Biofuel Bunker Snapshot: Rotterdam’s B30-VLSFO premium over VLSFO narrows sharply

Rotterdam's B30-VLSFO (POMEME) price has increased by $2/mt over the past week, while the conventional VLSFO price has risen by $66/mt. This has reduced the premium of B30-VLSFO over conventional VLSFO to $191/mt, from $255/mt. Dutch suppliers can now issue ZRE A tickets for low-carbon fuel sales, which can be traded among suppliers. The price of these tickets has surged from €172.5/mtCO2e last Friday to €240/mtCO2e on Thursday. These ZRE A tickets help lower Rotterdam's biofuel prices compared to other ports.

Belgium lacks this mechanism. Prima Markets' ARA UCOME and POMEME barge prices, indicators of feedstock sourcing costs, have each fallen by $146/mt in the past week. UCOME is now $70/mt cheaper than POMEME. Higher ZRE A ticket prices and lower feedstock costs may have mitigated the rise in Rotterdam's conventional VLSFO price.

Rotterdam's B30-LSMGO (POMEME) price has climbed by $19/mt to $1,417/mt, while the conventional LSMGO price has increased by $68/mt. This has narrowed the premium by $49/mt to $21/mt. B100 is priced at $1,185/mt in Rotterdam today, $88/mt less than last week.

In Antwerp, B100 is priced at $1,932/mt, $747/mt higher than in Rotterdam. Singapore's B30-VLSFO (UCOME) price has risen by $75/mt to $1,094/mt, up from $51/mt in the conventional VLSFO price. This has widened the premium by $24/mt to $196/mt. China UCOME cargo, a key feedstock for Singapore's B30-VLSFO blend, is priced at $1,215/mt. B100 in Singapore is priced at $1,445/mt today.

Hong Kong's B30-VLSFO is priced at $1,126/mt, $32/mt higher than the conventional VLSFO price, making it $32/mt more expensive than Singapore's blend. Saudi Arabia's Biofuel Company plans to collaborate with local bunker suppliers in Qatar to deliver B100 to vessels at Qatari ports.