EMEA News
Reports: Monjasa, Trafigura Dominate Bunker Market in West Africa
Monjasa and Trafigura are dominating in the West African physical bunker market as other players exit over security fears, Shippingwatch reports.
Monjasa is said to deliver more than half of West African bunker volumes in a market that sees monthly sales of between 100,000 metric tonnes (mt) and 130,000 mt.
According to the report, Monjasa has contracted with trading house Trafigura to deliver between 70,000mt and 80,000mt per month.
It is understood that the bunkers are transported from Rotterdam to West Africa.
The companies are said to be able to dominate in the market particularly as other players are withdrawing over safety fears, with hijackings prevalent off the West African coast.
In November last year Dan-Bunkering and Endofa, ended its WAF joint venture Oleum, with the report suggesting that one of its chartered ships was hijacked off Ghana and 3,500mt of fuel oil was stolen.
Similarly, Stena Group company Stena Oil was said to have exited the market until security is significantly improved in the region, particularly in Nigeria.
Monjasa said it was aware of the risks of operating in the area, and has had vessels hijacked twice in the region, but it is planning to open an office in Lome, Togo.
"From here, the group in collaboration with Danish Guardian will offer ship agency services, including safety measures in certain anchorages in cooperation with the Togolese navy, as seen in for instance Nigeria today, where several English companies are working with Nigerian authorities," said Thorstein Andreasen for Monjasa.
