Wed 6 Aug 2008, 15:10 GMT

Singapore MGO drops to lowest price since April


Marine gas oil price has plummeted by 23 percent since hitting record last month.



The price of marine gas oil (MGO) at the port of Singapore reached its lowest level since April today following significant price drops over the last four days of trading.

MGO at the world's leading bunker port by volume fell to $1057 per tonne on Wednesday following successive decreases in price over the previous three days. The distillate grade has now fallen by $88 since Thursday July 31st, when suppliers were quoting $1145 per tonne according to Bunker Index price data.

The price of MGO is currently at its lowest level since April 17th when suppliers were quoting $1049 per tonne.

Record levels were reached on July 3rd, when MGO was being sold at up to $1370 per tonne. Singapore's best-selling distillate grade has now plummeted by 23 percent since hitting peak levels just over a month ago.

Meanwhile, the price of 380-centistoke (cst) - the port's largest-selling product - was pegged at $688 per tonne today according to Bunker Index price data, $10 lower than yesterday and $35 lower than on Monday when the product was being traded at $723 per tonne.

Interestingly, today's price is only $4 per tonne lower than on July 28th, whereas the price of WTI crude has dropped by over $5 per barrel during the same period.

Nine days ago, WTI crude oil on the New York Mercantile Exchange (NYMEX) was being traded at $124.73 per barrel. During trading today, WTI crude for September delivery was at $119.29 per barrel by 09:49 GMT.

Singapore's third best selling product, 180-cst, was priced today at $702 per tonne, $39 lower than at the end of business on Monday and $13 less than yesterday's price of $715 per tonne.

The price of this product has now tumbled by $78 since reaching a record daily average of $780 on July 15th. A trading range of between $778 and $795 per tonne on that day saw 180-cst prices almost breach the $800 barrier for the first time.


Arctic Tern vessel. Wallenius Wilhelmsen takes delivery of first methanol-ready Shaper Class vessel  

The dual-fuel Arctic Tern will enter service on the Asia–Europe trade almost immediately.

Al Muraykh vessel. Hapag-Lloyd signs shore power agreement with Hamburg Port Authority  

Deal commits the carrier to using onshore power supply at all Hamburg terminals.

Dorthe Karin Bendtsen, KPI OceanConnect. KPI OceanConnect reports 21% rise in pre-tax earnings for 2025/26  

Marine fuel firm delivers 13 million tonnes and expands carbon markets capabilities amid geopolitical turbulence.

VTTI logo. VTTI Dalian completes first large-scale 'green methanol' vessel loading  

Cargo to be supplied as marine fuel in Shanghai.

Steff Tan, Oilmar. Oilmar appoints Steff Tan as marine fuels trader in Singapore  

New hire's background spans bunker operations, logistics, commercial trading, marketing, and business development.

Feng Da Hai vessel. Cosco Shipping adds methanol-ready bulk carrier Feng Da Hai to fleet  

The 64,000-tonne vessel is equipped with a methanol fuel system for future low-carbon operations.

Oilmar office in Dubai. Oilmar welcomes summer intern to Dubai branch  

Arpit Aryan will rotate across the bunker fuel trading, finance and operations departments.

Aerial view of the Dubai skyline. Oilmar takes on trading and finance intern in Dubai  

New intern to rotate across trading, operations and finance teams.

Seaspan and Maersk signing. Seaspan and Maersk deepen fleet efficiency collaboration with $75m upgrade programme  

Retrofit package for four 13,000-teu vessels includes installation of shaft generator to reduce auxiliary engine fuel consumption.

European Parliament building in Brussels. EU Parliament vote on soy biofuels could expose bloc to $5.6bn a year in trade sanctions  

MEPs reject regulation that would have phased out soy biofuels, risking WTO retaliation penalties.