First TMX cargo booked on Aframax to China
The first cargo shipped on the Trans Mountain Expansion (TMX) crude pipeline is scheduled to load on an Aframax in Vancouver, British Columbia, beginning 18 May for June delivery in China, according to sources with knowledge of the transaction.
Suncor provisionally booked the Aframax Dubai Angel for a Vancouver-China voyage at $3.5mn lumpsum, equivalent to $6.39/bl for Access Western Blend, market participants said.
In March, China's state-run Sinochem purchased the first TMX cargo — 550,000 bl of Canadian Access Western Blend — for June delivery.
The shipping fixture would mark the first Vancouver-China crude delivery since May 2023, according to Vortexa, a possible indicator of steady Asia-Pacific demand to come with increased maritime access for Canadian oil producers.
China already receives heavy sour Canadian crude re-exported from the US Gulf coast, with about 110,000 b/d arriving in 2023, Vortexa data show.
The new 590,000 b/d pipeline begins commercial service on 1 May, with three Aframax-capable berths at Vancouver's Westridge Marine Terminal, up from one previously.
An oversupply of Aframax crude tankers on the west coast of the Americas in anticipation of TMX-driven demand pressured Vancouver-loading rates to six-month lows on 19 April, according to Argus data, but market participants expect demand to increase beginning in the second half of May.
Three regulatory approvals remained under assessment by the Canada Energy Regulator (CER) on 30 April. The applications concern piping, valves and other components at two pipeline inspection device traps and the mainline pipe between the two traps. The traps were added for safety assurance when the operator was allowed by CER to use a smaller diameter pipe as part of the Mountain 3 deviation.
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US Coast Guard to assess port infrastructure risks
US Coast Guard to assess port infrastructure risks
Houston, 20 May (Argus) — Federal officials will conduct a study of US port infrastructure safety nearly two months after a massive containership brought down the Francis Scott Key Bridge at the Port of Baltimore. The US Coast Guard (USGC), along with the Ports and Waterways Safety Board of Inquiry, will study 10 US ports to evaluate the risks of increased traffic and large commercial vessels on infrastructure like bridges, railways, pipelines, cargo terminals and power plants. A report on risk mitigation strategies and practices will be issued by the board and finalized by 31 May 2025. The study could help avoid accidents like the one in Baltimore that killed six and curtailed traffic in and out of the harbor since 26 March , effecting markets for metals, biofuels, coal, organic agriculture, petcoke and other products. The containership that struck the bridge was removed from the accident site on Monday, allowing commercial vessel traffic to resume . The port is expected to fully reopen by the end of May. By Meghan Yoyotte Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
Containership moved from Baltimore bridge site: Update
Containership moved from Baltimore bridge site: Update
Includes information on resumption of all vessel traffic. New York, 20 May (Argus) — Deep-draft commercial vessels can resume movement in and out of the Port of Baltimore following today's removal of the containership that collided with the Francis Scott Key Bridge in March, according to officials. The 116,851dwt Dali had been pinned under the wreckage of the bridge since 26 March, when it lost power and hit the span, sending it into the water. Earlier this month the sections of bridge still on the ship were removed and on Monday the ship was refloated and relocated. With the Dali relocated all movements by deep-draft vessels that would normally travel to and from the port could resume, according to the federal Unified Command overseeing the response. Remnants of the bridge still need to be removed from the seabed before the commercial channel is restored to its full width. The bridge collapse blocked traffic in and out of the Port of Baltimore, which is a major coal export and automobile import terminal. Several small, shallower channels had been open to allow some vessel traffic, but not the largest ships that normally make call in Baltimore. The US Army Corps of Engineers is seeking to have the main channel, with a depth of 15.24m (50 feet), fully reopened by the end of May. By Gabriel Squitieri Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
Containership moved from Baltimore bridge crash site
Containership moved from Baltimore bridge crash site
New York, 20 May (Argus) — The containership that collided with the Francis Scott Key Bridge in Baltimore, Maryland, in March has been moved from the accident scene to a nearby marine terminal. The 116,851dwt Dali had been pinned under the wreckage of the bridge since 26 March, when it lost power and hit the span, sending it into the water. Earlier this month the sections of bridge still on the ship were removed and on Monday the ship was refloated and relocated. The bridge collapse blocked traffic in and out of the Port of Baltimore, which is a major coal export and automobile import terminal. Several small, shallower channels had been open to allow some vessel traffic, but not the largest ships that normally make call in Baltimore. The US Army Corps of Engineers is seeking to have the main channel, with a depth of 15.24m (50 feet), reopened by the end of May. By Gabriel Squitieri Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
Roy Hill's WA iron ore loadings support WA exports
Roy Hill's WA iron ore loadings support WA exports
London, 20 May (Argus) — Iron ore shipments by the four largest producers in Western Australia (WA) rose in the week to 18 May on the back of a rebound of Roy Hill's volumes as the company completed routine quarterly maintenance. Rio Tinto's shipments ticked up too despite a derailment on its rail line. The four largest Pilbara iron ore producers — BHP, Fortescue, Rio Tinto and Roy Hill — loaded vessels with a combined capacity of 17.10mn dwt, up from 16.63mn dwt in the week to 11 May. The dwt capacity is the maximum capacity of a vessel and overestimates actual shipments by about 5pc. Rio Tinto's shipments reached 6.14mn dwt from 5.81mn dwt the previous week. This is below the 2024 average of 6.44mn dwt.There was a derailment on the rail line heading to Rio Tinto's Dampier facilities last Monday. "We have reopened our dual train line 80km from Karratha following a rail incident on Monday, with the first train travelling on one of the repaired lines on Friday and the second line reopening on Saturday," the company said. Roy Hill's exports jumped to 795,000 dwt from 208,000 dwt the previous week as the company appears to have completed its quarterly maintenance. But the volumes remain below the average of 1.25mn dwt. BHP's volumes ticked down to 5.88mn dwt from 6.22mn dwt the previous week. Fortescue's iron ore loadings edged lower to 4.29mn dwt but were still well above the rolling average of 3.74mn dwt. Overall iron ore shipments from WA increased to 48.95mn dwt during the 1-19 May period from 47.81mn dwt in the same period last year, provisional shipping data indicate. Shipments to China rose to 42.27mn dwt from 39.51mn dwt across the same timeframe. Spot freight costs have stepped down in recent weeks as demand has decreased. Capesize freight rates — for loading on 4-7 June — on the bellwether WA to north China route fell to $10.40/t today from the most recent peak of $11.95/t on 8 May. By Andrey Telegin Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
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