MABUX: Global bunker prices to continue slight downward trend on Sep.07.
MABUX World Bunker Index (consists of a range of prices for 380 HSFO, VLSFO and MGO in the main world hubs) showed downward correction on Sep.06:
380 HSFO - USD/MT – 458.12 (-1.79)
VLSFO - USD/MT – 551.84 (-2.29)
MGO - USD/MT – 650.76 (-3.25)
The MABUX ARA LNG Bunker Index, calculated as the average price for LNG as a marine fuel in the ARA region, soared again on September 07: 1062.77 USD / MT (plus 35.13 USD). The MABUX LNG Bunker Index exceeds the cost of MGO LS in the port of Rotterdam by 478.77 USD (584 USD / MT as of September 03), the difference in price compared to the day before increased by 40.13 USD. LNG bunker fuel prices continue to rise at the Port of Rotterdam and gas tankers are forced to switch to traditional bunker fuels to maintain profitability of operations. LNG bunker indices are available at www.mabux.com.
As of September 06, 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 grade was overvalued in three ports out of four: Singapore: plus $ 32 (plus $ 27 the day before), Houston plus $ 9 (plus $ 7) and Fujairah: plus $ 25 (no change). Rotterdam is the only port with MABUX MBP / DBP Index underpricing: minus $ 4 (minus $ 1).
VLSFO, according to the MABUX MBP / DBP Index, was also overvalued on September 06 at three out of four ports selected, with the exception of Rotterdam, where VLSFO grade was underpriced by minus $ 3 (minus $ 1 a day earlier). In other ports, the overcharge ratio was: in Singapore: plus $ 11 (minus $ 2), in Fujairah: plus $ 10 (minus $ 1) and in Houston: plus $ 6 (minus $ 1). Overall, VLSFO fuel Index fluctuates slightly and remains near 100% correlation point.
MGO LS, according to the MABUX MBP / DBP Index, remained undervalued on September 06 at all selected ports. MGO LS underestimation margins were registered as: in Rotterdam - minus $ 32 (minus $ 31), minus $ 38 (minus $ 43) in Singapore, minus $ 25 (minus $ 32) in Fujairah and minus $ 22 (minus $ 27) in Houston. The most significant change in the MABUX MBP / DBP Index was recorded in Fujairah ($ 7 down).
We expect global bunker prices to continue slight downward trend today: 380 HSFO – minus 1-3 USD/MT, VLSFO – minus 1-3 USD/MT, MGO LS – minus 3-6 USD/MT.
Source: www.mabux.com