Crude market

Super Tankers Doesn’t Seem So Super As Pandemic Fades

Profits of oil tanker owners went from their highest to lowest ever in the course of a year as a historic glut reversed, but the industry’s fundamentals are set to improve, says an article published in The Wall Street Journal.

Crude demand during pandemic

A year ago, this industry’s ship came in. Then it just sat there.

As the world went into lockdown with planes grounded and cars parked in driveways, demand for crude oil plunged even as it kept bubbling up out of the ground. That was devastating...

https://mfame.guru/super-tankers-doesnt-seem-so-super-as-pandemic-fades/

Asian Fuel Margin Hits 1 Year High Amid Clenching Supply

Supported by shrinking supplies and firm demand, Asian refiners’ profit from producing very low sulphur fuel oil (VLSFO) rose to a one-year high this week, setting the stage for a trend that could persist throughout the year, reports Business World.

Crude market tightness

“Tightness in the fuel oil complex will remain a common theme through 2021, especially as the tightness in crude ensures that any uptick in margins will be transferred straight to crude producers if OPEC+ producers can hold...

https://mfame.guru/asian-fuel-margin-hits-1-year-high-amid-clenching-supply/

[Listen] Coronavirus Pandemic: Crude Market Have Their ‘Options Open!’

  • Coronavirus pandemic has resulted in an unprecedented demand destruction in Asia.
  • Commodity trends in the country seem to be showing signs of recovery despite the outbreak.

S&P Global Platts editor Avantika Ramesh and analysts Oceana Zhou and Daisy Xu discuss if China is the only respite for crude sellers under the current circumstances.

Chinese markets in the path of recovery

There has been unprecedented demand destruction in Asia as a result of the coronavirus pandemic, causing many refiners...

https://mfame.guru/coronavirus-pandemic-crude-market-have-their-options-open/

High Fleet Growth and Coronavirus Pandemic Take a Toll on Tanker Freight Rates

  • Moving into the new year, oil product tanker freight rates have fallen, with smaller vessel sizes earning more than larger ones.
  • Falling rates at the start of the year is typical of the season-dependent oil tanker market. Demand is always strong in Q4, reflecting consumption patterns in the major markets.
  • Lower Chinese demand and falling oil prices may lead to OPEC further lowering its oil output, having already agreed to trim production in December 2019.
  • The coronavirus spread could also...

http://mfame.guru/high-fleet-growth-and-coronavirus-pandemic-take-a-toll-on-tanker-freight-rates/

IMO Change Determines the Fate of Crude Markets

PBF Energy Heavy refiners predicts a lag in the crude markets owing to IMO change, reports Argus Media.

The company still expects to take advantage of cheaper sour feedstocks in the second half of the year as the global marine fuels market moves to a lower-sulfur standard.

Shift to lesser Sulfur emissions

The International Maritime Organization (IMO) will require on 1 January 2020 that marine fuels move to 0.5pc sulfur emissions, down from the current 3.5pc sulfur.

US complex refiners such as PBF...

http://mfame.guru/imo-change-determines-the-fate-of-crude-markets/