By Srinivas Chowdary Sunkara // petrobazaar // 27th Nov 2019.
The Bunker Price Index consist of a range of prices for 180 HSFO, 380 HSFO and MGO(Gasoil) in the main world hubs turned lower yesterday across the major world ports. IFO 180 cSt and 380 cSt graded Fuel oil futures prices in Singapore market gained 3.24% to close at $350 and $320 respectively while MGO prices rose $10 at $585. The world crude oil bench mark prices settled up yesterday after headline news suggested that the two world major economies are coming closer to agree on a first phase of comprehensive trade deal which may take out fears in global economy.
Ports and ship owners must be busy in preparing to comply with new IMO 2020 compliance on regulating the sulphur content in marine fuels to 0.5% wef January 1st 2020. Mr.Alahadal suggested the following expectations from the new IMO regulations.
1. Increase in demand for LNG as a marine fuel
2. Decline in the demand for high sulphur fuel oil (HSFO)
3. Increase in the price of LSFO
4. Change in shipping companies operating costs and economics
5. Increase in global freight charges
6. Increase in scrubbers demand
7. Increase in ship scrappage
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