Oil major
Total is to cease its physical supply operations of marine fuel in the Gulf of Mexico at the end of July, Platts reports.
In an email, Total Specialties USA, Inc., which has offices in Linden, New Jersey, and Houston, Texas, said it "has decided to suspend its US Gulf Coast retail bunker operations" from August 1st, but will continue to carry out deliveries "as usual" throughout the month of July.
Total has been supplying clients with intermediate fuel oil (IFO) and marine gas oil (MGO) in the US Gulf Coast ports of Barbour's Cut, Beaumont, Freeport, Galveston, Houston, Lake Charles, Orange / Port Neches, Port Arthur and Texas City.
The reason for the company's decision to cease operations in the region has been attributed to strong competition and extremely low margins by industry players.
In Houston, the US Gulf Coast's biggest port, a copious availability of product combined with poor demand and low prices has increased competition amongst suppliers.
According to Platts, the difference between high-sulphur fuel oil (HSFO) and retail high-sulphur RMG-specification IFO 380 for ships in Houston has averaged just 34 cents per metric tonne during the first 137 trading days of the year. It is only the third time since 1997 that the premium has been below $2 - the other two times being in 1999 (40 cents) and 2002 (53 cents).
In addition to marine fuels, Total has also been a key supplier of marine lubricants in the US Gulf, carrying out deliveries in Baton Rouge, Beaumont, Brownsville, Corpus Christi, Freeport, Galveston, Gulfport, Houston, Lake Charles, LOOP Terminal, Mobile, Nederland, New Orleans, Pascagoula, Point Comfort, Port Arthur, Port Manatee, Tampa and Texas City.
The contact details for Total's office in Linden, New Jersey, have been provided below.
Total Specialties USA, Inc.
Phone: +1 800 323 31 98
Phone: +1 908 862 64 29
Phone/Fax: +1 908 862 48 19
Email: usrmlin-marlogla@total.com
Address:
5 North Stiles Street
07036-0001
Linden NJ
