• 2023 April 26

    From Whom: Vitaliy Chernov

    (news@portnews.ru)

    About: “Bunker Market. Prices”: world trade revival, RF Ministry of Energy's forecast of LNG consumption increase


    “Bunker Market. Prices”: world trade revival, RF Ministry of Energy's forecast of LNG consumption increase

    - With the arrival of spring the world trade is reviving: China lifts coronavirus restrictions and is increases the consumption of resources. Against this background, bunker sales are also growing: in the first quarter of 2023, sales of marine fuel in Singapore grew by over 9%. LSFO 380 still makes the bulk of sales.

    Meanwhile, the Ministry of Energy of the Russian Federation forecasts the increase of LNG consumption by water transport. According to the Ministry, gas fuel consumption by sea and river transport totaled 270.9 million cbm, or 194.9 thousand tonnes in 2022. As of today, Russia has only 10 LNG-fueled vessels including 9 sea-going ones (7 tankers and 2 dry-cargo ships) and one passenger vessel for inland waterways.

    The concept of the Ministry of Energy foresees the construction of some 300 LNG-fueled ships by 2035. This figure includes about 70 sea-going vessels (7 dry-cargo ships, 8 tankers, 10 passenger ships and 44 tugs), 187 river-going vessels (68 passenger ships, 14 tankers, 5 dry-cargo ships, 100 tugs), as well as 74 fishing vessels.

    By 2035, the number of bunkering bases is to total 25 including those for sea transport in the ports of Murmansk, Arkhangelsk, St. Petersburg, Primorsk, Vysotsk, Ust-Luga, Taman, Tuapse, Vanino, Kholmsk, Vladivostok, Nakhodka, Petropavlovsk-Kamchatsky, and some for river transport in the ports of Moscow (northern region), Cherepovets, Nizhny Novgorod, Kazan, Naberezhnye Chelny, Saratov, Samara, Volgograd, Rostov-on-Don and others.

    The decarbonisation trend continues worldwide. The Maritime and Port Authority of Singapore, Port of Los Angeles, and Port of Long Beach signed a memorandum of understanding to establish a green and digital shipping corridor between Singapore and the San Pedro Bay port complex. The parties will work to facilitate the supply and adoption of these fuels and explore the necessary infrastructure and regulations for bunkering.

    HMM, in its turn, has announced its plans to conduct the trial use of the fuels on its containerships in the second half of this year.

    Read more in the “Bunker Market. Prices” digest.

    IAA PortNews’ bunker market digest issued twice a week offers operational information about the key industry events, statistics and analytics. It is mostly exclusive information not published on the portal or print outlets.

    The digest includes:

    • Indicative prices for bunker fuel are divided into three categories: fuel, high-sulfur and low-sulfur fuel oil, in USD and RUB
    • The main factors that influenced the change in the cost of marine fuel
    • Global bunker fuel prices
    • Review of wholesale prices for petroleum products
    • Information about ship calls
    • Bunkering market news

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