The Bunker Review was contributed by Marine Bunker Exchange (MABUX)
MABUX World Bunker Index (consists of a range of prices for 380 HSFO, VLSFO and MGO in the main world hubs) continued upward evolution on June 02 – the fourth day in a row:
380 HSFO – USD/MT – 436.06 (+2.18)
VLSFO – USD/MT – 540.60 (+2.12)
MGO – USD/MT – 629.76 (+2.59)
MABUX ARA LNG Bunker Index – the average price of LNG as a marine fuel in the ARA region, fell slightly on June 3: 598.58 USD/MT (-1.91 USD). LNG Bunkering Index exceeds the index price of MGO LS at the port of Rotterdam by USD 40.58 (USD 558/MT as of June 02). The price difference has slightly increased (plus 5 USD compared to the previous day). More LNG bunker indices are available at www.mabux.com.
As of June 2, a correlation of MABUX MBP Index (Market Bunker Prices) vs MABUX DBP Index (Digital Bunker Prices Benchmark) in four largest global hubs showed that 380 HSFO fuel remained undervalued in all selected ports: from minus $ 18 in Houston (minus $ 16 a day earlier) to minus $ 32 (minus $ 20) in Rotterdam and minus $ 45 (minus $ 43) in Singapore. The most significant change of underestimation margin was recorded in Rotterdam: a growth by $ 12. The rest of the changes are minor.
VLSFO, according to MABUX DBP Index, was also underestimated in all selected ports. The undercharging ranged from minus $ 5 in Houston (versus minus $ 2 the day before) and minus $ 16 (minus $ 8 the day before) in Rotterdam to minus $ 34 (minus $ 31) in Fujairah and minus $ 46 (minus $ 38) in Singapore. Underestimation ratio rose significantly in Rotterdam and Singapore: by $ 8 in each port.
On June 02, MABUX DBP Index also registered the underpricing of MGO LS in all selected ports, ranging from minus $ 28 (minus $ 27 a day earlier) in Houston to minus $ 47 (minus $ 34) in Rotterdam, minus $ 52 (minus $ 48) in Singapore and minus $ 52 (minus $ 51) in Fujairah. According to DBP Index, the most significant change of underestimation level was again registered in Rotterdam: an increase of $ 13.
We expect global bunker prices may continue firm upward trend today: 380 HSFO – plus 4-6 USD/MT, VLSFO – plus 5-8 USD/MT, MGO LS – plus 4-11 USD/MT.