The Marine Bunker Exchange (MABUX) World Bunker Index has increased during the seventh week of the year.
Particularly, the 380 high-sulphur fuel oil (HSFO) index rose to US$584.77/MT, and the very low sulphur fuel oil (VLSFO) index grew to US$748.69/MT, while the marine gas oil (MGO) index recorded the largest increase, reaching US$881.55/MT.
Meanwhile, there are some signs of a possible downward correction, according to MABUX analysts, who noted that the next few days will clarify the situation on the global bunker market.
The Global Scrubber Spread (SS) weekly average, the difference in price between 380 HSFO and VLSFO stood at US$162.01.
At the same time, in Rotterdam, the average SS Spread increased to US$168.83, but the largest increase of the SS Spread average was registered in Singapore, where it reached US$210.
Liquefied natural gas (LNG) prices began to rise again in European markets, while the price of LNG as a bunker fuel at the port of Sines in Portugal rose to US$2,329/MT on 14 February.
Considering that on the same date the price index of MGO LS at the port of Sines was at around US$878/MT, LNG prices are significantly higher than those of traditional bunker fuel grades.
During the seventh week, the correlation of the MABUX Market Bunker Prices (MBP) Index vs the MABUX Digital Bunker Prices benchmark (DBP) Index showed that 380 HSFO fuel was overpriced in two ports out of four selected: in Rotterdam, with plus US$7 and in Houston, with plus US$2.
In Singapore and Fujairah, the MABUX MBP/DBP Index registered an undercharge of 380 HSFO by US$2 and US$9 respectively, and it continues to shift towards the underpricing of 380 HSFO fuel grade.
VLSFO fuel grade, according to the MABUX MBP/DBP Index, remained significantly overpriced in all selected ports: plus US$33 in Rotterdam, plus US$39 in Singapore, plus US$47 in Fujairah and plus US$9 in Houston.
“Overall, the MBP/DBP Index ratio for VLSFO fuel has not changed significantly during the week,” commented MABUX analysts.
As for MGO LS, the MABUX MBP/DBP Index registered an underestimation of this fuel grade in three of the four selected ports: Rotterdam – minus US$13, Singapore – minus US$17 and Fujairah – minus US$6.
The only port where the MABUX MBP/DBP Index recorded overcharge was Houston, with a plus of US$31.
In the MGO LS segment, the Index is gradually shifting towards overpricing: in Singapore, the undercharge margin decreased by US$13, and in Fujairah by US$23.
