Soren Holl: Staying in touch. Image Credit: KPI Bridge Oil.
With more sales of IMO2020 grade fuel on its books than non-compliant bunker fuel, Danish bunker trader KPI Bridge Oil says that it is well prepared for the switchover to low sulfur bunker fuel.
As part of its preparations for the arrival of the 0.5% sulfur cap, the company said it has secured a "new and large revolving credit facility" as well as undertaking a "comprehensive internal review of its business model".
This was done "to prepare our systems, operaiton and team members for the 2020 regulations", chief executive Soren Holl said.
However, the market will experience volatility in the wake of the fuel specification change.
"Until the market settles at a new equilibrium and the supply side has fully completed the transition, we'll see frequent and significant price swings depending on location and availability," the executive said.
His company's website has an online resource for customers to keep up with market developments. "Staying in touch with your local trader or broker who'll be closely monitoring market movements and the current availability of various products" works equally well, he added.