State-owned Indian Oil Corp will start producing 0.5% sulfur compliant fuel oil in September 2019, months ahead of the International Maritime Organization’s global sulfur limit rule for marine fuels, but will keep its options open to produce marine gasoil, IOC company officials said late Friday.
The IMO will cap global sulfur content in marine fuels at 0.5% starting January 1, 2020, from 3.5% currently. This applies outside the designated emission control areas where the limit is already 0.1%.Shipowners will have to switch to more expensive cleaner fuels or use HSFO with scrubbers to comply with this rule.
“We are looking at low-sulfur bunker fuel oil. We feel that’s where the premium would be and that’s what will be good for many vessel owners,” a senior IOC official said.”Demand as we see, is for RMG 380. We will be in a position to offer RMG 380 but 180 can also be given. Read More