Biofuel Bunker Snapshot: Rotterdam’s B30-VLSFO price jumps as Singapore’s slides
ZRE A ticket prices drop
Singapore’s B30-VLSFO premium over VLSFO narrows sharply
Frontier Fuels adds barge for B100 deliveries in German ports
Europe
Rotterdam’s B30-VLSFO (POMEME) price has jumped $104/mt in the past week to $865/mt, while the Dutch port’s conventional VLSFO price has gained only $5/mt to $726/mt.
This has widened Rotterdam’s B30-VLSFO price premium over conventional VLSFO by $99/mt to $139/mt.
Dutch suppliers can generate ZRE A tickets for selling low-carbon fuels, which can be traded with other suppliers. The price of these tickets has dropped from €215/mtCO2e ($241/mtCO2e) last Thursday to €197.5/mtCO2e ($219/mtCO2e) this week.
These ZRE A tickets help lower Rotterdam’s biofuel prices compared with other ports. Belgium has no such mechanism.
Lower ZRE A ticket prices could have supported Rotterdam’s B30-VLSFO price. This is despite indications of slightly lower feedstock costs.
Prima Markets’ ARA UCOME and POMEME barge prices, both indicators of feedstock sourcing costs, have each dropped $8/mt in the past week, to $1,683/mt and $1,753/mt respectively. That leaves UCOME at a $70/mt discount to POMEME.
Rotterdam’s B30-LSMGO (POMEME) price has slipped $6/mt to $1,284/mt, while the port’s conventional LSMGO price has dropped a steeper $86/mt to $1,266/mt.
This has flipped the blend from a $62/mt discount to conventional LSMGO last week to an $18/mt premium.
B100 has been priced at $1,172/mt in Rotterdam today, up $9/mt on the week.
In neighbouring Antwerp, B100 (UCOME) has been priced at $1,932/mt today, down $25/mt on the week. This puts it at a $760/mt premium over Rotterdam.
Gibraltar’s B30-VLSFO (UCOME) has been priced at $1,037/mt, a $210/mt premium over the port’s conventional VLSFO price of $827/mt.
In Portugal’s Aveiro, B30-LSMGO has been priced at $1,437/mt this week, a $37/mt premium over the port’s conventional LSMGO price of $1,400/mt. B100 at the port has been priced at $1,593/mt.
Asia
Singapore’s B30-VLSFO (UCOME) price has dropped $96/mt in the past week to $974/mt, while the port’s conventional VLSFO price has gained $5/mt to $852/mt.
This has narrowed Singapore’s B30-VLSFO price premium over conventional VLSFO by $101/mt to $122/mt.
B100 has been priced at $1,374/mt in Singapore today, up $25/mt on the week.
Prima Markets’ price assessment for China UCOME cargo, which is a key feedstock for Singapore’s B30-VLSFO blend, has held steady at $1,240/mt.
Hong Kong's B30-VLSFO price has dropped $26/mt in the past week to $1,000/mt, while the port's conventional VLSFO price has gained $11/mt to $881/mt. This has narrowed its premium over conventional VLSFO by $37/mt to $119/mt.
That puts Hong Kong's B30-VLSFO at a $26/mt premium over Singapore's B30-VLSFO. Hong Kong's B30-HSFO has been priced at $861/mt, a $34/mt premium over the port's conventional HSFO price of $827/mt.
In other biofuel bunker news, global marine biodiesel demand will rise from just under 1 billion litres/year (around 890,000 mt/year) in 2025 to nearly 2 billion litres/year (around 1.78 million mt/year) by 2031 if the IMO does not adopt its Net-Zero Framework, the International Energy Agency (IEA) said in its forecast.
If the framework is adopted, marine biodiesel use could rise to more than 12 billion litres/year (more than 10.68 million mt/year) by 2031.
Meanwhile, Frontier Fuels has chartered a barge for B100 deliveries on the Elbe, for supplying ships at five ports, including Hamburg and Cuxhaven.
By Nachiket Tekawade
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