Oil prices held steady on Tuesday as hopes for a Russia-Ukraine peace agreement faded, with tensions rising in the Middle East, particularly Yemen. Brent crude rose to $62.21 a barrel, while U.S. West Texas Intermediate climbed to $58.44. Analysts note limited expectations for short-term breakthroughs in peace talks.
The oil tanker market is grappling with a fierce shortage, leading new vessels, usually designated for refined fuels, to pivot to crude transport. In a stark contrast to 2024, six supertankers made empty maiden voyages to load crude oil this year, driven by soaring demand and shifting shipping dynamics.
The International Energy Agency (IEA) has revised its global oil and gas demand outlook, projecting growth until 2050 despite earlier expectations for a transition to cleaner fuels. The report warns that current policies may lead to oil demand reaching 113 million barrels per day, undermining climate goals to limit temperature rise.
German authorities are addressing a major fuel spill in Cuxhaven’s harbor after a collision between the tanker Capella and the Dutch OSV Coastal Legend. Approximately 6,000 liters of fuel leaked, creating a visible “red, oily film.” Fortunately, no injuries were reported, and containment efforts are underway to manage the situation.
The Canadian Coast Guard has recovered tar balls near the area where the MSC Baltic III containership ran aground in Newfoundland. Initial testing suggests the oil likely came from the vessel, with no evidence of a consistent leak. Salvage efforts are ongoing to remove fuel and containers from the damaged ship.
Shell has recently signed a contract with Bulgaria’s government, granting the multinational significant rights to explore for oil and gas in the Black Sea. Bulgaria’s Energy Minister expressed optimism about the contract, emphasizing the importance of uncovering the Black Sea’s potential for future gas supplies. Shell aims to leverage its technology and expertise.
Operations at Taiwan’s Keelung port have resumed after an oil spill during bunkering disrupted activities. The spill fouled four containerships, a cruise ship, and pilot boats. Booms were used to contain the spill caused by an overflow from a barge connection. Cleanup efforts were underway, with delays and impacts on departures reported.
Twelve days after the containership MSC Baltic III ran aground in Canada during a winter storm, the Canadian Coast Guard has determined it cannot be safely refloated. Salvage efforts are hindered by bad weather, focusing on removing fuel and potential contaminants. The urgency is heightened by the threat of worsening conditions.
Efforts to remove the grounded small tanker, the 5,000 dwt Sanwa Maru, have been suspended by the Japan Coastguard. The vessel ran aground at the southern end of Hokkaido, Japan’s northernmost island, on January 6. Initial reports indicated no injuries or damage to the vessel, but a 5-degree list to starboard prompted the evacuation of most of the crew.
Red Sea Global has secured a $1.5 billion financial deal for the development of a multi-utility infrastructure project at the AMAALA destination in Saudi Arabia. The project, led by a consortium including EDF Group, Masdar, EWP, and SUEZ, aims to establish AMAALA with a focus on luxury, sustainability, and cultural enrichment.
Eight months after a major oil spill off the coast of Tobago, the tug believed to have caused the spill, named the Solo Creed, has been arrested in Angola. The circumstances surrounding the incident are still unclear, with ownership of the tug remaining a mystery. Authority seeks recovery of expenses from the IOPC Fund.
BC Ferries in Canada is struggling with its aging fleet, as the 60-year-old Queen of New Westminster lost its propeller, causing service cancelations at the end of a busy summer season. Despite efforts to address maintenance issues, the operator faces significant operational hurdles. Plans are in place to introduce new vessels to meet growing demand.
The overturned oil barge off the coast of Tobago has been salvaged at a cost of $30 million. Recovery efforts led by T&T Salvage successfully refloated the Gulfstream barge after a six-hour operation. The wreck is now being assessed three nautical miles off the coast before being towed to Port-of-Spain. The search for the crew of the abandoned tugboat continues, with the government seeking international assistance in the investigation. The Ministry of Energy has completed beach cleanup and is holding parties accountable for the environmental damage caused by the oil spill.
Shipping companies are navigating the complexities of the FuelEU Maritime regime to reduce compliance costs and penalties for failing to meet carbon intensity reduction targets. OceanScore is providing estimates on compliance surpluses available through pooling to assess costs and potential earnings. Companies must consider biofuel burning and pooling as cost-effective alternatives to penalty payments as regulations become stricter.
Officials provided an update on the salvage efforts for the grounded Ultra Galaxy cargo ship off the South African coast. Despite challenging weather conditions, teams continue to work on oil retrieval. The vessel broke into two, making the operation more difficult. Salvage teams face the task of locating and extracting remaining oil.
