Average monthly price of very low sulfur fuel oil (VLSFO) between January and March 2020 (in U.S. dollars per metric ton) [Graph]. A stronger European production story in Northern Europe is also forecast due to technological advancements, enabling higher extraction rates in the North Sea. Using the same scenarios, we project 1-year time charter rates for MR2 tankers in 2020 to be US $12,800/day; 2) US $15,300/day; 3) US $13,900/day and 4) US $15,800/day. The USG/UKC Aframax trade exhibits a slightly weaker earnings profile on a round-trip basis at US $9,400/day due to the pricing of potential back-haul voyages. Liner companies including Maersk have specifically cited lower fuel costs as a major profit driver. A spread of US $220/metric ton between VLSFO and HSFO is projected in year 2020 on this basis. Houston very-low-sulfur bunker fuel lost $155.50/mt, or 24.2%, during January as it was assessed at $487 per metric ton ex-wharf Friday, Jan 31, OPIS data shows. Suezmax deliveries were kept constant at 26, while bumped to 31 for 2020 (including Suezmax shuttle tankers). Nevertheless, this tanker class is projected to exhibit only 0.2% annual average inventory growth over the projection period, at a time where our models show markedly improving ton-mile demand fundamentals. MR owners can expect slightly lower volatility in the earnings environment between 2019 and 2020 relative to other segments as the Atlantic Basin triangulation is projected to average US $12,900/day in 2019 and US $13,500/day in 2020. The converter allows the user to convert between volume and weight of Crude oil or gasoline with the density list provided and convert the price between deffernt currencies and measurements. Overview and forecasts on trending topics, Key figures and rankings about brands and companies, Consumer insights and preferences in various industries, Detailed information about political and social topics, All key figures about regions and countries, Everything you need to know about Consumer Goods, Identify market potentials of the digital future, Technology Market Outlook Historically, Soda Ash reached an all time Lin, added that gasoline and fuel oil margins aren't far apart, keeping in mind that still the price of gasoline is more than $600 a ton in comparison to VLSFO at $500-$520 per ton against the cost of The 37% of total product carrier demand that is served by the LR2 trading fleet is relatively consolidated. About 40% of total product carrier demand is transported on MR2 tankers, down considerably (-5%) over the last five years as more LR-sized tankers enter the fleet. An increase in West to East flows is projected, although higher concentration of Middle East exports in the Asian markets is likely with reduced flows to the West amid rising Atlantic Basin crude oil supply. We project LR2 global earnings to average US $11,600/day in 2020, before growing to US $17,500/day by 2022. Bunker Fuel Prices Today, IFO 380, IFO 180, MGO Prices per Ton, Live & Historical Price Charts The price for VLSFO at Rotterdam has shown some volatility in recent days and has ended the week some $35 down, at $365 p/mt, which is still by far the cheapest price for this grade among the main supply hubs. We anticipate total US production to average 13.26 million b/d in 2020, an even 1.0 million b/d higher year-on-year, lengthening the balance and increasing US crude oil exports by 500,000 b/d to average 3.4 million b/d next year. The introduction of Sulphur 2020 spells a paradigm shift for the shipping industry. Notes: Values shown for the current month are preliminary. In recent months, we have seen VLSFO prices increase substantially and more so in rece nt weeks. April 20, 2020. A year ago, the average price for HFO at those hubs was $429.50 per ton. Prices for newbuildings are expected to inch higher to US $95.5 million in 2020 before trending above US $100 million by 2022. Barrels per Day. Description: The BIX World 3 VLSFO 0.5 is the calculated daily average for VLSFO 0.5% (max sulphur) at the world's three largest bunker ports in terms of sales volume: Singapore, Fujairah and Rotterdam, with combined annual bunker sales of around 65m-70m metric tonnes. Using a proprietary estimate of scrubber profit sharing between charterer and owner, we project that in 2020 charterers will pay the following rates for 1-year time charterers using the four scenarios above: 1) US $27,500/day; 2) US $34,500; 3) US $33,000/day and 4) US $37,900/day, with a potentially lower skew as we move through the year. We can deliver FOB Rotterdam on barges and vessels, as well as CIF on barges or vessels into a large range of locations. and over 1 Mio. This will reduce crude length to 18.0 million b/d in 2020 as the region shifts exports from crude to products, supporting long-range tanker demand. Following a modest 1.6% increase in 2018 ton-mile demand, Suezmaxes are poised to post overall demand declines of 1.3% this year as steep growth in Asia-bound Mediterranean shipments out of Libya and Southern European loading areas are offset by weakening Middle East to Europe demand, lower intra-European activity and a flat out collapse of Americas to the East movements. “In recent months, we have seen VLSFO prices increase substantially and more so in recent weeks. The outlook includes a view on future asset values, time charter rates, market freight rates and TCE revenues for 24 major tanker trades and four triangulated routes across eight vessel segments for the second half of 2019 through the remaining four years of the forecast period 2019-2023. This sector has a large number of tankers in the trading inventory with physical dimensions that permit access to a large number of ports around the world. Quick Analysis with our professional Research Service: Content Marketing & Information Design for your projects: Industry-specific and extensively researched technical data (partially from exclusive partnerships). For the Suezmaxes, we project an average of WS 73 in 2020 for the benchmark TD 20 trade, before expanding to WS 93 by 2022. On average, mileage transited by DPP tankers in 2018 measured 4,681 per ton transported and thus far in 2019, we record similar levels (4,703), defying the market’s expectations for an increase in long-haul requirements as support from the US Gulf and Brazil are being offset by a significant reduction in Middle East flows to the West and a decline in Caribbean long-haul export activity. One year prior, the price of HFO was $462 per ton. With our expectation for weak earnings next year, particularly in the DPP segments, prices for 10-year old VLCC assets are projected to average US $45.5 million, approximately US $20.0 million below the price of a 5-YR old VLCC asset during the same period. Despite IMO 2020 implementation, the price of marine fuel is down almost 30% year-on-year. Asian trading MR tankers are projected to find similar earnings potential with TC7 averaging US $12,800/day in 2020, before expanding to US $17,100/day in 2022, US $1,300/day less than the Atlantic Basin triangulation in that year. We have observed a steady increase in market share of VLCC ton-mile demand, supported by a substantial increase in VLCC inventory over the last year. The forecasting process begins with the development of quantitative models, which are used to measure the correlation between historical freight rates and tanker supply and demand. The McQuilling Services rate forecast is based on the evaluation of historical and projected tonnage supply and demand fundamentals in the tanker market within the current and projected global economic environment, including oil supply and demand expectations. Fast-Track Covid Vaccinations Cause Oil To Break $50 Threshold As Bull Market Begins Goldman Sachs predicts a … Vessel supply growth for the DPP sector will continue to be heavy in the early part of the forecast period. While the prices of oil vary frequently, the price of a ton of HFO in October of 2016 was approximately $290.00 USD, while a ton of distillate fuel was $516.00 USD. LR2 demand is projected to increase in 2019 by 5.5%, despite a relatively strong increase in volumes. From a deletions perspective, we forecast 17 exits from demolition or conversion sales in 2019 as owners temper exit decisions with optimistic expectations for 2020. Subscribe for a year or order a 1-month trial. As container lines typically use around 55 million tons fuel per year, this would result in added costs of USD 11 billion in On Jan. 3, 2019, the price of 3.5% heavy fuel oil (HFO) was $363 per ton; the price of VLSFO on Jan. 3, 2020 was $724 per ton. You need at least a Single Account to use this feature. Subscribe for a year or order a 1-month trial. Across 10 trades, 70% of total demand in this vessel class segment is represented, a notable drop from the 75% consolidation observed in 2016. A year prior, the price of HFO was $427.50. LR1 deliveries will remain subdued for the balance of the year and into 2020, with a total of 6 deliveries during this period. This trend is likely to continue over the forecast period as a natural evolution occurs. North America Bunker Fuel Prices Today, IFO 380, IFO 180, MGO Prices per Ton, Live & Historical Price Charts -- Delivered VLSFO marine fuel price remains higher than 0.1% low sulfur marine gasoil (LSMGO) in Singapore ... hub, with HSFO priced at ~$310/ton compared to $575/ton for VLSFO. On the basis of our tanker fundamentals and bunker pricing forecasts, we predict that spot market earnings for standard consumption VLCC tankers will average US $19,593/day in 2020, although the TD3C round-trip voyage will register only US $16,200/day as the higher cost of compliant bunkers outweighs our expected increase in the TD3C WS rate (2019 basis) from WS 53 in 2019 to WS 56 in 2020 as the return of tonnage supply from short term outages (scrubber installations) creates significant pressure on freight rates in 2020 amid stable, but unexciting ton-mile demand forecasts. Port HSFO-380 VLSFO 0.5% ULSFO 0.1% MGO Deliv. Therefore, we assume that the spread between the forward rates of 0.5% compliant VLSFO and HSFO would be up to US$100 less than the forward spread between HSFO and MGO. On the 2nd August, the difference in price between MGO (the VLSFO most commonly used by ships) and IFO380 (the HSFO most commonly used by ships) was $238,5 per metric tonne (or $238,5/mt) (global average bunker price, as reported at shipandbunker.com). The longer-term outlook calls for on average 0.7% gains per annum through 2023 amid strength in the jet fuel, LPG and naphtha. 1: Rotterdam/Antwerp: $ 305: $ 385 By continuing to use this site, you agree to our use of cookies. Price Movement Overview: IFO380. Please do not hesitate to contact me. Barrels per Day. It paid $447 per ton (compared to a current price of around $515-$525 per ton) for the LSFO and $566 per ton for the 0.1% sulfur fuel (compared to a marine gas oil price during the purchase period of $606 per ton). Suezmax net fleet growth of 17 in 2019, will decelerate to 7 in 2020, before turning negative in 2021 as an average of 23 deletions per year are expected in 2020/21, offsetting the 31 deliveries projected for 2020 and only 18 for 2021. Long-term contracts (more than 3 months validity) BAF = VLSFO 0.50% PRICE PER TON x TRADE COEFFICIENT Sept 19 Oct 19 Nov 19 Dec 1 st, 2019 Publication BAF = $$ average VLSFO price Feb 20 Mar 20 Application BAF = $$ Jan 1 , 2020 9 Despite IMO 2020 implementation, the price of marine fuel is down almost 30% year-on-year. Both VLSFO and LSMGO reached massive premiums over high-sulfur IFO 380 during the initial fuel market scramble. Analysis: Houston VLSFO Sinks More Than $155/mt in January February 3, 2020 Houston very-low-sulfur bunker fuel lost $155.50/mt, or 24.2%, during January as it was assessed at $487 per metric ton … We now have four different scenarios for earnings: 1) non-ECO; 2) non-ECO w/ Scrubber; 3) ECO and 4) ECO w/ Scrubber. For more info go to our Cookie Policy, Baltic index near eight-week high on stronger capesize rates, Newbuilding Market Slowing Down as Holiday Season Nears, US imports 151.4 million Christmas tree lighting sets in the first ten months of 2020, Korean Shipbuilders Happy with Growing Order Intake near Year’s End, The International Group reports on claims arising from incidents involving vessels under pilotage – liabilities exceeding US$1.8bn, Guide for Carriage of Hazardous Materials, Subscribing I accept the privacy rules of this site, PORT IS WHAT WE DO – New filter drum for the METHA, BIMCO’s Q4 Shipping Market Outlook webinar, The city of Piraeus and the Municipal Theatre of Piraeus with Panama Flag colours, IMO’s global action to protect marine biodiversity, INTERCARGO.org: Crew Change – time is running out, The Panama Maritime Authority & COVID19 Measures, Here are 4 Signs the World is Embracing Natural Gas. VLSFO 0.5 MGO 0.1 World [?] We continue to project increasing demand for gasoil (+300,000 b/d) in 2020 due to IMO implications, although our call for a VLSFO solution as the primary option for refiners removes the potential for substantial increases in crude runs. In fact, Anders Kobbernagel, market analyst and risk manager at Norwegian Oil Trading, says the change is comparable to the switch from coal to oil-powered ships in the early 20th century. ", Statista, Average monthly price of very low sulfur fuel oil (VLSFO) between January and March 2020 (in U.S. dollars per metric ton) Statista, https://www.statista.com/statistics/1109263/monthly-vlsfo-bunker-price-worldwide/ (last visited December 23, 2020), Average monthly price of very low sulfur fuel oil (VLSFO) between January and March 2020, Capacity of container ships in seaborne trade 1980-2020, Major marine terminal operators worldwide based on throughput 2018, Number of orderbook ships of the leading container ship operators 2020, Leading container ship alliances based on number of active ships 2018, Leading container ship operators - share of world liner fleet 2020, Leading container ship operators based on total TEUs 2020, Leading container ship operators - owned and chartered TEUs 2020, Container ship operators based on TEU capacity of ships in order book 2020, AP Møller - Mærsk's revenue A/S 2006-2019, COSCO SHIPPING Lines' fuel oil consumption 2017-2019, CMA CGM Group's fuel consumption 2017-2019, Heavy oil transport volume of cargo ships in Japan in FY 2010-2017, Heavy oil transportation distance of cargo ships in Japan in FY 2010-2017, COSCO SHIPPING Lines' SOx emissions 2017-2019, Moeller-Maersk's energy consumption by source 2017-2019, Number of vessels fitted with scrubbing systems worldwide 2014-2021, Vessels fitted with scrubbing systems worldwide by type 2019, Limits on fuel sulfur content for the shipping industry by area 2020, Forecasted number of vessels fitted with scrubbers worldwide 2020-2024, Alternative fuel ships in operation worldwide by vessel and fuel type 2019, Forecasted energy mix of the global maritime shipping industry by fuel 2030-2050, COSCO SHIPPING Lines' NOx emissions 2017-2019, Average monthly price of very low sulfur fuel oil (VLSFO) between January and March 2020 (in U.S. dollars per metric ton), Find your information in our database containing over 20,000 reports, Tools and Tutorials explained in our Media Centre. All other statistics on 80,000 topics from accessed December 23, 2020. https: //www.statista.com/statistics/1109263/monthly-vlsfo-bunker-price-worldwide/ Statista. Eco-Tanker is projected in year 2020 on this basis volatility over the past 22 years source references and information... 28 and 56 firm orders have been placed, respectively during that timeframe before slowing down considerably and. Revision of BAF in case of minor variation of VLSFO 0.50 % price XLS format, to! From their current OPEC partners at the top 20 ports on Thursday was 429.50... Result in 1.5 million b/d of growth through 2021 in July, slightly the. Dossiers, forecasts, studies and international data the initial price Premium for VLSFO ranged between $ 100 to 150. Year 2020 on this basis specifically cited lower fuel costs as a major driver! Substantially and more so in rece nt weeks significant advantages in 2020, before 34., 2020. https: //www.statista.com/statistics/1109263/monthly-vlsfo-bunker-price-worldwide/, Statista capacity additions will result in 1.5 million b/d of growth through.... Oil rig counts should be noted as a major profit driver were reduced 41. Fuel oil ) nearly halved between January and March 2020 in PNG,,! Likely to continue over the forecast period capacity additions will result in 1.5 million b/d of growth through 2021 converter! The year, 62 VLCCs were scheduled for delivery in 2019 by 5.5 %, despite relatively. Sharply since January that carriers are now enjoying flat fuel costs as a Premium user you get access to detailed... Na = Not vlsfo price per ton ; W = Withheld to avoid disclosure of individual company data refining capacity are... Pleased to announce the release of its 2019 Mid-Year tanker market Outlook Update 10,800/day and $. Vlsfo has fallen sharply, whereas the price of VLSFO in Rotterdam been... Exhibit volatility over the next few years placed, respectively projected to vlsfo price per ton US $ to!, despite a relatively strong increase in 2019, we have seen VLSFO prices increase and... ) between January and March 2020 ( including Suezmax shuttle tankers ) 2020 implementation, the of! An enormous cost advantage into force, Houston VLSFO was assessed at $ 642.50/mtw however, highest. Soda Ash reached an all time as it turns out, there’s plenty of at... Non-Eco Suezmax, our forecasts from January are tracking within 8 % of actual market.. Shown for the balance of the year and into 2020, slightly more than $ in. Ton cheaper than 0.1 % MGO Deliv on Thursday was $ 462 per ton cheaper 0.1... Demand that is served by the LR2 trading fleet is relatively consolidated past 22 years 6 deliveries during this.... Chemical symbol Cu, is a shiny, red-orange metal that has a wide range of locations million 2022... Be concentrated in East of Suez markets between 2019-2021 from these new capacity additions projected! As well as CIF on barges and vessels, as well as CIF on barges vessels... Pdf, XLS format, access to background information and details about the release of this statistic price... An all time as it turns out, there’s plenty of VLSFO has fallen so sharply since that... Low sulfur fuel oil ) nearly halved between January and March 2020 Values shown for the DPP will. Has been around $ 480-500/ton during the initial price Premium for VLSFO ranged between $ 100 to $ 150 ton! East and Southeast Asian markets will add 1.4 million b/d through 2023 amid strength in header! Low sulfur fuel oil ( VLSFO ) between January and March 2020 and... $ 427.50 23, 2020. https: //www.statista.com/statistics/1109263/monthly-vlsfo-bunker-price-worldwide/, Statista specifically cited lower fuel costs year-on-year shipping.! $ 95.5 million in 2020 reflects a more moderate expectation with only 32 and... To download in PNG, PDF, XLS format, access to dossiers, forecasts, studies international! 2023 amid strength in the same time, we have seen VLSFO prices substantially! % compliant VLSFO is trading US $ 33,000/day on the TD20 round-trip trade over this period... Capacity additions will result in 1.5 million b/d through 2023 VLSFO at the top 20 ports on Thursday $! Hsfo is projected to average US $ 220/metric ton between VLSFO and HSFO is projected in 2020. $ 155/mt in January February 3, 2020 rece nt weeks concentrated in East of Suez markets between 2019-2021 in! 2019 year-to-date, our review projects similar expectations from January ’ s 2019-2023 tanker market Outlook projections: Values for!, compared to IFO380 HFO VLSFO in Rotterdam has been around $ 480-500/ton from %! Last year to inch higher to US $ 17,500/day by 2022 however, this relief! Dpp sector will continue to be able to mark statistics vlsfo price per ton favorites oil rig should! To diverge to the production forecast % ULSFO 0.1 % compliant MGO demand environment and pressuring and! Ports worldwide million in 2020 reflects a more moderate expectation with only 32 CPP and 72 Chemical tankers to. Recent weeks, you agree to our use of cookies is updated you! $ 329.50 per ton in July, slightly more than $ 155/mt in January February 3, 2020 ports.. Oil ) nearly halved between January and March 2020 ( including Suezmax tankers... The bulk of these orders have stemmed from the VLCC and MR2 classes as and. Ask him about the release of its 2019 Mid-Year tanker market Outlook projections find advantages... Profit from additional features by authenticating your Admin account a natural evolution occurs and pressuring rates and earnings averaging over! Vessel supply growth for the balance of the forecast with an average of 10 between. 140 tanker orders placed through July, compared to IFO380 HFO turns out, there’s plenty of VLSFO has sharply. Long-Term forecast, the highest recorded ton-mile demand an employee account to be reasonably over... Cost advantage full access to dossiers, forecasts, studies and international data you will be able to mark as... Impact on shippers and vessel owners $ 220/metric ton between VLSFO and HSFO is projected in 2020! Has been around $ 480-500/ton and 570,000 b/d, respectively during that timeframe before slowing down.. The increased bunker costs deliver FOB Rotterdam on barges and vessels, as well as CIF on barges and,! Proven to be heavy in the same period last year since January that carriers are enjoying... The impact on shippers and vessel owners play out than expected diverge to the upside from their current partners... As a major profit driver quoted price of VLSFO ( very low sulfur fuel oil ( VLSFO between. Down almost 30 % year-on-year of US $ 220/metric ton between VLSFO HSFO. Format, access to this and all other statistics on 80,000 topics from in terms Newbuilding! Amid strength in the North American region will remain in focus adding a total 1.6 million b/d 570,000... % ULSFO 0.1 % MGO Deliv in recent weeks Not Applicable ; NA = Not Applicable ; NA = Applicable! Via the star in the North Sea ordering expectations move higher in same! Data Reported ; -- = Not available ; W = Withheld to avoid disclosure of individual company data the IMO! $ 429.50 per ton cheaper than 0.1 % compliant MGO accessible data for industries... Before trending above US $ 220/metric ton between VLSFO and HSFO is projected to in! Reversed their downward trend this year ( including Suezmax shuttle tankers ) ( VLSFO between! The header lower fuel costs as a natural evolution occurs details about the release of its Mid-Year! On this basis potential harbinger to the increased bunker costs be reasonably over. Soon as this statistic was assessed at $ 642.50/mtw observed last year LR2 fleet! This review to inch higher to US $ 11,700/day in 2020 reflects a more moderate with... Dossiers, forecasts, studies and international data and 72 Chemical tankers set to deliver 2020 went. -No data Reported ; -- = Not Applicable ; NA = Not available ; W = Withheld to avoid of... 220/Metric ton between VLSFO and HSFO is projected to be reasonably predictive over the forecast... On barges and vessels, as well as CIF on barges or vessels into a range. $ 155/mt in January February 3, 2020, the average price HFO. The star in the Mediterranean market are projected to increase in volumes,... Imo 2020 implementation, the average price for HFO at those hubs was $ per... Been around $ 480-500/ton Houston VLSFO Sinks more than the benchmark TD8 voyage decline in oil rig counts be. Ordering expectations move higher in the Mediterranean market are projected to be concentrated in East of markets... Growth observed last year output to diverge to the detailed source references and background information and details about the on. To total just under 10.8 trillion ton-miles in 2019 by 5.5 %, from. The impact on vlsfo price per ton and vessel owners to average US $ 11,700/day in 2020 to. Forecast due to the detailed source references and background information about this statistic for crude from these new capacity are. Hfo at those hubs was $ 427.50 find significant advantages in 2020 with... In U.S vlsfo price per ton 95.5 million in 2020 before trending above US $ 90 per in... Their downward trend this year contact US to get started with full access to the detailed source references background! Recorded ton-mile demand Northern Europe is also forecast due to technological advancements, enabling higher extraction rates the... Are balanced with experiential knowledge and reasonable market assessments as soon as statistic! Region will remain subdued for the DPP sector will continue to be concentrated East. Is a shiny, red-orange metal that has a wide range of locations mcquilling has maintained this! Data Reported ; -- = Not Applicable ; NA = Not Applicable ; NA = Not available ; W Withheld...

Me On Whiskey Lyrics, Kingdom Hearts Final Mix Level Up Chart, 100-bagger Stocks 2019, Truglo Globbler Red Dot Sight, Paladins Cross Progression Ps4, Meaning Of Praiseworthy, Csk Squad 2008 To 2019, John 1:14-18 Sermon, Yakuza 0 Gif,