MOL sees average bunker price jump 23% in Q3

Japanese shipowner paid an average $376 per tonne in the third fiscal quarter.

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Updated on 31 Jan 2018 12:05 GMT

Mitsui O.S.K. Lines (MOL) reports that the average bunker price paid by its fleet of vessels during the third quarter (Q3) of the current fiscal year rose by more than $70 per tonne compared to the same period 12 months earlier. Between October and December, MOL paid an average of $376 per tonne, which was an increase of $71, or 23.3 percent, on the $305-per-tonne figure recorded during the corresponding period in 2016. For the first nine months (April 1 to December 31), meanwhile, MOL's average bunker price rose by $76, or 28.7 percent, to $341 per tonne, up from $265 per tonne the year before. Forecast In its Q4 forecast, the Japanese firm predicts that its average bunker price will be $380 per tonne, which would be a year-on-year (YoY) increase of $41, or 12.1 percent. MOL's prediction for the second half (H2) of 2017 is $378 per tonne, which would represent a YoY rise of $57, or 17.8 percent. In its full-year outlook, MOL forecasts the average bunker price will reach $351 per tonne, which is $15 higher than the company's previous forecast of $336 per tonne and is $67, or 23.6 percent, above the $284-per-tonne average bunker price recorded in fiscal year 2016. H1, Q1, Q2 MOL previously announced last year that its average bunker price in H1 rose YoY by $81, or 33.6 percent, to $322 per tonne. In Q2, MOL paid an average of $325 per tonne - a YoY jump of $68, or 26.5 percent. MOL's average bunker price in Q1 was $319 per tonne, which was a YoY increase of $93, or 41.2 percent. Results In its overall results for Q3, MOL posted a net income of JPY 16.1 billion ($148 million) compared to JPY 2.9 billion last year. For the nine-month period between April and December, MOL's net income was JPY 29.2 billion - a YoY improvement of JPY 10.2 billion, or 53.7 percent.