Vitol is strengthening its position in Asia’s expanding biofuel market with the delivery of specialised bunker barges to Singapore next year.
Vitol through its wholly-owned subsidiaries V-Bunkers and Vitol Bunkers will be able to offer a range of biofuel blends, from B24, B30 and even up to B100 if customers request it.
Currently, all vessels delivering bunker fuel in Singapore are oil tankers. These are permitted to only supply a fuel blended with biofuel up to 25% concentration.
Any greater and IMO regulations stipulate a ‘IMO Type 2 chemical tanker’ ship is required. The first IMO-Type 2 barge ordered by V-Bunkers will be delivered in January, to be followed by several more throughout 2024. Depending on demand, these vessels could also be upgraded to supply methanol.
“The delivery of specialist barges is an exciting development for Vitol and its sustainability offerings in Asia,” said Mike Muller, head of Vitol Asia.
“As the shipping industry steps up its pursuit of decarbonisation solutions, barges that can deliver bunker fuel with a much higher concentration of biofuels represents a material step in the right direction.”
Shipping is considered a hard to abate sector, with no single technology or solution expected to solve the emissions problem. Biofuels, which can be in the form of methane, methanol or fuel oil/gas oil blends, are seen as a convenient way for shipping companies to reduce their carbon emissions due to their ability to be used as a ‘drop-in fuel’.