Fuel Trading and Bunkering - V Annual international forum 02 - 03 October 2008, Saint-Petersburg, Russia

• Information
• Programme
• Venue
• Photo gallery

Fuel trading and bunkering

V Annual International Forum

 October 2-3, 2008, St.-Petersburg, Russia

This annual forum is the largest event in the area of fuel trading, bunkering and shipping in FSU and Europe. It includes over 250 delegates from more than 20 countries and 120 companies. This is an outstanding opportunity to receive the latest market updates and to network with representatives of the bunkering and shipping businesses and with industry experts, fuel oil producers and traders from Russia, Ukraine, the Baltic countries and Europe.

The fuel oil and bunker sectors are undergoing fundamental change. The growth in the global demand for inland fuel oil is stagnating with the increasing switch to gas and increasingly stringent emission legislation. In the bunker sector the imminent changes in emission legislation are expanding the demand for lower sulphur fuels to the point where refiners can only meet requirements by cracking more fuel oil and increasing the distillate blend components. How the regulations are imposed and how refiners respond will shape the fuel oil and bunker market over the next decade. The price of sour fuels will drop, exposing refiners without the flexibility to meet the trend for cleaner fuels.

Two half-day workshops specially designed for shippers and bunkerers will take place on October 1, 2008:

• Shipping in cleaner air - Impact of Environmental Legislation on Shipping and Bunkering Operations
• Handling Bunker Claims & Disputes

These workshops are open at not charge to all shipping companies participating in the Forum.

On October 2, 2008 an entertaining 5-hour gala dinner and cocktail reception will finish the day. This will be an excellent opportunity to enjoy networking and fun with industry colleagues in a relaxed and informal manner.

Here's what you can expect from the Forum in 2008. We will bring you the latest market updates and trends on:

• European regulations and law
• Shipping emissions and carbon trading
• Technological advances and blending FSU refinery plans and impact on supply
• Overview of ports’ development and new bunkering markets in FSU and Europe
• Market globalisation and Russian
• Majors entry to the bunkering market
• Market instability, pricing and price risk management for shippers, bunkerers and traders

PROGRAMME:

DAY I. 1 OCTOBER, 2008 (Wednesday)
 Before the forum on the 1st of October two international workshops will take place:

• Shipping in Cleaner Air
• Handling Bunker Claims & Disputes

Both workshops are free to attend for shipping companies representatives.

DAY II. 2 OCTOBER, 2008 (Thursday)

SESSION I: GROWTH IN THE SHIPPING INDUSTRY AND GLOBAL SUPPLY AND DEMAND IN THE FUEL MARKET
Opinion on LSFO future supplies 
Bob Thornton – Marine Technical Director, World Fuels

ARA supply & demand (Amsterdam-Rotterdam-Antwerp)
Christian Kint – Oilchart

10:45 – 11:15 Coffee-break

Availability of low sulphur fuel oil for ship owners. Current situation at Russian refineries
Roman Kovalchuk – Manager, Lukoil

Growing role of small refineries in assisting large refiners with meeting fuel supply needs for the bunkering sector
Michael Turukalov – columnist, NGV

DISCUSSION 1. Ship owners’ needs and concerns on future fuel deliveries. Bunkerers balancing between supply and demand. Chairman: Robin Meech

13:00 – 14:00 Lunch

SESSION II: EMISSIONS CONTROL AND REGULATIONS

 ISO standards - future revisions
Bob Thornton – Marine Technical Director, World Fuels

MARPOL Annex VI and other issues at IMO. Material Safety Data Sheets and revision of MSC. 150(77)
Ian Adams – Secretary General, IBIA

Ship Air Emissions: MARPOL Annex VI and some legal aspects of enforcement
Jonathan Lux – Partner, Ince & Co

13:00 – 14:0 Lunch

SESSION III: RECENT TRENDS IN QUALITY ISSUES AND TECHNOLOGY

Quality issues and specifications of bunker fuel. Latest trends
Alexander Beday – Client relations manager, DNV Petroleum Service

Technical regulation and bunker fuel requirements set by Russian legislators
Tamara Mitusova – Diesel, Marine and Furnance Department Head, VNII NP

Contaminants in bunker fuels
Dr Vis – Director, Viswalab

Fuel ignition quality
Jan K Paulsen – Managing Director, Fueltech AS

Abatement technology - emissions
Torbjörn Henriksson – Technical Manager, Wartsila

16:00 – 16:30 Coffee Break

Bunker operations & Quality systems
Angus Ogilve – Director, Cockett Marine

The Antwerp bunker market & quality control
Christian Kint – Oilchart

Bunker quality claims
Chris Fisher – Director, Bunker Claims International

DISCUSSION 2. Recent trends in fuel quality. Chairman: Chris Fisher

GALA DINNER – at a new nice place and a traditionally welcoming hospitality – the best time for delegates’ networking!

DAY III. 3 OCTOBER, 2008 (Friday)
Chairman of the day: Chris Fisher – Director, Bunker Claims International

SESSION IV: KEY ISSUES IN OPERATING A BUNKERING BUSINESS

Challenges Facing the Bunker Industry over the Next Decade: high Prices, the credit crunch; cleaning up the environment; technology; human resources
Robin Meech – Director, Marine & Energy Consulting

Fuel purchasing and challenges facing ship owners
Erkki Kotiranta – Stakeholder Liaisons Manager, Shipping Division, Neste Shipping respresentative

11:00 – 11:30 Coffee Break

Customs regulation of bunkering operation in the Russian Federation. Recent developments in legislation
Anna Litovchenko – Manager, Taxation consulting department, STS Logistics

VAT return for the bunker and trading companies
Natalia Cherepanova – Head Specialist, Tax Department, Ernst&Young

13:00 – 14:00 Lunch

SESSION V: OVERVIEW OF DEVELOPMENTS IN BUNKERING MARKETS. NEW OPPORTUNITIES AND NEW PLAYERS

Outlook for new transhipment facilities at Russian sea ports – development of ports and new bunkering markets
Roman Mezhlumyan – Department Head, Federal Agency of Sea and River Transport

Development and results on operations in the St. Petersburg bunker market in 2007- 2008
Dmitry Ivanov – Trader, Nevsky Mazut

Fuel deliveries in ports of the Far East and bunkering operations of Gazpromneft Marine Bunker company Gazprom Neft Marine Bunker representative

15:30 – 16:00 Coffee Break

Rosneft bunker business. A year after
Oleg Filatov – Director, Bunkering Devision, Department of export of crude oil and products, Rosneft

Bunkering in ports of the Bosporus and Mediterranean. Readiness for SECA requirements in the South
Olga Kovaleva – Buker fuel trader, Oil Trade Marine

Growing bunkering markets in the Ukrainian ports of the Black Sea
Jury Pechkov – Director, Triton Fuels Ukraine

17:30 Forum’s closing

Shipping in Cleaner Air – Impact of Environmental Legislation on Shipping and Bunkering Operations

The workshop “Shipping in Cleaner Air” provides insight into the changing legislation to curb emissions from shipping. Although the focus will be on the Baltic and North Sea, participants will obtain an awareness of the global implications in terms of the regulations, compliance, demand for lower sulphur fuels, the longer term switch to distillate marine fuels and the price implications. The challenges faced by both suppliers and buyers will be demonstrated and proposed solution presented, again setting out the associated costs. There will be ample time for questions and answers throughout the workshop. The workshop will be conducted simultaneously in Russian and English.

14:00 Introduction

• Issues to be covered
• Increasing importance of emission controls

14:15 Marine emissions

•  The public debate
• Quantification of SOx, NOx, CO2 and Particulate Matter

14.30 Legislation

• Annex VI
• EU
• Other countries regulations
• The future

15.30 Coffee Break

16:00 Bunker demand and Price Implications

• Demand for lower sulphur fuels
• How the refiners will meet demand
• Global implications
• Future pricing

16:45 Ship Owners Options

• The methods of complying
• The cost implications for buyers and sellers
• Enforcement and compliance

17:00 Exhaust gas scrubbing

• Technology
• Economics

17:30 Other abatement options

• Use of shore power – “Cold Ironing”
• Taxes and port fee discounting

18:00 Questions and Answers

18:15 End of workshop

Handling Bunker Claims & Disputes

The subjects of the workshop should appeal to fuel suppliers, ship owners and charterers of ships. We shall discuss the main issues that are involved with handling bunker claims and the difficulties involved with the technical and commercial evidence. Bunker claims are usually complex and evaluation of the merits of the claim, at an early stage are important if costs are to be controlled and correct actions taken. Delegates will be introduced to the main problem areas and will receive guidelines on effective claim handling.

The programme of the workshop:

09.00 Welcome & introductions

09.15 The parties involved in bunker disputes

09.30 Marine fuel specifications & their importance with respect to claims

10.15 Evaluation of claims – terms and conditions of sale, sample evidence, test results, suitability of the fuel for consumption

11.15 Coffee break

11.30 Evaluation of claims – other contemporaneous evidence

12.30 Types of dispute resolution

13.00 Q&A and close out

13.30 Close

Seminars' speakers:

Chris Fisher can look back on almost 30 years of experience in the bunkering industry. A renowned expert in his field, he has published, together with Jonathan Lux, the book “Bunkers - An analysis of the practical, technical and legal issues”, which is regarded as a classic in the bunkering business. He is currently Director of Bunker Claims International, which he founded himself. BCI is serving clients worldwide with its expert advice. As a consultant, Chris Fisher has worked with a multitude of clients. The major P&I clubs as well as many international law firms, shipping companies, bunker suppliers, bunker traders and charter organizations and bunker suppliers can be counted among his clients.
He began his career at Texaco, where he started as Chief Engineer and became Superintendent Engineer later on. In 1984, he began his work as a surveyor and consultant, specializing in liquid cargo and bunker quality disputes.
In 1987, he began to work at DNV Petroleum Services.
From 1991 to 1995, he took up the post of Regional Manager Europe for this company. In 1996, he was appointed Northern Europe Director at the British Standards Institute. The BSI group of companies provide independent Inspection and Certification services related to the sale and purchase of Oil and Petrochemical cargoes.
Since 2003, he has concentrated on running his own business at Bunker Claims International. In addition, Chris Fisher is honorary treasurer of the International Bunker Industry Association, member of the Heavy Fuel Working Group of CIMAC and a Fellow of the Institute of Marine Engineering, Science and Technology. He has a long-standing experience in holding workshops on bunkering topics.

Robin Meech is Managing Director of Marine and Energy Consulting, an independent consultancy practice focusing on the marine industry with an emphasis on the transport of energy.
He has a particular interest in the bunker sector where he has undertaken assignments for ship owners, the Major Oil Companies as well as independent traders and national oil companies. He advises clients in the bunker sector on environmental issues, forming alliances, purchasing strategies, organisation, new business ventures, credit insurance, logistics, IT systems and e-business. He has also been a director of an independent tanker company where his responsibilities included managing the purchasing of bunkers. Robin Meech is co-author of “Outlook for Bunker Fuel Oil and Heavy Fuel Oil to 2015” due to be published later this year.
Robin Meech has worked extensively throughout Russia including fours years’ resident in Moscow. He holds an honours degree in engineering from the University of Bristol, UK.

These workshops are FREE TO ATTEND to all shipping companies who register before 18th July. Please note that the participation fee for those registering after 18th July is 850 euros.

Glossary

Bunkering – the act of process of supplying a ship with fuel.

Oil trading – a trade of oil and oil products.

Crude oil - A mixture of hydrocarbons that exists as a liquid in natural underground reservoirs and remains liquid at atmospheric pressure after passing through surface separating facilities. Crude is the raw material which is refined into gasoline, heating oil, jet fuel, propane, petrochemicals, and other products. 

Fuel oil - a liquid petroleum product less volatile than gasoline, used as an energy source. Fuel oil includes distillate fuel oil (No. 1, No. 2, and No. 4), and residual fuel oil (No. 5 and No. 6).

Bunker fuels - fuel supplied to ships and aircraft, both domestic and foreign, consisting primarily of residual and distillate fuel oil for ships and kerosene-based jet fuel for aircraft. The term "international bunker fuels" is used to denote the consumption of fuel for international transport activities. Historically, bunker fuels have meant only ship fuel. 

Fuel oil - a liquid petroleum product less volatile than gasoline, used as an energy source. Fuel oil includes distillate fuel oil (No. 1, No. 2, and No. 4), and residual fuel oil (No. 5 and No. 6).

HSFO - High sulfur fuel oil. Typically fuel oil containing 3.5% sulfur.

LSD - Low sulfur diesel fuel. Diesel fuel containing more than 15 but less than 500 parts per million (ppm) sulfur.

Cracked fuel -residue remaining after a straight run fuel has been processed by enhanced refining methods.

Distillate fuel oil - a general classification for one of the petroleum fractions produced in conventional distillation operations. It includes diesel fuels and fuel oils. Products known as No. 1, No. 2, and No. 4 diesel fuel are used in on-highway diesel engines, such as those in trucks and automobiles, as well as off-highway engines, such as those in railroad locomotives and agricultural machinery. Products known as No. 1, No. 2, and No. 4 fuel oils are used primarily for space heating and electric power generation.