Vancouver crude exports up fourfold in June
Crude oil exports on Canada's Pacific coast quadrupled in June, the first full calendar month with ship loadings on the expanded Trans Mountain pipeline system, according to data from Vortexa.
About 300,000 b/d of crude was exported from the port of Vancouver last month, up from 75,000 b/d in May and up nearly ninefold from 35,000 b/d in June 2023, according to Vortexa. The 590,000 b/d Trans Mountain Expansion (TMX) project began commercial service on 1 May, nearly tripling the capacity of the pipeline system to 890,000 b/d, though the first TMX cargo loaded on 20 May.
Up to 250,000 b/d of crude from Trans Mountain can also go to Washington state on the Puget Sound pipeline system.
Of the 19 Aframaxes that had discharged TMX crude by 1 July, nine discharged onto very large crude carriers (VLCCs) at the Pacific Area Lightering (PAL) zone, six discharged at ports on the US west coast and three went directly to China, according to Kpler data. Three remained in transit for either Los Angeles or PAL as of 2 July.
Another Aframax, operated by Unipec, partially discharged at Long Beach, next to Los Angeles, before topping off a VLCC at PAL.
Prior to TMX, two to four Aframaxes per month discharged Canadian crude at ports on the US west coast.
According to Kpler, four VLCCs departed PAL with Canadian crude for destinations in Asia-Pacific: the Eagle Verona, which co-loaded one 550,000 bl cargo of Access Western Blend (AWB) with 1.5mn bl of Colombian Castilla destined for China; the Advantage Value, which has three 550,000 bl cargoes of AWB destined for India; the Cosrich Lake, which has four cargoes of TMX crude totaling 1.75mn bl destined for China; and the New Pearl, which co-loaded two 550,000 bl cargoes of AWB with Ecuadorian crude destined for China.
Of the 22 Aframax voyages from Vancouver in June, half went on time-chartered vessels and the other half went on spot market tonnage, including rehired time-chartered vessels. Freight rates to ship Cold Lake from Vancouver last month averaged $2.25/bl for voyages to the US west coast and $6.33/bl for voyages directly to China, according to Argus data.
Over the same span, the cost to reverse lighter, or transfer, three 550,000 bl shipments of Cold Lake from Vancouver onto a VLCC at PAL then onward to China averaged about $7.075mn lumpsum, or $4.32/bl, excluding demurrage costs, according to Argus estimates. The heavy nature of Canadian crude and Aframax draft restrictions in Vancouver may complicate fully loading a 2mn bl VLCC.
Twenty-nine Aframaxes are expected to be available to load in Vancouver throughout July, of which 17 are time-chartered and 12 are spot market vessels. Time-chartered ships can still be relet for use by other shippers.
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US House panel advances waterways’ projects bill
US House panel advances waterways’ projects bill
Houston, 27 June (Argus) — A Congressional committee on Wednesday advanced a bill to authorize a bundle of US port and river infrastructure projects for the US Army Corps of Engineers (Corps). The Water Resources Development Act (WRDA) biennially authorizes projects handled by the Corps' civil works program aimed at improving shipping operations at the nation's ports and harbors, and along the inland waterway system. The traditionally bipartisan legislation also approves flood and storm programs, and work on other aspects of water resources infrastructure. The House of Representatives' Transportation and Infrastructure Committee on Wednesday passed the bill by a 61-2 vote. The Senate Committee on Environmental and Public Works passed its own version of the bill on 22 May by a 19-0 vote. Neither the full Senate nor House have yet voted on the bills, which will need a conference committee to sort out different versions. A key difference is that the House bill did not include an adjustment to the cost-sharing structure for lock and dam construction and major rehabilitation projects. The Senate measure adjusted the funding mechanism so that 75pc of costs would be paid for by the US Treasury Department's general fund, with the rest coming from the Inland Waterways Trust Fund. The 2022 version of the bill made permanent an increase to 65pc from the general fund and 35pc from the trust fund, which is funded by a barge diesel fuel tax. The House committee's decision not to include the funding change drew disappointment from shipping interests. The Waterways Council was "disappointed that the House did not include a provision to modernize the inland waterways system", but was hopeful that conference negotiations would result in its inclusion, Tracy Zea, chief executive of the group, said. The latest House version of the bill authorizes 12 projects and 160 new feasibility studies. Among the projects receiving approval were modifications to the Seagirt Loop Channel near the Baltimore Harbor in Maryland. The federal government would pay $47.9mn towards an estimate $63.9mn project to widen the channel, which would help meet future demand for capacity within the Port of Baltimore. That would include increased container volume at the Seagirt Marine Terminal. The project was in the works before the 26 March collapse of the Francis Scott Key Bridge temporarily diverted freight from Seagirt and many other port terminals. The committee also authorized $314.25mn towards a resiliency study of the Gulf Intracoastal Waterway. The study would consider hurricane and storm damage and identify ways to improve navigation, reduce the maintenance requirements, and provide resiliency. The waterway connects ports along the Gulf of Mexico from St Marks, Florida, to Brownsville, Texas. The House version of the bill also includes provisions to strengthen flood control, wastewater, and stormwater infrastructure. "Critically, WRDA 2024 will help communities increase resiliency in the face of climate change," representative Rick Larsen (D-WA) said. By Abby Caplan and Meghan Yoyotte Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
Yemen’s Houthis hit another bulk cargo carrier: Update
Yemen’s Houthis hit another bulk cargo carrier: Update
Adds Houthi spokesperson comments Singapore, 24 June (Argus) — Yemen-based Houthi militants have struck a Greek-owned and operated bulk cargo carrier in a suspected uncrewed aerial system attack on 23 June, said US Central Command (Centcom) today. This marked the Houthi's fourth attack on the Liberian-flagged Transworld Navigator , which reported moderate ship damage but has continued under way. The vessel most recently docked in Malaysia and was headed to Egypt, according to Centcom. The incident happened near Yemen's Al Hudaydah, according to the UK Maritime Trade Operations (UKMTO). The Transworld Navigator is currently in ballast and last discharged about 133,000t of thermal coal in China in late May, according to global trade analytics platform Kpler. The UKMTO later on 23 June received a separate report of a distress call from a vessel near Yemen's Nishtun. The merchant vessel "suffered flooding that cannot be contained", which forced the crew to abandon the ship, said UKMTO. The Houthis took responsibility for the attacks on the two vessels. The Transworld Navigator had been targeted in the Red Sea using "an uncrewed surface boat" which led to a direct hit against the ship, Houthi spokesperson Yahya Saree said on 23 June. The Stolt Sequoia , which Houthis identified as an oil product tanker, was attacked in the Indian Ocean with a number of cruise missiles. The ships belonged to companies that "violated the ban on entering the ports of occupied Palestine", Saree said in a televised speech. The Stolt Sequoia was expected to arrive in Belgium on 9 July to discharge about 36,000t of base oils, according to Kpler. The Iran-backed Houthis began attacking ships in the Red Sea six weeks after the Israel-Hamas war broke out last year in what they claim is an act of solidarity with Palestinians in Gaza. They have stepped up their attacks in recent days, prompting countermeasures by US and UK military forces deployed in the area. The Red Sea is one of the world's most important shipping lanes, serving as a vital trade link between Europe and Asia. The recent spate of attacks prompted the International Chamber of Shipping to last week call for urgent action to stop the Houthis' "unlawful attacks" on commercial shipping in the Red Sea. This came after the sinking of a second bulk carrier , the Greek-owned and operated Tutor , since November last year. Oil prices were mostly steady despite escalating tensions in the Red Sea. The Ice front-month August Brent contract was at $85.15/bl at 03:43 GMT, down by 0.06pc from the previous settlement. The front-month July WTI crude contract was at $80.66/bl, down by 0.09pc. By Tng Yong Li and Bachar Halabi Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
Yemen’s Houthis hit another bulk cargo carrier: Centcom
Yemen’s Houthis hit another bulk cargo carrier: Centcom
Singapore, 24 June (Argus) — Yemen-based Houthi militants have struck a Greek-owned and operated bulk cargo carrier in a suspected uncrewed aerial system attack on 23 June, said US Central Command (Centcom) today. This marked the Houthi's fourth attack on the Liberian-flagged Transworld Navigator , which reported moderate ship damage but has continued under way. The vessel most recently docked in Malaysia and was headed to Egypt, according to Centcom. The incident happened near Yemen's Al Hudaydah, according to the UK Maritime Trade Operations (UKMTO). The Transworld Navigator is currently in ballast and last discharged about 133,000t of thermal coal in China in late May, according to global trade analytics platform Kpler. The UKMTO later on 23 June received a separate report of a distress call from a vessel near Yemen's Nishtun. The merchant vessel "suffered flooding that cannot be contained", which forced the crew to abandon the ship, said UKMTO. The Houthis took responsibility for the attacks on the two vessels and identified the second vessel as oil product tanker Stolt Sequoia , which Houthis attacked with missiles, according to Yemen's state-run Saba news agency. The tanker was expected to arrive in Belgium on 9 July to discharge about 36,000t of base oils, according to Kpler. The recent spate of attacks prompted the International Chamber of Shipping to last week call for urgent action to stop the Houthis' "unlawful attacks" on commercial shipping in the Red Sea. This came after the sinking of a second bulk carrier , the Greek-owned and operated Tutor , since November last year. Oil prices were mostly steady despite escalating tensions in the Red Sea. The Ice front-month August Brent contract was at $85.15/bl at 03:43 GMT, down by 0.06pc from the previous settlement. The front-month July WTI crude contract was at $80.66/bl, down by 0.09pc. By Tng Yong Li Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
S Korea’s Hanwha buys US’ Philly Shipyard for $100mn
S Korea’s Hanwha buys US’ Philly Shipyard for $100mn
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