Evidence of VLSFO Quality Diminishing
Bureau Veritas’ bunker monitoring segment, Verifuel, recently released a report shedding light on an intriguing trend. It noted an increase in the proportion of off-spec Very Low Sulphur Fuel Oil (VLSFO) samples in the third quarter of 2023. The off-spec percentage, at approximately 1.5%, reflected an increase from 1.4% in Q2 but a decrease from Q3 2022’s 1.8%.
Investigating Monthly Trends
The journey through Q3 showed interesting fluctuations, with the incidence rate of off-spec samples dipping to 1.2% in August, its lowest point. Nevertheless, it rebounded in subsequent months, hitting 1.7% in both July and September.
A Reason for the Downturn
One plausible explanation for this drop in quality issues compared to last year is the fall in bunker prices. Lower prices leave less room for blenders to sacrifice quality for cost-efficiency, thus resulting in fewer quality issues than before.
A Closer Look at Viscosity and Density
The technical parameters of the fuel samples also changed over the quarter. The global average viscosity of all VLSFO samples the company investigated was 164 cSt in the third quarter, up from the Q2’s 155 cSt. The average density displayed a slight increase, rising to 946.5 kg/m3 from the previous quarter’s 944.2 kg/m3.
HSFO and MGO Off-Spec Rates
Turning our attention to High Sulphur Fuel Oil (HSFO) samples, Q3’s off-spec rate was 0.8%, a decrease from Q2’s 2.2%. The third quarter off-spec rate for Marine Gas Oil (MGO) also dropped, albeit slightly, settling at 2.6% from a former 2.7%.
This meticulous report by Verifuel is crucial in demonstrating the fluctuating dynamics of VLSFO, HSFO, and MGO fuel over time, accentuating how global economic trends can significantly impact these fluctuations.
