The decline in the cost of VSLFO has intensified with the approach of the Lunar New Year in China and pressure on the price of oil as a result of the novel coronavirus outbreak also mainly in China but expected to spread abroad by nervous markets.
On a global basis VLSFO fell by US$10/tonne and MGO by US$11.24/tonne, but regionally Northern Europe saw a decline in the blended low sulphur fuel of US$25.50 and US$33.50 for the distillate. North America also falls of US$10.50 and US$11.25 for VLSFO and MGO respectively. The Middle East and Africa was the only region to record a gain for MGO a comparatively modest US$1.50, while VLSFO fell US$13.50 in the region.
By Comparison the largest regional fall for 380 HFO was US$5.00/tonne for North America and the overall, globally, was decline US$2.12.
