The Hong Kong-based company saw a sharp jump in bunker sales last year. Image Credit: File Image / Pixabay
Hong Kong-based energy company NewOcean Energy Holdings saw a 66% jump in its bunker sales last year, the company said Wednesday.
Total bunker sales gained 1.768 million mt to 4.464 million mt in 2019, NewOcean said in an earnings release.
Sales in Hong Kong and Singapore jumped to 3.826 million mt in 2019 from 2.018 million mt the previous year, the company said.
"Since Hong Kong or ports along the coastal lines of the Mainland China are not quite considered to have geographical advantages, our foothold established in Singapore plays a very crucial role for improving our marine bunkering business," the company said.
The company launched a marine bunkering business in Malaysia in the third quarter, and by the end of the year this new operation had generated sales of about 80,000 mt, it said.
NewOcean now plans to expand this operation to cover more ports in the country.
The higher cost of very low sulfur fuel oil compared with the high sulfur fuel oil it used to trade in has meant more of the company's credit resources have had to be diverted to its bunkering business, NewOcean said.