The Euronav-owned ULCC Oceania, laden with largely low sulphur fuel oil and blend components, has arrived in the Sungai Linggi area off Malaysia, Vortexa tracking show.
The Oceania received its products, mostly while stationed off Malta between March and July, from origins including Antwerp, Genoa, Abidjan, Pascagoula, Rotterdam and Haifa. It also took on a cargo of North Sea Kraken crude.
The laden passage of the ULCC to Malaysia was done under slow steaming of around 8 knots, travelling around the Cape, as contango market structure on the 0.5% market incentivised a slower journey.
Euronav has deployed the ULCC as floating storage to supply its fleet with low sulphur bunker fuel ahead of tightening specifications from 2020 onwards.
The arrival of the Oceania to Malaysia at the end of September further boosts the availability of low-sulphur bunker fuels, amid growing floating fuel oil storage across Singapore/Malaysia.
Market participants expect vessels without scrubbers to switch away from high sulphur fuel oil (HSFO) to the new 0.5% mandated specification throughout the fourth quarter, to iron out any potential issues ahead of the December 31st hard stop on HSFO use.
A wave of pipeline and terminal projects coming on stream has led to a boom in Corpus Christi’s seaborne crude exports in recent months, with volumes reaching a record high of 1.5mn b/d in January, Vortexa data show.