Business

Argus Media: Stranded Iranian tankers await Brazil court ruling

Iranian-flagged grain vessels Bavand and Termeh have been waiting for fuel at Paranagua Bay, Brazil since June.

Published

7 years ago

July 22, 2019

Admin

Global energy and commodity price reporting agency Argus Media in on Monday (22 July) provided a marine fuels industry related update focusing on refuelling issues of the Bavand and Termeh at Paranagua Bay, Brazil:

A favorable federal supreme court decision could be the best hope for two Iranian tankers awaiting marine fuel in Paranagua Bay off Brazil´s southern coast, bunker market participants tell Argus.

Since early June, two Iranian-flagged grain vessels, the Bavand and Termeh, owned by Islamic Republic of Iran Shipping Lines and operated by Iranian shipping firm Sapid, have been requesting fuel for a return journey after discharging urea cargoes to Brazilian firm Eleva.

Transpetro, the logistics arm of Brazil´s state-controlled Petrobras, denied a request to refuel the vessels, citing US sanctions. The possible sanctions-related impacts mentioned by PBR included blocked assets; prohibition to transact with companies or individuals subject to US law; and anticipation of the maturity of around $78bn in debt with foreign institutions.

Eleva last week was awarded a local court injunction obligating Petrobras to supply 1,700 tons of fuel to the vessels under threat of fines. The matter now heads to the federal supreme court, which is scheduled to return to its normal agenda on 1 August.

On 19 July, Brazil's general prosecutor Raquel Dodge filed a memo urging the high court to overturn the injunction.

In her petition, Dodge wrote that "the serious consequences for the order and the public economy that the fulfillment of the objectionable decision can cause, not only for Petrobras, but also for the Brazilian state, are evident, since the federal government is the majority shareholder of [Petrobras]."

The Bavand already loaded 48,000 t of corn at Imbituba port in Santa Catarina, a Paranagua port operator said. The Termeh is waiting for bunker before traveling to the same port for a 65,000 t cargo of corn.

Food is outside the scope of US sanctions, but urea is covered. Islamic Republic of Iran Shipping Lines, Sapid and Eleva were not available to comment.

"I've had eight or nine people call asking how to resolve this situation, but without Petrobras almost all options are either too risky or not economically feasible," a marine fuel specialist with a global bunker company said.

In theory, the vessels can purchase fuel from suppliers other than Petrobras, or send fuel from Iran to supply the ships. But many bunker suppliers operating in Brazil are unwilling to risk non-compliance with sanctions.

Even if a company is willing to take the risk, the restrictions on portside refueling means the vessels would likely have to make it to international waters for a ship-to-ship transfer, another bunker specialist said.

Rio de Janeiro-based marine fuel supplier NFX, a 50:50 joint venture between BP and Brazilian logistics firm Prumo, says no representatives for the vessels have been in contact to discuss refueling.

Phone calls and emails to Iran´s embassy in Brasilia were not answered.

The predicament comes against the backdrop of a recent strengthening of ties between Brazil and the US, influenced partly by far-right president Jair Bolsonaro's affinity for US president Donald Trump.

The situation comes amid rising international tensions following Iran's seizure of the UK-flagged Medium Range (MR) oil tanker Stena Impero in the strait of Hormuz on 19 July.

Source: Argus Media
Published: 23 July, 2019

Business

MPA: Singapore named Best Global Seaport at 2026 AFLAS Award

‘This recognition reflects the collective efforts of the entire maritime community in strengthening Singapore’s position as a leading global hub port,’ says Mr Ang Wee Keong, Chief Executive of MPA.

Published

22 hours ago

June 25, 2026

Admin

The Maritime and Port Authority of Singapore (MPA) on Thursday (25 June) said the Port of Singapore has been awarded the “Best Global Seaport” for the 5th time at the 2026 Asian Freight, Logistics and Supply Chain (AFLAS) Awards held in Shanghai, China on 24 June 2026.

The AFLAS Awards recognise leading logistics and supply chain service providers for excellence in service quality, reliability, and innovation.

MPA said award winners are determined through nomination and votes by international freight and logistics companies and clients who are readers of the publication.

Mr Ang Wee Keong, Chief Executive of MPA, said: “We thank the global shipping and logistics community for their continued confidence in Singapore.

“This recognition reflects the collective efforts of the entire maritime community in strengthening Singapore’s position as a leading global hub port. As supply chains evolve and new challenges emerge, we will continue to invest in innovation, infrastructure, and talent to keep Singapore resilient, connected, and future-ready.”

Photo credit: Swapnil Bapat on Unsplash
Published: 25 June, 2026

Bunker Fuel

FOBAS: Summary of marine fuel oil sulphur requirements

FOBAS publishes a bulletin to provide ship operators with an updated reminder of marine fuel oil sulphur regulations under various regulatory frameworks.

Published

22 hours ago

June 25, 2026

Admin

Lloyd’s Register Fuel Oil Bunkering Analysis and Advisory Service (FOBAS) on Wednesday (24 June) published a bulletin to provide ship operators with an updated reminder of marine fuel oil sulphur regulations under various regulatory frameworks:

MARPOL Annex VI

Ships operating inside or outside Emission Control Areas (ECA) for Sulphur Oxides (SOx) i.e., ECA-SOx, are

required to comply with specific sulphur limits in respect of the fuel oils as used unless the particular

combustion systems (engine, boiler, other) in use have in operation an approved exhaust gas cleaning system as per MARPOL Annex VI regulation 4. These fuel oil limits are as follows;

Inside ECA-SOx: Max sulphur content of 0.10% m/m
Outside ECA-SOx: Max sulphur content of 0.50% m/m

MARPOL Annex VI regulation 14.3 currently gives the following as ECA-SOx together with the respective geographic limits:

Baltic Sea;
North Sea;
North American (which includes an area around the Hawaiian Islands);
US Caribbean Sea;
Mediterranean Sea;
Canadian Arctic; and
Norwegian Sea

Additionally, MEPC 84 adopted the North-East Atlantic as an ECA-SOx which will come into effect from 1 September 2028.

European initiatives

For EU, UK, and Turkish ports situated outside ECA-SOx, ships must switchover to a fuel with a maximum sulphur content of 0.10% m/m when at berth. Similarly, Norway and Iceland have also 0.10% m/m requirements for ships at berth and operating in Fjords (territorial / internal waters).

Other initiatives

Due to increasing concerns around the environmental impact from shipping on local air quality, there are a number of national and local regulations which require the use of low sulphur fuel oils, typically maximum sulphur content 0.10% m/m, or other measures by all or certain ships within defined areas. Examples of these are China, California (CARB), South Korea and Sydney. Furthermore, there can be other related restrictions, for example, on the discharges to sea from exhaust gas cleaning systems.

However, whereas with the MARPOL Annex VI ECA-SOx, there is a single point of reference as to which areas are covered, there is no such central registry for these regional, national or local initiatives taken outside MARPOL Annex VI. Consequently, in all the cases, it is important for ships to check with the relevant authorities beforehand in order to confirm the current status as regards SOx and related emission requirements in order to avoid any penalties – which can be substantial.

Photo credit: Louis Reed from Unsplash
Published: 25 June, 2026

Biofuel

ExxonMobil completes first sea trial of bio bunker fuel blend made from FAME

Firm supplied a B30 VLSFO, made using FAME Distillation Residue, to Wallenius Wilhelmsen’s vehicle carrier “Titus” in Zeebrugge.

Published

22 hours ago

June 25, 2026

Admin

ExxonMobil completes first sea trial of bio bunker fuel blend made from FAME

US oil major ExxonMobil on Tuesday (23 June) said it has successfully supplied a B30 0.50% sulphur marine residual fuel blend (B30 VLSFO), made using fatty acid methyl ester (FAME) Distillation Residue, to Wallenius Wilhelmsen.

The bio marine fuel blend was bunkered by the vehicle carrier Titus in Zeebrugge ahead of the sea trial, marking a significant milestone in ExxonMobil’s journey towards supplying the marine industry with lower GHG emission fuels.

The B30 VLSFO fuel meets the RMG380 residual fuel oil classification and complies with ISO 8217:2017 with the exception of the bio blend component. It shares similar drop-in properties to a B30 VLSFO made with FAME produced from used cooking oil (UCOME).

The fuel has the potential to reduce lifecycle GHG emissions compared to conventional fuels.

Importantly, marine fuels made with FAME Distillation Residue have a major advantage over FAME itself, as there is currently no competition for this material from other transport sectors.

Additionally, when compared to FAME in VLSFO blends, several key properties of the FAME Distillation Residue are closer to the VLSFO component, such as density and viscosity. This is beneficial as users will see a lower reduction in viscosity than that of a FAME in VLSFO blend, which makes it comparatively easier to handle onboard ships. Further, extensive lab testing has shown good compatibility between petroleum-based VLSFOs and this B30 VLSFO made with FAME Distillation Residue.

The sea trial was successfully completed with no operational concerns. The B30 VLSFO batch was bunkered without issue. The onboard storage and handling of B30 VLSFO did not result in any filtration or purification issues. Engine performance remained stable, as confirmed by comparing key parameters recorded in the performance and condition monitoring reports before, during and after the trial.

“This successful sea trial highlights a practical, cost-effective pathway for customers to reduce their lifecycle greenhouse gas emissions while maintaining operational performance. By leveraging FAME Distillation Residue, ExxonMobil can offer a drop-in solution that supports compliance with evolving EU regulations and helps operators advance their lower GHG emission goals confidence,” said Gideon Simmelink, Account Manager Marine Fuels, ExxonMobil.

“Wallenius Wilhelmsen has a long-standing collaboration with ExxonMobil. This trial supports our efforts to assess new fuel options and advance our decarbonization ambitions,” said Kari Haugen, Senior Manager Energy Sourcing, Wallenius Wilhelmsen.

Subject to regional availability, ExxonMobil offers a range of bio marine fuel blends (Bio VLSFO, Bio ULSFO, Bio MGO and Bio HSFO), which we have supplied into the ARA (Amsterdam-Rotterdam-Antwerp) region (VLSFO and USLFO), the UK (MGO and HSFO) and Singapore (VLSFO).

These solutions are designed to help meet the diverse needs of the shipping industry while helping support GHG emission reductions. Always consult with engine manufacturers as OEMs may limit bio blend percentages or specific bio components for certain engine designs.

Photo credit: ExxonMobil
Published: 25 June, 2026