Evgenia Vanadzina Gasum

Evgenia Vanadzina

Portfolio Manager
evgenia.vanadzina@gasum.com
tel. +358401801066

07.07.2020  

Maritime market update: 7 building blocks of the ports of the future

Risavika LNG index gained 5.3% week on week. European gas markets were supported by weak LNG sendouts due to a massive US cargoes cancelation July-August. In addition, there are maintenances scheduled, which can impact pipeline gas flows from Norway and Russia. However, the market remains well supplied and the gas storages in Europe are at the record high this summer.

Benchmark crude prices closed 4 % higher last week on decrease in US oil inventory levels data and better compliance of OPEC+ oil production cuts. Accordingly, fuel oil front prices (FO 3.5) closed at 232.14  USD/t last week, gaining 5 % week on week. Low Sulphur (MFO 0.5) front month rose by 9.6 % and closed at 305.26 USD/t.

Gasoline stocks held in independent storage in the Amsterdam-Rotterdam-Antwerp (ARA) refining and storage hub fell by almost 9% in the week to Thursday, according to data from Dutch consultancy Insights Global. Gasoil inventories dropped by 5 %, while fuel oil inventories showed a build of 31 000 mt to 1.533 million mt.

The port of Rotterdam has published a white paper on its vision of the port of the future and seven building blocks, which consists of organization & clients, asset management, infrastructure, environment & stakeholder engagement, energy, the digital transition and innovation. The paper argues that covid-19 crisis has emphasized the importance of digital technologies and it has also provided opportunities to promote and stimulate clean technologies. The key factor in all developments is innovation. It is crucial for adapting assets and infrastructure in the future, for the energy transition and for the digital transition. In addition, new solutions will be needed to reduce maritime carbon emissions in future like LNG, bio-LNG or hydrogen.

 

LNG Risavika - LNG FOB Risavika 

LBG Risavika 10 % - 10 % blend of Liquified Biogas

FO 3.5 FOB Rdam – European 3.5% Fuel Oil Barges FOB Rdam (Platts) Futures Quotes

MFO 0.5 FOB Rdam - European FOB Rdam Marine Fuel 0.5% Barges (Platts) Futures Quotes

MGO 0.1 FOB ARA - Gasoil 0.1% Barges FOB ARA (Platts) Futures Quotes

ULSD FOB ARA - European Diesel 10 ppm Barges FOB ARA (Platts) Futures Quotes

 

Front Month Price index

LNG Risavika*

LBG blend

Risavika**

FO 3.5 FOB Rdam

MFO 0.5 FOB Rdam

MGO 0.1 FOB ARA

ULSD FOB ARA

Unit

15.95

18.95

16.64

20.96

24.43

26.14

EUR/MWh

270.12

320.94

232.14

305.26

355.75

364.63

USD/t

 Price index 6.7.2020.png

Source: CME Group, Gasum, Hellenic Shipping News, The Port of Rotterdam

*An estimate for LNG FOB Risavika 

** An estimate for 10 % LBG blend FOB Risavika