tonnes, or 2.16 million barrels per day (bpd), up about 95% from 1.11 million bpd in May 2019 and up 71% from 1.26 million bpd in April, data from the General Administration of Customs showed.Chinese refineries have cranked up throughput to meet a recovery in fuel demand…

26 Jun 2020

Video: President Trump Visits Fincantieri Marinette Marine

President Trump delivers remarks at the Fincantieri Marinette Marine shipyard in Wisconsin (Photo: Fincantieri Marinette Marine)

President Donald Trump visited Fincantieri Marinette Marine Thursday following the Wisconsin shipyard’s recent contract award to design and build the U.S. Navy's first-in-class FFG(X) guided-missile frigate.The first U.S. president to visit the Marinette Marine shipyard, Trump toured the facilities where Freedom-class Littoral Combat Ships (LCS) are currently built and met with employees before delivering remarks in which he pledged support to the U.S. shipbuilding industry and congratulated the shipyard for winning the multibillion dollar frigate contract."Not long ago…

22 Jun 2020

Carnival Extends Operations Pause to Sept. 30

© Tamme / Adobe Stock

Carnival Cruise Line said on Monday it has extended its pause in operations for North American voyages until September 30, as it determines how to safely resume service amid the COVID-19 pandemic.The cruise line, owned by Carnival Corp, had previously said it would resume some voyages on August 1.Industry trade group Cruise Lines International Association (CLIA) said on Friday its ocean-going cruise line members, which include Carnival, Royal Caribbean Cruises Ltd, and Norwegian Cruise Line Holdings Ltd, would voluntarily extend their pause in operations from U.S. ports until Sept.

15 Jun 2020

A New Role for Service Providers Amidst Energy Upheaval

© Mike Mareen/AdobeStock

In today’s energy industry, things are moving fast. The upheaval brought about by COVID-19 and exacerbated by the Russia-Saudi Arabia oil price war has been so profound that the International Energy Agency (IEA) has described the situation as “a once in a century event for energy demand”. This is supported by current IEA predictions which suggest a 6% drop in global energy demand in 2020 – seven times worse than the plunge in demand that followed the 2008 recession.Amid what the IEA has dubbed a “dismal” year for fossil fuels…

02 Jun 2020

Abu Dhabi Ports Launches Feeder Service

SAFEEN FEEDERS’ vessels will operate a pendulum loop of transhipment services to mainline operators at ports across the upper Arabian Gulf and Indian Sub-Continent, on weekly 21-day rotations from Khalifa Port in Abu Dhabi. (Image: Abu Dhabi Ports)

Abu Dhabi Ports has established a new feeder services company, SAFEEN FEEDERS, to serve the group’s mainliner shipping clients in the Gulf region.SAFEEN FEEDERS will introduce a new feeder service linking Abu Dhabi to ports serving the UAE, the broader Gulf region and Indian Sub-Continent. The service will be executed in partnership with feeder service operator Bengal Tiger Line (BTL) through a vessel sharing agreement.The service will allow for exchange of container cargo between mainliner vessels and the vessels within the rotation calling at nine regional ports located across the UAE…

25 May 2020

BIMCO Tanker Rate Analysis: Reality Kicks In, Rates Fall

Source: BIMCO, Clarksons

Tanker shipping: sky high freight rates replaced by reality of falling global oil demandGeopolitical tensions have now eased, leaving freight rates to feel the full effects of the weak underlying market and falling demand. Tanker shipping looks set to be under pressure for the rest of the year.Demand drivers and freight ratesThe tanker shipping industry was once again caught in a whirlwind, as freight rates skyrocketed with little regard to the poor market fundamentals before the latter once again caught up with rates.

21 May 2020

China to Receive Rare U.S. Ethanol Shipment on Friday

SC Chongqing - Image by Nils Junge - MarineTraffic

A rare ethanol shipment of U.S. origin is expected to arrive in China this month, according to three industry sources and shipping data, probably the first such cargo since the two countries struck an initial trade deal in January.The market has been watching closely for signs of renewed trade in biofuel after China waived some additional tariffs on 696 American products, ethanol among them, to support purchases of U.S. farm goods, after the signing of the Phase 1 trade deal.Oil tanker SC Chongqing…

18 May 2020

Bahri Takes First of Four New Bulk Carriers

© Igor Strukov / Adobe Stock

Saudi Arabian ship owner Bahri said it has taken delivery of the new Kamsarmax bulk carrier Sara, built by Hyundai Vietnam Shipbuilding (HVS), a subsidiary of Hyundai Mipo Dockyard Co. Ltd. (HMD).The 81,000 dwt vessel is the first in a series of four ordered by Bahri Dry Bulk from South Korea’s HMD in August 2017. The three remaining vessels are all scheduled to be delivered this year.The new ship will transport basic grains, such as wheat, barley, corn and other dry-bulk cargoes, for import into Saudi Arabia.The 229-meter newbuild increases the Bahri’s fleet of dry-bulk carriers to six ships.

14 May 2020

Iran's Oil Exports Dwindle to Record Low

© leodeep / Adobe Stock

Iran's oil exports have sunk to a record low as the coronavirus crisis compounds the impact of U.S. sanctions already limiting shipments, underlining the diminishing oil clout of what was OPEC's second-largest producer.Exports averaged 70,000 barrels per day in April, down from 287,000 bpd in March according to Kpler, which tracks the flows. The difficulty assessing volumes means the total may be revised higher and Kpler told Reuters that could possibly be to as much as around 200…

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