Some marine fuel suppliers in the Fujairah market are considering a return to selling high-sulphur fuel oil (HSFO) as bunker fuel, reports Ship & Bunker.
HSFO sales next year
According to the Argus report, two large suppliers at the port may resume HSFO sales next year, citing a senior bunker manager in the region.
VLSFO shift & HSFO demand
IMO 2020
The majority of the shipping industry shifted from using HSFO to new very low sulfur fuel oil (VLSFO) blends at the end of last year ahead of IMO 2020, and some suppliers have given up HSFO sales altogether this year in response.
Scrubber installations
Scrubber installations that boost HSFO demand have slowed significantly as the price spread between HSFO and VLSFO narrowed sharply with the crude collapse in March.
Rising scrubber-equipped tonnage
But the global scrubber-equipped tonnage total continues to rise slowly, and this may encourage some suppliers to reconsider allocating some of their tanks to HSFO.
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Source: Ship & Bunker
