Singapore's MPA suspends Glencore bunker license for two months
A third investigation by the Maritime and Port Authority of Singapore (MPA) has revealed that Glencore supplied contaminated HSFO between 22 March to 1 April. This was after a fuel testing agency engaged by Glencore had reported that the fuel was contaminated with organic chlorides at a concentration of 2,000-15,000 ppm.
PHOTO: Cargo terminal at the Port of Singapore. Getty Images
The MPA said in its final investigation report that between 21-23 March a fuel testing agency shared a fuel quality test report with Glencore. The results showed high chloride contents in the tested fuel.
Despite this, Glencore went on to supply the contaminated fuel to 24 vessels, out of which three vessels reported multiple issues with fuel pumps and engines.
The port authority has temporary suspended Glencore's bunker license in Singapore for two months from 18 August.
An initial investigation concluded by the MPA in April, found that contaminated HSFO had been supplied by Glencore and PetroChina. The fuel had been sourced from the UAE’s Port of Khor Fakkan before being shipped to a storage facility in Malaysia's Tanjong Pelepas, where it was further blended and later delivered to storage facilities in Singapore.
Between February and March, nearly 200 vessels had bunkered HSFO contaminated with organic chlorides in Singapore, of which 80 vessels had problems with fuel pumps and engines as a result of burning these fuels, according a second MPA investigation report released in May.
In its recent third and final investigation report, the MPA said it has not found any evidence suggesting that Glencore or PetroChina had deliberately contaminated the fuel.
The MPA has decided not to take any action against PetroChina as it, unlike Glencore, immediately stopped supplying the contaminated HSFO after it received the fuel quality test reports.
The port authority is in discussions with industry stakeholders to improve fuel quality protocols. The MPA and the Singapore Shipping Authority will lead an expert group to provide key recommendations for additional quality measures.
