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Japan’s Astomos adds LPG-fuelled VLGC to fleet

  • Spanish Market: Freight, LPG
  • 06/09/24

Japanese LPG importer Astomos Energy has commissioned a very large gas carrier (VLGC) with a dual-fuel LPG engine, adding to its existing fleet of 26.

Astomos on 4 September commissioned the 86,953m³ Liverty Pathfinder, which was built by shipbuilder Kawasaki Heavy Industries at its Sakaide shipyard in southwest Japan's Kagawa prefecture and is co-owned by shipping firm NYK. The VLGC is the fourth co-owned vessel with NYK, adding to Gas Capricorn in 2003, Gas Garnet and Gas Amethyst in 2024.

The VLGC can use LPG as a bunker fuel from a cargo tank. It is possible to reduce more than 95pc of sulphur oxide and more than 20pc of carbon dioxide emissions when the vessel uses LPG as a marine fuel compared with conventional fuel oil, Astomos said.

Japan currently imports 10mn t/yr of LPG to cover 12mn t/yr of domestic demand, according to the Japan LP Gas Association.


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05/09/24

Roadblocks across Colombia cut LPG supply

Roadblocks across Colombia cut LPG supply

Bogota, 5 September (Argus) — Colombia's LPG shortages are worsening as a fourth day of protests and roadblocks over higher diesel prices are limiting production and distribution. Protesters have completely blocked roads to processing plants in the key Cusiana and Cupiagua fields, preventing trucks from moving supply. Those two fields along with the Ty Gas processing plant handle 41pc of the country's LPG supply, LPG association (Agremgas) director Sara Velez told Argus . Colombia uses about 60,000 metric tonnes (t)/month of LPG. The Cusiana plant that produces about 15,000t/month of LPG is flaring 100t/d of LPG that cannot be transported, Velez said. "If Cusiana is unable to move out the LPG, it may force it to shut in, affecting natural gas as well," Velez said. Blockades are also preventing LPG produced at the 250,000 b/d Barrancabermeja and the 200,000 b/d Cartagena refineries from reaching distributors. The refineries produce 24pc of the country's LPG supply, equivalent to 14,400t/month. Adding to troubles, multiple rebel attacks have put sections of the country's 220,000 b/d Cano Limon-Covenas and the 120,000 b/d Bicentenario crude pipelines out of service for repairs, restricting crude supply to the refineries. The smaller LPG field of Capacho controlled by Canadian oil company Parex shut in 5,000 b/d of oil equivalent (boe/d), or about 10pc of its Colombian output. That reduced LPG supplies to the Arauca department, the LPG association added. The departments of Caqueta, Cundinamarca and Valle del Cauca have inventories for four days. Another 28 departments have LPG inventory for one or two days. Velez has called on the government to create a safe corridor to help LPG reach consumers. The LPG shortage is also affecting industries. Fenavi, the country's poultry association, consumes 42mn kg/yr of LPG, which is equivalent to state-controlled Ecopetrol's monthly LPG production. The LPG is used to warm the poultry, but the association also said that blockades have also cut supplies of feed and could put the chickens at risk of starvation. The country produces 1.8mn tonnes/yr of chickens and 1.6bn eggs/yr. In Colombia 1.2mn families already still cook with wood, and the current shortage will likely increase that number. By Diana Delgado Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

US Coast guard restricts lower Mississippi drafts


03/09/24
03/09/24

US Coast guard restricts lower Mississippi drafts

Houston, 3 September (Argus) — The US Coast Guard (USGC) set new towing and draft restrictions for the lower Mississippi River on 31 August, as water levels continue to decline. For southbound traffic from Tiptonville, Tennessee, to near Greenville, Mississippi, barge drafts must remain under 10.5ft and no more than six barges wide, according to the USGC. From Greenville to Tunica, Mississippi, southbound barge drafts must be under 10ft. Boats can tow six barges wide, but no more than four of those barges can be loaded. Northbound movement from Tunica to Tiptonville must keep drafts below 10ft and cannot be more than six barges wide and no more than four barges loaded. These new restrictions arrived five days after the previous draft restriction issued by the USGC. Memphis, Tennessee, water levels fell below the low water threshold of -5ft over the holiday weekend, at nearly -6ft as of 3 September according to the National Weather Service (NWS). As many as six other points on the lower Mississippi River are at their low water thresholds with others expected to reach their thresholds this week. Low water has already spurred an increase in southbound tariff values, which will likely be exacerbated as US crop harvests progress. The next 48hrs in the Memphis area is forecast to receive no rain, while the southern half of Mississippi and most of Louisiana may see 0.5-2 inches of rainfall, according to NWS. By Meghan Yoyotte Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

Maintenance tightens distillate supply in west Germany


02/09/24
02/09/24

Maintenance tightens distillate supply in west Germany

Hamburg, 2 September (Argus) — Regional middle distillate prices in Germany diverged last week, with values in the west boosted by refinery maintenance and oversupply weighing on prices in the south. Heating oil and road fuel supply in Cologne, western Germany has fallen sharply since the beginning of last week after maintenance work started at the 187,000 b/d Godorf refinery at Shell's Rhineland complex. There was also reduced availability at the nearby 147,000 b/d Wesseling refinery, part of the same Rhineland complex, and a tank farm in Flörsheim that is connected to the complex via pipeline. One supplier halted spot sales of middle distillates and gasoline until at least the beginning of September, traders said. Traders that typically buy product in Cologne or Flörsheim had to take longer journeys to other tank farms or go south to the Miro consortium's 315,000 b/d Karlsruhe refinery. Product in Karlsruhe is currently trading at a steep discount to Cologne. Oversupply has put pressure on prices in Karlsruhe for the past few weeks after weak demand and irregular train departures because of a staff shortage left suppliers with more product than they anticipated towards the end of August. Freight rates for barges that need to pass the Rhine bottleneck in Kaub went up significantly last week after water levels dropped to their lowest point in around 10 months on 30 August. Water levels are expected to fall below 1m this week. Barges to destinations along the Upper Rhine would then only be able to load up to 40pc of their maximum capacity, making it likely that freight rates will rise further. By Natalie Mueller Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

Order ending Canadian rail work stoppage appealed


30/08/24
30/08/24

Order ending Canadian rail work stoppage appealed

Washington, 30 August (Argus) — A Canadian rail employees union is appealing federal government orders that last week forced the resumption of rail service and sent the union and two railroads to binding arbitration. The Teamsters Canada Rail Conference (TCRC) filed an appeal with the Federal Court of Appeal on Thursday, challenging labour minister Steven MacKinnon's order ending the work stoppage and sending the parties to binding arbitration under the Canada Industrial Relations Board (CIRB). The union also appealed CIRB's 24 August decision upholding that order . "These decisions, if left unchallenged, set a dangerous precedent where a single politician can bust a union at will," union president Paul Boucher said. Canadian Pacific Kansas City (CPKC) declined to comment on the appeal, saying only that "operations continue and recovery is progressing well." Canadian National (CN) did not address the appeal directly but said it is prepared to participate in binding arbitration. "While that process is ongoing, we are focusing on our recovery plan and powering the economy," CN said. MacKinnon's 22 August order ended the work stoppage less than 18 hours after the union launched a strike at CPKC, while CPKC and CN locked out union members . The work stoppage froze ongoing rail operations, even though shipments of hazardous materials and other products had already ceased. The union subsequently notified CN that members would go on strike on 26 August. That strike was averted by the CIRB ruling on MacKinnon's order. By Abby Caplan Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

Salvage teams to get access to leaking Red Sea tanker


29/08/24
29/08/24

Salvage teams to get access to leaking Red Sea tanker

Dubai, 29 August (Argus) — Yemen's Houthi rebels have agreed to allow salvage teams to reach a Suezmax tanker that is unmanned, on fire and leaking oil in the Red Sea after it was targeted by the militant group last week, Iran's mission to the UN said late Wednesday. Some countries asked for tugboats and rescuers to be able to access the area "with a temporary ceasefire", Iran's mission said. The Houthis have agreed to the request "given the humanitarian and environmental considerations", it said. The Greek-flagged Sounion was sailing from Iraq to Greece carrying a cargo of close to 1mn bl of Basrah Heavy crude when it was attacked on 21 August. Three projectiles were fired at the vessel, causing it to lose engine power. The crew comprising two Russian and 23 Filipino sailors were rescued soon after by EU member naval forces and evacuated to Djibouti, the nearest safe port of call. Houthi spokesman Mohamad Abdulsalam confirmed the comments from the Iranian mission, posting on social media platform X that the group had given permission for the Sounion to be towed "after numerous international parties especially European ones" had reached out to them on the issue. The move came just a day after the Pentagon said an attempt at salvaging the vessel had been thwarted after tugboats were warned away by the Houthis. "We are aware of a third party that attempted to sent two tugs to the vessel to help salvage, but they were warned away by the Houthis and threatened with being attacked, which again demonstrates their blatant disregard for not only human life, but also for the potential environmental catastrophe this presents," the Pentagon's press secretary, Pat Ryder, said on 27 August. The EU's naval mission in the region said the ship had been on fire since 23 August. No end in sight The targeting of the Sounion is the latest in a long line of Houthi attacks on commercial shipping in and around the Red Sea. The group said its attacks are in support of the Palestinians following Israel's offensive in Gaza. The Houthis claim to only attack vessels that are going to or from Israel, or ships that are Israeli owned. But many of the vessels that have been targeted since the campaign started in November last year have not had an obvious link to Israel, including the Sounion . Despite efforts by the international community to stop the attacks, the Houthis have reiterated that their campaign will continue until Israel ends its military offensive in Gaza. "The burning of the [ Sounion ] is an example of Yemen's seriousness in targeting any ship that violates the Yemeni decision to prevent any ship from crossing to the ports of occupied Palestine," Abdulsalam said on X. The "aim is to exert pressure on the Zionist enemy to stop its aggression in Gaza", he said. "All shipping companies linked to the Zionist enemy must realise that their ships will remain vulnerable to Yemeni strikes… until the aggression stops and the siege on Gaza is lifted." By Nader Itayim Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

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