The first trade executed on the new Singapore FOB Marine Fuel 0.5% (Platts) futures contract was brokered on the basis of $200 spread with high sulphur fuel (HFO) for December 2019.
The expanded Panama Canal saw container trade switching from the US West Coast calls, with landbridge connections inland, to calls on the East Coast, however, higher fuel costs associated with the IMO’s 2020 sulphur cap could drive up to 1.2m teu of trade back to West Coast ports.
A new study on how vessels can achieve zero emissions has been released by Lloyd’s Register (LR) and University Maritime Advisory Services (UMAS), showing what is needed for shipping as it heads toward the IMO 2050 greenhouse gas (GHG) emission reduction strategy.
Scorpio Bulkers, which along with sister company Scorpio Tankers, has taken a major bet on scrubbers to comply with the IMO’s 2020 low sulphur regulations is assuming a price spread of $250 per tonne between high and low sulphur fuel once the limit is in force.
The scale of the challenge facing ship operators as they prepare bunker tanks for new low-sulphur fuels ahead of the IMO’s 2020 sulphur cap may have been underestimated, according to some marine fuel experts.
London-based Greek shipowners have urged the IMO to bring together oil companies, marine equipment makers and classification societies to guarantee fuels created to comply with 2020 environmental rules do not damage engines and cause accidents.
Bunker supplier Monjasa is bringing the Panama-flagged- 2010-built and 8,800 dwt tanker, Accra, to complement its Panama Canal bunker fleet.
A total of 10 countries are set to ban or restrict open-loop scrubbers in some or all of their ports, and more are likely to follow, according to P&I club Gard.