Sign up
Log in Sign up
Mon 11 Aug 2008, 10:41 GMT

Fujairah supplier secures 380-cst cargo


UAE firm buys 60,000-tonne fuel oil parcel for end-August delivery.

India's Essar Oil has sold a 60,000-tonne cargo of fuel oil to oil trader and bunker supplier FAL Oil, The Economic Times reports.

The 380-centistoke (cst) parcel is scheduled for loading on August 27th to 28th from the company's Vadinar refinery in Jamnagar, Gujarat, located on the west coast of India.

The cargo sale to one of Fujairah's leading bunker suppliers follows reports that Iran has reduced its fuel oil exports due to a rise in domestic demand. Approximately 50 percent of Fujairah's fuel oil is said to originate from Iran.

Market sources also claimed towards the end of July that shipments of heavy fuel would be halted from August as Iran builds stocks ahead of winter and due to a heavy fourth-quarter maintenance season. This prompted a swift reply from Seifollah Jashnsaz, Managing Director of the National Iranian Oil Company, who last week said there would be no halt in fuel oil exports and that the country would be continuing the shipments to its trading partners as usual.

Iran has reportedly been shipping approximately 1.2 million tonnes of residual fuel monthly since April. Reports of a reduction in fuel oil exports follows an announcement by Saudi Aramco that it would not be selling any spot fuel oil cargoes due to a rise in demand from domestic utilities and new secondary refining units.

The Saudi Arabian state oil firm, which typically sells between one and two 80,000-tonne cargoes of fuel oil per month, will now absorb these parcels for use in the domestic market.

Aramco, the largest fuel oil exporter from the Middle East into East Asia, usually offers a 380-cst parcel from its joint-venture refinery in Jubail or a 180-cst cargo from its oil processing facility in Ras Tanura.

Fuel oil supplies in Asia are predicted to remain tight in the near future. Market sources expect competition for Indian fuel oil cargoes to increase as a consequence with buyers from the Middle East and Singapore in the hunt for scarce product.

The fuel oil differential to Dubai crude is currently over $22 the record low reached in June. The price settled at a discount of $8-$9 a barrel on August 7th.

Hapag-Lloyd and DSV logo side by side. Hapag-Lloyd and DSV sign 18,000-tonne CO2e reduction agreement for sustainable marine fuels  

Two-year framework allows inclusion of alternative fuels beyond biofuels in shipping decarbonisation partnership.
Bangkok city skyline. Uni-Fuels opens Thailand office as part of Southeast Asia expansion  

Marine fuel supplier establishes Bangkok entity, appoints managing director with 15 years’ industry experience.
Washington State Hybrid-Electric 160-Auto Ferry vessel render. Corvus Energy to supply battery systems for Washington State Ferries hybrid vessels  

ABB selects Corvus for two new 160-vehicle ferries as part of $3.98bn electrification plan.
Vinssen and Mana Engineering sign MoU. Vinssen, Mana Engineering partner on hydrogen fuel cell retrofit for 800-teu feeder vessel  

South Korean and Dutch firms to pursue Lloyd’s Register approval for hybrid retrofit concept.
Hercules Elisabeth vessel. Hercules Tanker Management takes delivery of second Ultra-Spec vessel in China  

Hercules Elisabeth is the second of 10 hybrid-ready tankers designed for alternative fuels.
Wolf 1 vessel. Petrol Ofisi launches fuel supply tanker Wolf 1  

Turkish bunker supplier adds 1,750-dwt vessel with alternative fuel infrastructure to fleet.
BIMCO meeting. BIMCO to convene for adoption of biofuel clause and ETS provisions at February meeting  

Documentary Committee to consider new contractual frameworks for alternative fuels and emission trading scheme compliance.
Sea Change II vessel render. Incat Crowther and Switch Maritime develop 150-passenger hydrogen ferry for New York  

Design work begins on 28-metre vessel with 720 kg hydrogen capacity and 25-knot speed.
Aerial view of a container vessel. HIF Global signs heads of agreement with German eFuel One for 100,000 tonnes of e-methanol annually  

Deal covers supply from HIF’s Uruguay project, with e-methanol meeting EU RED III standards.
Welcoming of Kota Odyssey at Jordan’s Aqaba Container Terminal. PIL’s LNG-powered vessel makes maiden call at Jordan’s Aqaba port  

Kota Odyssey is Pacific International Lines’ first LNG-fuelled ship to call at the Red Sea port.




 Recommended