Tue 9 Jan 2018, 09:15 GMT

Oil and fuel oil hedging market update


By the Oil Desk at Freight Investor Services.



Fuel Oil Market (January 8)

The front crack opened at -9.90, weakening to -10.05 across the day. The Cal 19 was valued at -11.50.

Asia's front-month high-sulphur fuel oil crack fell on Monday on persisting concerns of weak near-term demand leading to a build-up in supplies, trade sources said.

The February 180 cSt fuel oil crack to Brent crude fell for a fourth straight session to minus $7.38 a barrel, its widest discount since November 2016. Overall profits for Asia's oil refiners dropped to their lowest since May last year as rising supplies dragged down regional fuel prices at the same time that global crude oil prices have climbed to two-year highs.

Clearlake, Gunvor's shipping arm, has chartered a very large crude carrier, Saham, to load up to 270,000 tonnes of fuel oil from Denmark around Jan. 11 for discharge into Singapore by end-February for a $3.05 million fee.

Economic Data and Events

* 11am: NFIB Small Business Optimism, Dec.

* 5pm: EIA's STEO monthly report

* 9:30pm: API issues weekly U.S. oil inventory report

Singapore 380 cSt

Feb18 - 375.75 / 377.75

Mar18 - 376.25 / 378.25

Apr18 - 376.50 / 378.50

May18 - 376.50 / 378.50

Jun18 - 376.25 / 378.25

Jul18 - 375.50 / 377.50

Q2-18 - 376.50 / 378.50

Q3-18 - 374.25 / 376.25

Q4-18 - 370.50 / 373.00

Q1-19 - 362.75 / 365.25

CAL19 - 341.50 / 344.50

CAL20 - 289.75 / 294.75

Singapore 180 cSt

Feb18 - 379.50 / 381.50

Mar18 - 380.75 / 382.75

Apr18 - 381.00 / 383.00

May18 - 381.25 / 383.25

Jun18 - 381.50 / 383.50

Jul18 - 381.00 / 383.00

Q2-18 - 381.25 / 383.25

Q3-18 - 379.75 / 381.75

Q4-18 - 376.50 / 379.00

Q1-19 - 370.50 / 373.00

CAL19 - 349.75 / 352.75

CAL20 - 298.75 / 303.75

Rotterdam Barges

Feb18 363.25 / 365.25

Mar18 364.00 / 366.00

Apr18 364.25 / 366.25

May18 364.25 / 366.25

Jun18 363.75 / 365.75

Jul18 362.75 / 364.75

Q2-18 364.00 / 366.00

Q3-18 360.50 / 362.50

Q4-18 352.50 / 355.00

Q1-19 345.25 / 347.75

CAL19 320.75 / 323.75

CAL20 269.75 / 274.75


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Global Ethanol Association (GEA) logo. Thoen Bio Energy joins Global Ethanol Association  

Shipping group with Brazilian ethanol ties becomes member as association plans export-focused project group.

Geiranger Fjord, Norway. Norway enforces zero-emission rules for cruise ships in World Heritage fjords  

Passenger vessels under 10,000 GT must use zero-emission fuels in Geirangerfjord and Nærøyfjord from January 2026.

D-Flex PSV design render. Longitude unveils compact PSV design targeting cost efficiency  

Design consultancy launches D-Flex vessel as a cost-efficient alternative to larger platform supply vessels.

IBIA hiring graphic IBIA seeks advisor for technical, regulatory and training role  

Remote position will support the association’s IMO and EU engagement and member training activities.

Truck-to-ship LNG bunkering in Hammerfest. Barents NaturGass begins LNG bunkering operations for Havila Kystruten in Hammerfest  

Norwegian supplier completes first truck-to-ship operation using newly approved two-truck simultaneous bunkering design.

Everllence L70ME-GI engine. Everllence receives 2,000th dual-fuel engine order from Cosco  

Chinese shipping line orders 12 methane-fuelled engines for new 18,000-teu container vessels.

Sakura Leader vessel. NYK signs long-term charter deals with Cheniere for new LNG carriers  

Japanese shipping company partners with Ocean Yield for vessels to be delivered from 2028.

Ocean Legacy vessel. Sallaum Lines takes delivery of LNG-powered container vessel MV Ocean Legacy  

Shipping company receives new dual-fuel vessel from Chinese shipyard as part of fleet modernisation programme.

Gas Utopia vessel alongside Oceanic Moon vessel. Rotterdam bio-LNG bunkering surges sixfold as alternative marine fuels gain traction  

Port handled 17,644 cbm of bio-LNG in 2025, while biomethanol volumes tripled year-on-year.





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