According to a new study from Drewry Shipping Consultants, cheaper international oil prices will prove a major boost to tanker trade levels.
Titled "The Outlook for Oil Trades to 1995," the Drewry report says if the spot crude price stabilized around $20 a barrel before gradually rising to $30 between 1990-95, the tanker trade would rise by only about 1 percent per annum to 1.725 billion tons.
However, if spot prices were forced down to $15 by 1992, the oil trade would show a healthy growth of around 3 percent a year by 1995.
If oil prices are forced to much higher levels then, conversely, trade would decline much as it did after the price increases of 1979-80. The decline then in trade would be almost 2 percent a year to about 1,530 tons in 1995. Andy Carpenter, Drewry managing director, said in all cases little growth was likely to occur in 1991-92, and most would take place from 1993 onward.
Trade in refined products will tend to show faster growth than crude oil, the study says. The main growth on products trade routes would be from the Persian Gulf/Red Sea to Japan, North America and Europe.
Following the path of oil prices, consolidation also follows myriad financial crises. What happens next isn’t altogether clear, but the long, deep trough for offshore energy may finally be in our choppy wake.In mid 2017, financial turnaround and financial repairs specialist Alix Partners made a bold statement
for residual fuel operation whether they are for main propulsion or auxiliary purposes. The cost of fuel varies widely as the spot market price of fuel oil fluctuates. Also the cost of lubricant is an expense, which while it is not generally subject to such price variations, may be converted to a fuel equiv
Impact of $50 Oil & Petrobras Implosion on Contracting in the Floating Production Sector The drop in oil/gas prices and ongoing implosion in Petrobras have combined to create a perfect storm in the deepwater sector. More than 170 projects involving oil production floaters and 35 floating liquefaction
to over two million. These ships were acquired last year, mostly from Scandinavian owners, and are mainly tankers of handy size, OBOs (oil-bulk-ore carriers). All 20 ships, with an average age of two to three years, have been placed on charters with international companies, including among
uncertainty about the outcome of the OPEC meeting on March 27 and 28, a number of offshore shares rose significantly during the month. Even though the oil price fell slightly as a result of the meeting, it is obviously within a price range that is considered as comfortable by investors. The two share
of offshore rigs, vessels and various support services, as they scramble to keep equipment working and their heads above water during one of the worst oil downturns in 30 years. From a high of $108 per barrel in June of last year, prices plummeted roughly 60% as supply surpassed weakening demand, crashing
Moheshkhali Island (Excelerate) • Jebal Ali #2 (Excelerate) • Hoegh Cartagena (Hoegh) • Hoegh Speculative (Hoegh) Impact of $45 oil and the Petrobras Investigation The huge drop in oil/gas prices and ongoing financial investigation in Petrobras have combined to create a perfect
is cutting environmental barriers, opening new areas to E&D and plans tax cuts to encourage domestic energy development Faster pace of rebound in oil company capital spending – ExxonMobil, BP, Hess have increased their capex budget for E&D in 2017, reflecting a more bullish near-term outlook for capital
that the long-held promise of deepwater offshore discovery and recovery is well-positioned to pay off, particularly in the face of $30+ barrels of oil. As technology has increasingly allowed oil companies and offshore drilling firms to more accurately find and evaluate potential drilling hot spots
from the Middle East. Between 1985 and 1991, chartering volumes in the spot and period markets rose strongly, against a background of growth in crude oil and refined products movements. The widespread improvement in freight rates brought about a corresponding improvement in cash flows for vessels
a new product, each refinery will produce a product which has its own unique composition that will need to be tested. The onus is on shipowners. Some of the oil majors say they are ready to begin supplies, but they will only do so on a contract basis; they are not offering it on the spot market.While low-sulfur
operations, he has served as a senior Coast Guard Of? cer, Incident Commander, Salvage Master, Commercial Diver and Project Manager on salvage and oil spill response operations from the Equator to the Arctic. Jim holds a Bachelor of Science in Environment Management with distinction, a Master of
EDITOR’S NOTE he end of one era typically signals the start of another. And, so it is with the business of building naval and municipal patrol boats, where the demand for smaller, more agile and T versatile hulls has skyrocketed. At the same time, and as governments everywhere come to the realization
. How does BOQA work in typical applications? BOQA is basically a decision-support tool designed What led you to develop the BOQA concept? In 2013, the Oil Companies International Marine Fo- to enhance maritime safety and enable proactive de- rum (OCOMF) submitted a paper entitled The Proac- cision-making
(owned and charterers. On the tanker side, brokers Poten compiles chartered) stood at 57 million tons deadweight (mdwt) a ranking of the largest crude oil charterers. Typically, in early 2018. Though hefty sounding, this ? gure repre- the large cargo interests may control ? eets of vessels sents 6%
Ori- divested investments in Danish supermarkets, ent Overseas Container Line (OOCL). Unlike THE WORLD’S “BIGGEST” SHIPOWNERS Danske Bank, Maersk Oil, its tanker division, other mergers, the well-known OOCL brand Source: VesselsValue and, most recently, Maersk Drilling. It has has remained; after
2019 TOP SHIPOWNERS: IS BIGGER BETTER? Like any other business, some shipping companies are bigger than others. This article looks at some of the larger participants in the various sectors. “Big” can be de? ned in multiple ways. Here, contributing editor Barry Parker takes a deep dive into the data
2019 TOP U.S. PORTS ast year at this time we provided a list of the top 10 U.S. Ports by TEUs and value. That infor- mation was provided to us by the diligent folks Lat Descartes Datamine, one of the best maritime data crunchers on the planet. The list showed: Notably, the top 10 ports are the same for
2019 BY ROBERT DAY, HEAD OF OFFSHORE, VESSELS VALUE NEWBUILD moved into full swing and we saw the THE RIG MARKET DEMOLITION Unsurprisingly, across the offshore market ? ooded with distressed ton- In the rig sector, Borr Drilling has Tidewater continues to set the stan- sectors, newbuild orders have
world yearbook BY COURT SMITH, SENIOR ANALYST, VESSELS VALUE Infrastructure continues to expand, carriers has increased over the past the spectrum and pulling spot rates sition in US based LNG projects has and pricing incentives will continue several years. More than 60 countries upwards. ignited a
world yearbook FERRY FIRST Alabama’s Gee’s Bend Ferry re- cently entered service after being converted from geared-diesel to Images courtesy Glosten/ALDOT become the ? rst zero-emission, New ATB for VANE electric-powered passenger/car In 2018, Vane Brothers took deliv- ferry in the U.S. Owned by the
forcement of regulations on U.S. ? agged vessels. For Alarmingly, the ? eet of large U.S.-? ag vessels en- over the next ? ve years will include black oil and re- the ? rst time, the Coast Guard presented information gaged in international trade has declined from approxi- ? ned petroleum products, petrochemic
half the transportation sector and double the rate for all fatal work injuries. On the environmental front, the USCG reported 84,319 gallons of oil were spilled as a result of 49 tank barge pollution incidents in 2017. The largest spill was the result of an explosion and ? re aboard a barge at
continue to face to get a passing grade, after which the cars operated in increasing future-year emission estimates. pressure due to a radically changed oil industry and violation of the Clean Air Act. Commercial marine and locomotive source catego- must take quick and decisive action in order to survive
– and in continental ner — the IMO 2020 regulation bans tual availabilities. changes the picture. Europe (ARA) and the Mediterranean. high sulfur fuel oil (HSFO) from the The oil majors, though mum on their Scrubber uptake will mean some of They expect that sales of compliant fuels bunker pool. Although
T TECH: RENEWABLE ENERGY one design.” als. “I’ve just submitted a White Paper Also, creating a system that is ‘smart’, to the Of? ce of Naval Research for that a system able to adjust itself continually full budget,” said van Hemmen. “On to maximize and ef? ciently convert the the commercial side we
I INSIGHTS: RENEWABLE ENERGY companies to gain expertise, both tech- from Massachusetts to Virginia. In 2018, The project utilizes patented Voltur- models will allow easier, faster and more nically and learning how to export this DOE chose the New York State Energy nUS platform technology, a ? oating
decades. Consider energy use, say, start- ing after World War II, from 1950 to 1975. There was power for everything, from seemingly endless sources of oil, gas and coal, and nuclear power was standing by. Next, recall energy from 1975 to 2000. Not so happy. Most shocking – actual energy shortages, and
a wind farm project list. Finally, encourage Congress to sup- bill. And, prices are coming down to Forward-thinking yards like Blount as compared to an oil and gas project. port an extension of the PTC or Invest- levels competitive with natural gas. (See Boats in Warren, Rhode Island, have al- This is
I INSIGHTS: RENEWABLE ENERGY Joan Bondareff is of counsel in Blank Rome’s Washington, D.C., of? ce who focuses her practice on marine transportation, environmental, regulatory, renewable energy, and legislative issues. She currently serves as Chair of the Virginia Offshore Wind Development Authority
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I INSIGHTS: TRAINING & EDUCATION Murray Goldberg is CEO of Marine Learning Systems which provides software and services to optimize knowledge, skills and behavior in maritime operators. In his former life he was a computer science faculty member at the University of BC researching online learning and
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vehicles lator-relator activities. dent vehicle applications, but also au- tonomous and unmanned underwater Tight integration of the separate sen he oil and gas in (ROVs) working in the oil and gas in- “Tight integration of the separate sen- tonomous and unmanned underwater sors within SPRINT-Nav as
factor along with the ex- the single-lift installation and removal performance typical of much larger ? - tremely precise performance of the new of large oil and gas platforms and the ber optic gyro (FOG) devices - but is far CRH02 gyro makes it a perfect compo- installation of record-weight pipelines.