China's Zhoushan Port Sees Marine Fuel Sales Rise

Chen Aizhu
Wednesday, October 14, 2020

Sales of marine fuel from the Chinese port of Zhoushan, the country's top supplier of shipping fuel, in the first nine months of 2020 rose nearly 18% from a year earlier, a local government official said on Wednesday.

Zhoushan supplied 3.26 million tonnes of bonded marine fuel from January to September, the official said, declining to be identified since he is not a spokesman.

China aims to build Zhoushan, an archipelago city in east China's Zhejiang province, into a regional ship fuel hub to rival Singapore as the world's largest shipping, or bunker, fuel center.

But marine fuel demand took a hit during the first half of 2020 because of the coronavirus pandemic, recovering in the third quarter in part because of the more competitive prices offered at Zhoushan, the official said.

Zhoushan's supplies, of mostly very-low sulfur fuel oil (VLSFO) that meet the International Maritime Organization's emission standards, were at parity to competing supplies in Singapore and $15-20 per tonne below South Korea, the official added.

Chinese refineries began in January supplying VLSFO, with sulfur content capped at 0.5%, to the bonded marine fuel market along the country's coast, after Beijing offered tax incentives to boost local production.

VSLFO exports in August rose to 1.62 million tonnes, the highest this year, Chinese customs data showed last month.

According to Chinese commodities consultancy JLC, Chinese oil refineries produced over 5 million tonnes of VLSFO between January and August, with the annual volume likely to hit 9 million tonnes.

(Reporting by Chen Aizhu; Editing by Christian Schmollinger)

Categories: Ports Coastal/Inland Marine Fuel

Related Stories

Malaysia’s Petronas and Oman’s OQEP Strengthen Oil and Gas Ties

Southeast Asia’s 2GW Cross-Border Offshore Wind Scheme Targets 2034 Buildout

Viridien to Shed More Light on Malaysia’s Offshore Oil and Gas Potential

Energy Drilling’s EDrill-2 Rig Starts Ops for PTTEP in Gulf of Thailand

Propane’s Economic Edge for Ports During Trade Uncertainty

SBM Offshore, SLB to Optimize FPSO Performance Using AI

MDL Secures Cable Laying Job in Asia Pacific

Hibiscus Petroleum Starts Drilling at Teal West Field off UK

Petronas to Leverage AI to Expedite Oil and Gas Exploration Activities

PV Drilling Takes Ownership of Noble Corporation’s Stacked Jack-Up Rig

Current News

Malaysia’s Petronas and Oman’s OQEP Strengthen Oil and Gas Ties

Southeast Asia’s 2GW Cross-Border Offshore Wind Scheme Targets 2034 Buildout

Pharos Energy Kicks Off Drilling Campaign Offshore Vietnam

Viridien to Shed More Light on Malaysia’s Offshore Oil and Gas Potential

US Pressure on India Could Propel Russia's Shadow Oil Exports

Energy Drilling’s EDrill-2 Rig Starts Ops for PTTEP in Gulf of Thailand

RINA Wins FEED Contract for Petronas’ Flagship CCS Project in Malaysia

ABL Secures Rig Moving Assignment with India's ONGC

Pakistan, Türkiye Deepen Oil and Gas Ties with Offshore Indus-C Block Deal

Eni-Petronas Gas Joint Venture Up for Launch in 2026

Subscribe for AOG Digital E‑News

AOG Digital E-News is the subsea industry's largest circulation and most authoritative ENews Service, delivered to your Email three times per week

https://accounts.newwavemedia.com