(Corrects first paragraph to note revamp of market led to stiff
SINGAPORE, Jan 13 (Reuters) - Singapore posted record sales
volumes of marine fuels for the third straight year in 2017,
even as the city state revamped the market last year leading to
stiff competition and margin erosion.
Singapore last year sold an all-time high 50.6 million
tonnes of marine fuels, a 4.2 percent increase over the 48.6
million tonnes sold in 2016, the latest official data from the
Maritime and Port Authority of Singapore (MPA) showed.
Singapore's marine fuels market has faced increased
competition for market share and a squeeze on margins since the
city-state at the start of 2017 became the world's first port to
adopt mass flow meters to streamline operations and minimise
inaccuracies in delivered quantities of marine fuels.
The use of the meters on bunkering barges has also led to a
crackdown on short deliveries to customers, which has seen three
of the top 10 MPA-licensed bunker fuel suppliers lose their
licenses in 2017.
"This year will still be tough for bunker companies (and) we
may see a few exit this market," said a Singapore-based bunker
fuel trader who declined to be identified as he is not
authorised to speak to the media.
Some bunkering firms however are seeking fresh
Ocean Bunkering Services Pte Ltd, the bunkering arm of
Singapore oil trader and shipper Hin Leong Group, said in
December it will add five bunker barges to its fleet as part of
plans to expand in Singapore following the expulsion of top
suppliers earlier in the year.
Sentek Marine & Trading in 2017 was Singapore's top bunker
fuel supplier by volume, up from second in the year before,
while Petrochina International climbed to second position from
twelfth, MPA data showed.
(Reporting by Roslan Khasawneh; Editing by Shri Navaratnam)
First Published: 2018-01-13 08:07:30
Updated 2018-01-13 08:38:31
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