Sign up
Log in Sign up
This is a legacy page. Please click here to view the latest version.
Thu 12 Oct 2017, 09:16 GMT

The news has not changed much since the start of this week


By A/S Global Risk Management.

By Michael Poulson, A/S Global Risk Management

Saudi Arabia's statement of supplying less oil in November still holds Brent above 56 USD in addition to European crude stocks being below 5-year average.

Furthermore the disputes in Iraq, in terms of the Kurdish region, still is a hot topic with risk of escalating. The situation could conclude in Turkey closing oil supply from the Kurdish region to the global market resulting in some 500 kbpd not being supplied

Looking at the longer term Iraq and/or Iran could step in to fill the decreased supply from Saudi Arabia. Iran has increased production remarkably since sanctions were lifted, and rumors are telling about new investments in Iraqi productivity.

Additionally the US is exporting record high amounts of the sweeter WTI grade crude oil, as the spread to Brent is relatively high making it profitable for consumers to switch. Most of the US exports are going to Asia as the demand seems strong on top of slightly bullish financials. The increased US supply is likely going to stay at these levels as long as the spread between WTI and Brent is more than 5 USD. So, this is raising the question if market is capable of digesting this increased supply. Just for now it looks so, bearing in mind that the oil market can change quickly.

One day late, the API published for the US oil stocks data. The data pointed pointed to a build of 3.1mbbl crude, 2mbbl build in distillates and a draw of 1.6mbbl on gasoline stocks. The EIA will release the inventory figures later today. Consensus is a build in crude; expect some volatility around the publishing.

OPEC released the monthly report yesterday, with another increased demand forecast for 2018. At the moment it doesn't seem to affect the price much, but it is definitely worth keeping in mind.


A/S Global Risk Management is a provider of customised hedging solutions for the management of price risk on fuel expenses. The company has offices in Denmark and Singapore. For further details about its risk management products and services, please call +45 88 38 00 00 or email hedging@global-riskmanagement.com.

Christiania Energy headquarters. Christiania Energy relocates headquarters within Odense Harbour  

Bunker firm moves to larger waterfront office to accommodate growing team and collaboration needs.
AiP award ceremony for 20K LNGBV design. HD Hyundai Heavy Industries receives design approval for 20,000-cbm LNG bunkering vessel  

Bureau Veritas grants approval in principle following joint development project with South Korean shipbuilder.
Lloyd’s Register technical committee meeting in Spain. Peninsula outlines dual role in FuelEU Maritime compliance at Lloyd’s Register panel  

Marine fuel supplier discusses challenges for shipowners and opportunities for suppliers under new regulation.
Current status of fleet fuel types chart. LNG-fuelled container ships dominate January alternative-fuel vessel orders  

Container ships accounted for 16 of 20 alternative-fuelled vessels ordered in January, DNV reports.
Rick Boom, CIMAC and Professor Lynn Loo, GCMD. GCMD and CIMAC sign partnership to advance alternative marine fuel readiness  

Two-year agreement aims to bridge operational experience with technical standards for decarbonisation solutions.
Renewable and low-carbon methanol project pipeline chart as of January 2026. Renewable methanol project pipeline reaches 58.2m tonnes by 2031, GENA reports  

Project Navigator Methanol tracks 275 projects, including e-methanol, biomethanol and low-carbon methanol facilities globally.
Petrobras logo. Petrobras adjusts bunker pricing and minimum order volumes at Santos  

Brazilian supplier discontinues volume discount tier and lowers minimum order quantity from 1 March.
Viking Grace vessel. Viking Line secures biogas supply for 2026 after tenfold increase in biofuel use  

Åland-based ferry operator aims to maintain 50% biogas blend throughout the year on two vessels.
GNV Aurora vessel. GNV takes delivery of second LNG-powered vessel Aurora from Chinese shipyard  

Vessel to enter service on Genoa–Palermo route in April, completing first fleet renewal phase.
Tangier Maersk vessel. Maersk takes delivery of first methanol-capable vessel in 9,000-teu series  

Tangier Maersk is the first of six mid-size container ships with methanol-capable dual-fuel engines.

↑  Back to Top


 Recommended