Fuel Switch Snapshot: B100 gains edge over LSMGO in key ports

B100's discount to LSMGO widens in Rotterdam

B100 flips to discount to LSMGO in Singapore

Rotterdam LBM at $615-818/mt discounts to LSMGO

All bunker prices described in the text below have been adjusted for calorific content to make them VLSFO-equivalent. They have estimated EU-EU voyage compliance costs included for Rotterdam, and nonEU-EU compliance costs included for Singapore. These account for EU ETS costs and FuelEU Maritime penalties, and the average price of compliance surpluses we have picked up from the FuelEU pooling market over the past week.

B100's premium over HSFO in Rotterdam has widened by a further $15/mt over the past week to $118/mt, while its discount to VLSFO has narrowed by $12/mt to $14/mt.

Meanwhile, B100 has become even more competitive against LSMGO in Rotterdam, with its discount widening by $40/mt over the past week to $306/mt.

B100's price has fallen by $19/mt in Singapore, swinging to a $7/mt discount from a $39/mt premium over LSMGO.

Rotterdam's LNG premium over VLSFO has widened by $40/mt to $124/mt for vessels with Otto medium speed (Otto MS) engines. For vessels with diesel slows peed (diesel SS) engines, LNG remains cheaper than VLSFO, although its discount has narrowed by $37/mt to $72/mt.

Liquefied biomethane (LBM) discounts to VLSFO in Rotterdam have narrowed by $30-32/mt to $323-526/mt over the past week. Against LSMGO, LBM discounts have widened by $20-22/mt to $615-818/mt, depending on engine type.

In Singapore, LNG is now $10/mt more expensive than LSMGO for vessels with Otto MS engines, but $88/mt cheaper for vessels with diesel SS engines.

Liquid fuels

HSFO and VLSFO prices in Rotterdam have edged up by $1-4/mt over the past week, while LSMGO has gained by a much steeper $56/mt.

Bunker fuel availability is very tight for prompt delivery dates in the ARA. Buyers recommend booking HSFO and VLSFO stems around seven days in advance to avoid high premiums, while LSMGO supplies may take around five days, a trader told ENGINE.

Rotterdam's B100 price has risen by $16/mt over the past week, with some upward pressure coming from a €5/mtCO2e ($6/mtCO2e) decline in Dutch ZRE A ticket prices.

Singapore's HSFO and VLSFO prices have fallen by $9/mt and $20/mt, respectively, while its LSMGO price has gained $27/mt over the past week.

Liquid gases

Rotterdam's LNG prices have surged by $41-44/mt over the past week, while its LBM prices have come up by $34-36/mt.

LBM discounts to LNG in Rotterdam have widened slightly, by $7/mt to $447-454/mt.

Singapore's LNG bunker benchmarks have climbed by $22-23/mt over the past week.

By Konica Bhatt

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