Bulk carriers mostly score low CII in 2023
More than half of bulk carriers scored carbon intensity indicator (CII) grades of C or lower on an A-E scale in 2023, according to International Maritime Organization (IMO) data.
About 61pc, or 9,127 of all bulk carriers sized 5,000 gross tonnes (gt) and over that reported their energy efficiency, scored C, D or E on the CII scale in 2023, according to the IMO data.
IMO's CII regulation, which came into force in January 2023, requires vessels over 5,000 gt to report their carbon intensity, which is then scored from A to E. A and B vessel scores are regarded as superior energy efficiency, while C, D and E are considered moderate to inferior scores.
The scoring levels are lowered yearly by about 2pc, so even a vessel with no change in CII could drop from from C to D in one year. If a vessel receives a D score three years in a row or E score in the previous year, the vessel owner must submit a corrective actions plan. To improve its CII score, a ship owner could reduce its speed and burn low-carbon fuels, among other solutions.
Global marine fuel demand from vessels of 5,000 gt and above dropped by 1pc to 211.1mn t in 2023, down from 213.4mn t in 2022, according to the latest IMO data. The drop could be attributed to the global economic slow-down in 2023, as well as vessels employing slow steaming to reduce marine fuel consumption.
Residual fuel oil bunker demand was down by 2pc to 170.9mn t in 2023 from the previous year, according to IMO data. The IMO does not report separately high-sulphur and low-sulphur fuel oil demand. Global marine gasoil (MGO) demand fell by 6pc to 26.6mn t. An increase in methanol and LNG for bunkering demand offset some of the conventional marine fuel declines. LNG for bunkering demand rose by 18pc to 12.9mn t and methanol increased by 2.6 times to 93,876t.
In 2023, container ships, bulk carriers and tankers accounted for 31pc, 30pc and 21pc, respectively, of global residual fuel oil bunker demand. Containers ships and bulk carriers accounted for the majority of the MGO demand, 18pc and 15pc, respectively. Tankers accounted for 93pc, or 87,319t, of total methanol demand and LNG carriers accounted for 89pc of LNG for bunkering demand, or 11.5mn t.
Related news posts
Nigeria sees significant gasoline output by November
Nigeria sees significant gasoline output by November
Lagos, 20 August (Argus) — Nigeria's government said "significant production increases" of gasoline from the 210,000 b/d Port Harcourt and 650,000 b/d Dangote refineries are "expected from November", which would have ramifications for balances in the region and in northwest Europe. First gasoline from Dangote is expected in September, said the office of Nigeria's co-ordinating minister of the economy. Industry sources told Argus that Dangote obtained regulatory approval to start its 247,000 b/d fluid catalytic cracker and 27,000 b/d alkylation units in April and May, respectively, but that the refiner seems to have deliberately delayed start-up of these secondary units. This is because it plans to sell much of its gasoline to the domestic market, where government intervention through state-owned NNPC continues to curtail prices. Sources at Port Harcourt told Argus that the restart of a 60,000 b/d section that has been delayed several times since April 2023 is on course to happen by 31 August. The refinery received 450,000 bl of domestic Bonny Light crude in the first half of July, the second supply of feedstock after 475,000 bl arrived between 28 December and 18 January. Nigeria's downstream regulator approved the movement of the crude from tank to refinery at the end of July, sources said. NNPC's trading subsidiary applied last week for permits to sell Port Harcourt kerosine and diesel domestically and permits to export naphtha and fuel oil, according to industry sources. The catalytic reformer and the reformer feed unit for the 60,000 b/d section will start early in October for upgrading of naphtha, sources said. Italian engineering firm Maire Tecnimont won a $1.5bn contract in April 2021 to restore Port Harcourt to 90pc of its nameplate capacity. It said in June that the project was 84.6pc complete, with procurement at 99pc, engineering at 98pc and construction at 73pc. The co-ordinating minister's office also said a programme for NNPC to sell crude to Dangote in the local naira currency will start on 1 October. NNPC has supplied Dangote with crude since the refinery started up in December 2023, but payments have so far been in dollars. The government said the programme will offer a "lifeline to Dangote refinery", which has complained about the dollar prices and available volumes of Nigerian crude grades it has been able to buy. Sources told Argus that NNPC sold Dangote more than 3.6mn bl of crude in July, including a 720,000 bl cargo of Brass River — the first of that grade. A government source told Argus today that details of the NNPC-Dangote programme will not be disclosed until after its implementation in September. But it could be structured as a crude-for-gasoline swap, denominated in US dollars and reflecting international market prices but settled in the equivalent naira amounts. This would allay Dangote's concerns about dollar expenditure, guarantee sales and ensure market value for gasoline sold domestically. It would also remove NNPC's need to import gasoline, with Dangote's capacity alone exceeding Nigeria's domestic demand. NNPC has been Nigeria's sole importer of gasoline since 2017, with the exception of about eight cargoes received by independents in 2023. After years of crude-for-gasoline swap deals, NNPC has been importing on a cash basis since November 2023, mainly from the Amsterdam-Rotterdam-Antwerp (ARA) hub in northwest Europe. Nigeria is the largest consumer of gasoline in west Africa, and a key outlet for excess European production. By Adebiyi Olusolape Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
Montoir LNG restart delayed by pipeline works: Update
Montoir LNG restart delayed by pipeline works: Update
Updates new sendout restart date in paragraph three to 23 August London, 20 August (Argus) — Maintenance at France's 8mn t/yr Montoir LNG import terminal has been repeatedly delayed because of "technical difficulties" relating to the replacement of two sections of a pipeline at the terminal, operator Elengy told Argus . The pipeline links the gas odorisation station and the GRTgaz grid injection station. Gas in France is odorised at all grid network levels, including transmission, rather than solely distribution networks. The works were completed last week, and the terminal is preparing for its cool-down phase, Elengy said. The end of works has been delayed 10 times , and sendout is now scheduled to restart on 23 August. Sendout was due to return on 21 August, according to Elengy nominations earlier today, although this was delayed again to 23 August later in the day. The terminal has been off line since 15 June, and was initially due to resume sendout on 8 July. Sendout from the terminal is nominated to average 154 GWh/d for 21-31 August, down from the 240 GWh/d nominated for the period on 19 August, according to Elengy data ( see sendout graph ). And one delivery for late August has been removed from the schedule ( see stocks graph ). By Martin Senior Montoir sendout nominations Montoir LNG stocks Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
Operator takes reins of Kurdish gas field expansion
Operator takes reins of Kurdish gas field expansion
Dubai, 20 August (Argus) — The consortium that operates the Khor Mor gas field in Iraq's semi-autonomous Kurdistan region has issued a termination notice to the Canadian contractor it hired to increase production capacity. The Pearl Petroleum consortium issued the notice to Toronto-listed Enerflex on 19 August after "numerous performance issues" during the execution period of the $806mn engineering, procurement and construction (EPC) contract, according to consortium member Dana Gas. "The ongoing impact of these performance issues has materially affected Enerflex's ability to meet its contractual obligations, leading to unacceptable delays and hindering the progress and timely completion of the Khor Mor gas expansion project," Dana Gas said. Abu Dhabi-listed Dana Gas is one of five companies in the Pearl Petroleum consortium — the others are Sharjah-based Crescent Petroleum, Austria's OMV, Hungary's Mol and German utility RWE. Pearl Petroleum will now take direct control of the expansion project to ensure "it is brought back on track and completed in the timeliest manner", Dana Gas said. The project , which will boost capacity at Khor Mor by 250mn ft³/d to 750mn ft³/d, had been due to deliver first gas in April this year but missed that deadline. All of Khor Mor's gas production to date has been used for power generation in Iraq's Kurdish region, although the Kurdistan Regional Government (KRG) has toyed with the idea of exporting gas . "We will become a net exporter of gas to the rest of Iraq, Turkey and Europe in the near future," KRG prime minister Masrour Barzani said back in 2022, not long after Russia's invasion of Ukraine. As well as the delay to the capacity expansion project, these ambitions have been undermined by repeated drone attacks on Khor Mor in recent years, which often disrupt its production. No group has claimed responsibility for the attacks, but officials typically attribute them to pro-Iran groups within federal Iraq. Iraq has relied on gas import agreements with Iran for several years, and the two countries agreed on a new 50mn m³/d gas supply deal earlier this year. Washington has issued sanctions waivers to allow Iraq to import electricity and natural gas from Iran ever since former president Donald Trump's administration reimposed restrictions on Tehran's energy sector in 2018. Iraq relies on Iran for about a quarter of its energy needs, compared with 40pc three years ago, according to the US State Department. The US sees Iraq becoming self-sufficient in energy by 2030. By Bachar Halabi Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
France’s Montoir LNG restart delayed by pipeline works
France’s Montoir LNG restart delayed by pipeline works
London, 20 August (Argus) — Maintenance at France's 8mn t/yr Montoir LNG import terminal has been repeatedly delayed because of "technical difficulties" relating to the replacement of two sections of a pipeline at the terminal, operator Elengy told Argus . The pipeline links the gas odorisation station and the GRTgaz grid injection station. Gas in France is odorised at all grid network levels, including transmission, rather than solely distribution networks. The works were completed last week, and the terminal is preparing for its cool-down phase, Elengy said. The end of works has been delayed nine times , and is now scheduled to restart sendout on 21 August. The terminal has been off line since 15 June, and was initially set to resume sendout on 8 July. Sendout from the terminal is nominated to average 154 GWh/d for 21-31 August, down from the 240 GWh/d nominated for the period on 19 August, according to Elengy data (see sendout graph) . And one delivery for late August has been removed from the schedule (see stocks graph) . By Martin Senior Montoir sendout nominations Montoir LNG stocks Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
Business intelligence reports
Get concise, trustworthy and unbiased analysis of the latest trends and developments in oil and energy markets. These reports are specially created for decision makers who don’t have time to track markets day-by-day, minute-by-minute.
Learn more