This note was authored by our industry partners, JBC Energy, a boutique oil market research company, with regard to the upcoming bunker regulation that will go into effect in 2020. The group recently released a multi-client study that tackles the IMO regulatory change from every relevant angle, providing a detailed take on supply, demand and price changes that have to be expected in the wake of this sizeable spec switch. The main goal of the study was not only to provide insight into the supply options for bunker fuel with a 0.5% sulphur limit, but also to highlight the side effects this will have on other fuel markets and perhaps nearly equally important, how the world is going to deal with the large amounts of at least temporarily unused high sulphur fuel oil.
Over the next five-year period, the regulatory environment of marine transportation will adapt according to new environmental policies. Two monumental changes in maritime operations are fast approaching as the International Maritime Organization (IMO) implements policies to combat fleet emissions and the cross-contamination of invasive species across regions of the world. Download Industry Note No. 6 - Regulation Rollout to find out how the Global 0.5% Sulphur Emissions Cap and Ballast Water Management Convention will impact the tanker market.
Although overall tanker demand continued to grow in 2016, weakness took a hold of the markets as tonnage lists swelled on the back of an influx in newbuilding deliveries and a lack of tanker exits. Download this industry note to learn more about how the tanker spot market performed in 2016.
In this industry note, we review recent ton-mile demand developments in the long range (LR) tanker sector with a focus on Middle Eastern exports and what we expect going forward as indicated in our 2017-2021 Tanker Market Outlook.