2024.08.29
- SLOW
- 2024년 9월 11일
- 4분 분량
Potential $600M Insurance Payout Looms from Oil Spill After Houthi Attack on Sounion Tanker
A significant oil spill from the Houthi-attacked Sounion tanker in the Red Sea could result in insurance payouts exceeding $600 million. The Greek-owned, 163,759-dwt Sounion, operated by Delta Tankers, was carrying 922,000 barrels of Iraqi crude when it was hit by multiple attacks, leading to fires and a potential oil leak. The spill could become one of the world's worst, with cleanup costs potentially mirroring the $20 billion estimate given by the UN for a similar situation off Yemen's coast.
The Sounion is insured under war risks coverage by Brit’s Keel consortium and has protection and indemnity (P&I) coverage from Gard. The first $86 million of any cleanup costs would fall on Keel, with an additional $500 million likely covered by reinsurers from the International Group of P&I Clubs. Most of the liabilities for the shipowner and insurers are limited by international agreements signed by affected coastal states like Saudi Arabia, Egypt, and Yemen. However, countries like Eritrea, Somalia, and Sudan have not signed these agreements, which could complicate liability.
The ongoing crisis raises concerns about the safety of Red Sea transits, especially after two previous attacks on other Delta Tankers vessels in the same region. The lack of a naval escort for the Sounion, despite the heightened risks, has drawn criticism and questions about decision-making within Delta Tankers. The situation underscores the increasing dangers and potential financial impacts associated with navigating conflict zones.
[SLOW] https://slowspace.io/ _ Sounion
------------------------------------------------------------------------------------------------
Libya’s Oil Production Slashes by Half Amid Political Stalemate
Libya’s oil production has plummeted by more than 50%, potentially removing nearly 1 million barrels per day from the global market due to an escalating political crisis over control of the central bank. The shutdown, ordered by eastern authorities, has reduced output from 1 million barrels per day to approximately 450,000 barrels per day. Key oilfields and facilities affected include Waha Oil Co., Sarir, Ras Lanuf terminal, and the Al-Feel and Sharara fields.
The crisis was triggered by the western government’s decision to replace central bank Governor Sadiq Al-Kabir, which was met with resistance from eastern factions allied with him. The shutdowns further complicate Libya’s already fragile political landscape, threatening a 2021 UN-backed peace agreement that was intended to unify the country’s rival governments. This reduction in Libya's oil output has also contributed to recent support for global crude prices, although Brent futures experienced a slight dip on Wednesday.
------------------------------------------------------------------------------------------------
SOCAR's STAR Oil Refinery in Turkey to Undergo Two-Month Maintenance, Impacting Russian Oil Market
Azerbaijan's SOCAR will halt operations at its STAR oil refinery in Turkey for up to two months starting September 5th for major maintenance, marking the refinery's first significant upkeep since it began operations in 2018. The refinery, with a capacity exceeding 200,000 barrels per day, is a significant buyer of Russian Urals oil. This maintenance could impact the Urals oil market, though the refinery may continue purchasing oil for storage during the downtime. The refinery's shutdown comes as prices for September Urals oil firm to $67-$68 per barrel in Russian ports.
------------------------------------------------------------------------------------------------
[SLOW] Oil Market _ Refinery Margin
China’s Upstream Oil Gains Offset by Refining and Economic Challenges
China's leading oil and gas companies, PetroChina, Cnooc Ltd., and Sinopec, are experiencing strong profits from upstream activities, thanks to higher international crude prices and increased domestic production. However, their downstream operations, including refining and marketing fuels, are facing significant difficulties. Economic slowdown and China’s decarbonization efforts are putting pressure on refining margins, with operating profits in this sector dropping by about 40% in the first half of the year for PetroChina and Sinopec.
The refining sector is struggling with overcapacity and reduced demand, resulting in accumulated losses of nearly 19 billion yuan by July, making it the worst-performing sector in China's industrial economy. Diesel demand, closely tied to construction, has been hit hard by the ongoing property market crisis. Gasoline consumption is also under pressure due to the rapid rise of electric vehicles and high-speed rail usage. Despite the challenges, PetroChina and Sinopec remain cautiously optimistic about potential improvements in the second half of the year, driven by government-imposed capacity restrictions and anticipated changes in fuel pricing and consumption taxes.
------------------------------------------------------------------------------------------------
Maersk Urges Government Action to Support Shipping's Shift to Zero-Emissions Fuels
Maersk, a leader in the shipping industry's push towards decarbonization, has called for government support to advance the adoption of zero-emissions fuels. The company’s vessel, Alette Maersk, recently made history as the first container ship powered by low-carbon methanol to cross the Pacific, but upon arriving in Los Angeles, there were no facilities to refuel with green methanol, forcing reliance on fossil fuels for the return journey.
Maersk aims for net-zero greenhouse gas emissions by 2040, with plans to add more dual-fuel ships capable of running on both green and conventional fuels. However, the high cost and limited availability of green methanol, coupled with slow market development, pose significant challenges. Maersk is advocating for regulatory support and incentives, similar to those provided to the trucking and aviation sectors, to accelerate the transition. The company has proposed a "green balance fee" to level the playing field within the industry and is urging the International Maritime Organization to adopt regulatory frameworks that encourage the use of sustainable fuels.
------------------------------------------------------------------------------------------------
Comments