Singapore: market focussed. File image/Pixabay.
The collapse of a major bunker company will not negatively impact the operation of Singapore's bunker market, the Martime and Port Authority (MPA) has said.
In a joint release from the MPA, Singapore's Monetary Authority and Enterprise Singapore (ESG), the agencies say that they have their collective had firmly on the tiller.
"The agencies are closely monitoring developments related to Hin Leong Trading Pte Ltd and the broader oil trading and bunkering sectors," the statement said.
Bar some "short-term minor disruptions due to the lapse of contractual obligations by Ocean Bunkering Services [Hin Leong's bunkering arm] and Hin Leong Marine International", the MPA has assessed that there will be "no serious impact on Singapore's bunkering industry".
The statement continues: "ESG and MPA will continue to work with stakeholders to ensure that Singapore's supply chain for oil products and bunkering operations continue to function without disruption."
Hin Leong sought court protection last week. In addition to a reported $0.8 billion hole in its finances, the firm is reported to owe banks close to $4 billion.
Ocean Bunkering was positioned at number three by volume in Singapore bunker market. Singapore is the world's largest bunkering hub with around 50 million metric tonnes of sales annually.