Prices of both 3.5% sulphur US Gulf HSFO and 0.5% … Platts Oil helps to develop, connect & explain the market price of crude oil and oil products. Virtually no-one switched to MGO. So, where do we go now with marine fuels? HSFO 180 refer to aromatic rubber process oil with sulfure conent around 3 % . The price of spot Singapore 380 cst HSFO, however, was indicated higher at $399.50 pmt on 6 January, and prices had been firmly below $400 over the last quarter of 2019, Ship & Bunker data showed. The only markets left for 3.5% HSFO are power generation, which currently uses LNG and coal (approx. On occasions, HSFO actually became more difficult to purchase than VLSFO. Despite this, HSFO prices remained stronger than VLSFO. SINGAPORE FUEL OIL 180 CST (PLATTS) FUTURES - QUOTES Globex. HSFO-380 VLSFO 0.5% ULSFO 0.1% MGO Deliv. Fuel Oil Outright - USGC HSFO (Platts) Future 6753543. The tender closed Nov. 27. The build-up of stocks in advance of 2020 meant shortages did not occur and the reduction in demand through COVID-19 meant the supply chain hasn’t been fully tested. For the past 44 years, Pakistan State Oil has been fuelling the needs of the nation. USGC HSFO was assessed at a discount of $29.19/b to Brent on November 13, and 3.5% FOB Rotterdam at a discount of $36.13/b to Brent on November 27, both all-time lows. As of May 2020, the scrubber-fitted fleet stands at 2,893 ships, or 2.9% of the combined fleet in terms of ships, but equal to 15.6% of total fleet when looking at deadweight tonne (source: Clarksons). Interest Rates. Much of the discussion at the time related to increased costs, lack of availability and fuel quality issues, so the response was not surprising. The HSFO have a maximum sulphur content of 3.5%. The spike in HSFO was driven by restricted availability as storage shifted to VLSFO. My view was that the decision was political and that, given the environmental context, it would be impossible to delay. HSFO 180 refer to aromatic rubber process oil with sulfure conent around 3 % . Whereas, the price for Marine Gas Oil Low Sulphur (MGO LS) has largely remained stable, the price for High Sulphur Fuel oil (HSFO) has been become increasingly more volatile in recent months. Discover how you can access our oil prices, news & analysis In October, the delivered IFO 380 CST price in Singapore averaged $270.91/mt, S&P Global Platts data showed. Fang+, FTSE, MSCI derivatives. Compliance options. The price of VLSFO rose, at times to higher than the next alternative, MGO. The volume of oil demand affected by this change is significant. If, as predicted, there is a sharp drop in demand for high sulphur fuel oil (HSFO) in 2020 when the global 0.50% sulphur limit comes into force, it is likely to have an acute impact on the price differential with low sulphur fuel products. The discount of 380-centistoke fuel oil to Dubai crude was as narrow as 4 cents a barrel on Oct. 30, according to Bloomberg Fair Value data. The graph shows the price of HSFO and 0.5% low sulphur fuel oil (VLSFO). Global Environmental Complex. Prices rose in December as shipowners transitioned to the IMO 2020 compliant low-sulphur fuel oil causing the VLSFO and high-sulphur fuel oil (HSFO) spread to reach record breaking levels. The oil price has recovered from a low of about $50 per barrel at Christmas, and is now holding steady at above $60 per barrel. Consider that the top 7 ports account for 60% of bunker demand (Singapore skews this number significantly). The most liquid oil contracts. Quality hasn’t really been a problem either. The discount of 380-centistoke fuel oil to Dubai crude was as narrow as 4 cents a barrel on Oct. 30, according to Bloomberg Fair Value data. S&P Global Platts US Gulf Coast 3%S residual fuel oil assessment is a benchmark assessment that reflects the price of high-sulfur fuel oil at five locations within the Houston Ship Channel of Texas. © Energy Voice 2020. Demand will return to previous levels, probably during 2021, and this is why Sahara Group, propelled by its commitment to promoting cleaner fuels and protecting the environment is planning to expand its supply of VLSFO with the construction of a processing unit in Fujairah. IMO 2020 and lower sulfur-content requirements. As a result, the prices for HSFO have remained remarkably stable, despite the changes. The tone of IMO … Proactive suppliers like Sahara Group were able to source and blend fuel oil to the new requirements. In 2016, the International Marine Organization (IMO) agreed to limit the sulfur content in all marine fuels to 0.5 percent beginning in 2020, with the exception of fuel burned in Sulfur Emission Control Area regions, which are already at lower sulfur limits. The USGC HSFO (Platts) Average Price Option is a premium-paid-upfront option. It has been a long six months since January 2020. The Singapore delivered VLSFO cargo price fell from $565/t on January 31 (having peaked at $740/t on January 6) to around $292.85/t on June 16. The current price of Brent crude oil as of December 14, 2020 is $50.27 per barrel. Prices for marine gas oil and the new blended fuel are expected to rise sharply, while HSFO prices will fall. The transition to a new fuel specification was expected to be slow. In order to compete, 3.5% HSFO will need to be priced at parity with LNG and coal which results in a price of approximately $220/mt. In mid-September 2019 the price of HSFO was briefly higher than VLSFO, and the peak difference in price was shortly after January 1, 2020. [1] However, when considering the price of HFO it is critical to incorporate the environmental consequences and the … In the MARPOL Marine Convention of 1973, heavy fuel oil is defined either by a density of greater than 900 kg/m³ at 15°C or a kinematic viscosity of more than 180 mm²/s at 50°C. Those making the right investment decisions could be very big winners. S&P Global Platts Analytics forecasts that around 2,200 vessels … Bunker Prices. HSFO cracks will fall sharply relative to recent history; Crude quality price differentials will widen dramatically in refinery parity with light-heavy and sweet-sour product spreads. As of December 14, 2020 is $ 50.27 per barrel average in.... Spread between 0.5 % S marine fuel types IFO 180 or IFO 380 CST price Singapore... 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