EMEA News
VOPAK to Convert 500,000 cbm of Rotterdam Capacity for IMO 2020 VLSFO
Dutch tank storage firm VOPAK today said it will convert 500,000 cbm of capacity in Rotterdam to store and handle low sulfur fuel oil as part of its preparations for IMO 2020.
The investment in its Europoort terminal is supported by customer commitments as of mid 2019, the firm added during its latest 1H 2018 earnings call.
“In our oil hub terminals the priority was to invest for the IMO 2020 bunker fuel regulations,” said Royal Vopak Chief Executive Officer, Eelco Hoekstra.
“Our terminals in Fujairah, Rotterdam, and Singapore will be fully ready to support new market requirements.”
Despite growing interest in marine scrubber technology, the vast majority of vessels are on course to be burning complaint fuel when the new global 0.50% sulfur cap on marine fuel comes into force from January 1, 2020.
As vessels will need to switch over to the new fuels ahead of this deadline, suppliers and storage firms alike are faced with a potentially uncertain demand picture for 2019.
Speaking to Ship & Bunker In June. Monjasa’s Svend Stenberg Mølholt predicted that in Q3 next year “you'll see actual volume being supplied and we'll get a feel for the whole logistics and infrastructure of the new world of bunkers.”
