B30-LSMGO UCOME hits $1,000/mt in the ARA

Earliest B100 delivery dates vary widely in Rotterdam

Hong Kong’s B24-VLSFO at slight discount to Singapore

Rotterdam

The port’s B30-VLSFO (HBE) and B30-LSMGO (HBE) prices have risen for a second straight week, supported by a $44/mt increase in the Prima-assessed POMEME CIF ARA barge price.

B30-VLSFO (HBE) has climbed by $21/mt. The increase has been tempered by a more modest $14/mt gain in the pure VLSFO price.

In contrast, a $40/mt rise in Rotterdam’s pure LSMGO price has pushed its B30-LSMGO (HBE) benchmark up by $38/mt over the past week.

Prima’s POMEME has mirrored a $44/mt increase in the UCOME FOB ARA barge assessment.

UCOME-based B30-VLSFO and B30-LSMGO in the ARA region have gained by $23–42/mt over the past week, with B30-LSMGO (UCOME) surging to $1,003/mt.

B30-VLSFO (UCOME) price was indicated at $834/mt in Gibraltar earlier this week, a $19/mt premium over the ARA on that day.

One bunker supplier's earliest delivery date for HBE-rebated B100 is four days out in Rotterdam, citing fully booked barges. Several others have recommended at least 7-8 days for similar HBE-rebated biofuels.

Another supplier can offer prompt delivery within 1-2 days, but only for UCOME that doesn’t qualify for the Dutch rebate.

Singapore

B24-VLSFO (UCOME) in Singapore has held mostly steady over the past week, edging up by $3/mt.

A $20/mt increase in the Prima-assessed UCOME China FOB cargo price has added upward pressure, though a $3/mt drop in the port’s pure VLSFO has offset most of the gains.

B24-LSMGO (UCOME) has posted a larger $14/mt rise, supported in part by a modest $2/mt increase in pure LSMGO.

“Demand for Chinese [UCOME] biodiesel in recent sessions has been described as weak, with a lack of trade discussions,” according to Prima.

Hong Kong’s B24-VLSFO (UCOME) is priced at $707/mt, a $5/mt discount to Singapore. That is down from parity with Singapore a week ago.

B24-VLSFO (UCOME) was indicated at $720/mt in Fujairah earlier this week, which was a $2/mt premium over Singapore on the same day.

Other bio-bunker news

British energy firm Greenergy has started a consultation to cease production at its biodiesel plant in Immingham on the UK’s east coast, citing sustained "market pressures" despite recent cost-cutting measures.

Singaporean shipbuilder Pinnacle Marine will trial 100% biofuel (B100) on one of its vessels. The utility vessel, President 100, is operated by Singaporean shipping firm Prestige Ocean. If successful, the trial could pave the way for the company to adopt B100 across its next 50 vessels, Pinnacle Marine said.

By Konica Bhatt

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