Sign up
Log in Sign up
Wed 27 Dec 2017, 10:00 GMT

Oil and fuel oil hedging market update


By the Oil Desk at Freight Investor Services.

Commentary

Brent closed last night at $67.02, WTI closed at $59.97. Wow. Did Wall St get the Christmas song mixed up? All I want for Christmas is crude? What a Christmas gift for the bulls with news of a pipeline explosion in Libya. Quite whether this was some technical traders taking advantage of London stuffing their faces with bubble and squeak and leftover Turkey is anyone's guess. I wonder though - what with the Forties pipeline restarting soon, London waddling back in and the Es Sider pipe that was sabotaged coming back online as soon as mid Jan, will the market readjust as quick as it is to spike? Probably not is the answer, I think. I still feel it is hope more than facts that are making people think the market balance is tighter than it actually is. But on its merry way it goes and as soon as news of a crude supply disruption breaks, the market jumps on it quicker than people who overindulge at Christmas sign up for a January gym membership. Quite how US oil production is being happily ignored when it is more than capable of plugging any supply deficits is beyond me, but 'ignorance is bliss' seems to be the phrase of 2017 if you're a crude producer outside of the US. Expect some volatility in the coming days on fairly thin trading.

Fuel Oil Market (December 22)

The front crack opened at -8.65, weakening to -8.75 across the day. The Cal 18 was valued at -8.10.

Singapore 380 cSt

Jan18 - 374.50 / 376.50

Feb18 - 373.75 / 375.75

Mar18 - 373.50 / 375.50

Apr18 - 373.00 / 375.00

May18 - 372.50 / 374.50

Jun18 - 372.50 / 374.50

Q1-18 - 374.00 / 376.00

Q2-18 - 372.50 / 374.50

Q3-18 - 368.50 / 371.00

Q4-18 - 363.75 / 366.25

CAL18 - 369.50 / 372.50

CAL19 - 333.25 / 338.25

Singapore 180 cSt

Jan18 - 378.50 / 380.50

Feb18 - 378.25 / 380.25

Mar18 -378.50 / 380.50

Apr18 - 378.25 / 380.25

May18 - 377.75 / 379.75

Jun18 - 377.00 / 379.00

Q1-18 - 378.50 / 380.50

Q2-18 - 377.75 / 379.75

Q3-18 - 374.25 / 376.75

Q4-18 - 3369.75 / 372.25

CAL18 - 375.00 / 378.00

CAL19 - 342.00 / 347.00

Rotterdam Barges

Jan18 360.50 / 362.50

Feb18 359.75 / 361.75

Mar18 359.50 / 361.50

Apr18 359.00 / 361.00

May18 358.00 / 360.00

Jun18 358.00 / 360.00

Q1-18 360.00 / 362.00

Q2-18 358.00 / 360.00

Q3-18 352.75 / 355.25

Q4-18 343.75 / 346.25

CAL18 354.00 / 357.00

CAL19 312.25 / 317.25

CMA CGM Notre Dame vessel at Singapore Port. Singapore 12-month bunker calls hit all-time high in July  

TTM calls at world's largest bunkering hub reach record levels despite softer sales volumes.
Cargo port in Singapore. Singapore T3M bunker sales stay below 14m tonnes for fourth month running  

Rolling three-month volumes remain subdued despite modest month-on-month recovery in July.
Shore power system launch at Port of Callao. Peru’s Port of Callao launches first shore power system in Latin America  

DP World Callao’s onshore power supply system could cut over 6,300 tonnes of CO₂ annually.
Aristodimos vessel. New Times Shipbuilding delivers LNG dual-fuel crude oil tanker to Capital  

Chinese yard hands over 155,500-dwt vessel in ceremony attended by owner’s representative.
MSC Sabrina and Alice Cosulich ship-to-ship (STS) bunkering operation. Shell completes maiden LNG bunkering operation in Valencia  

Delivery to MSC vessel facilitated by Fratelli Cosulich said to be first-ever LNG bunker supply at Spanish port.
Marina Bay Sands, Singapore. PIL hiring senior marine fuels executive to manage global bunkering operations  

Singapore-based role includes oversight of fuel procurement and delivery operations, covering PIL's fleet of container and multi-purpose vessels.
Steel-cutting ceremony of vessels with builder's hull nos. CHB2083 and CHB2084. Changhong International Shipbuilding cuts steel on two more 3100-teu boxships for Costamare  

HSFO-fuelled vessels feature scrubbers, SCR systems and shore power connections to meet emissions requirements.
Decab Hub and MMMCZCS logos. Lloyd’s Register and Maersk Mc-Kinney Møller Center launch ammonia safety and training resources for shipping  

New tools aim to help operators build the safety management and competency frameworks needed for ammonia-fuelled vessels.
Kevin Dohmen, IBT Bunkering & Trading. IBT Bunkering & Trading appoints Kevin Döhmen to manage new Singapore office  

Döhmen tasked with developing IBT’s operation in the Asian city-state.
Peak Skarv 3 vessel. Peak takes delivery of third S-class vessel and cuts steel for ammonia-fuelled ship  

Norwegian operator marks two events at Chinese yard as ammonia-powered newbuild programme advances.




   Fuels & Propulsion

Ammonia B100 B24 B30 Bio-LNG / LBM / LBG Biofuel Biogas Biomethanol Dual-fuel E-fuel E-methane / e-NG E-methanol Electric Ethanol FAME Green hydrogen Green/e-ammonia HVO Hydrogen LNG LPG Lubes Methanol MGO Nuclear UCOME ULSFO VLSFO Wind



 Recommended