Maersk’s subsidiary Maersk Oil Trading has teamed up with liquid bulk storage operator Koole Terminals for the production of IMO 2020-compliant bunker fuel in the Port of Rotterdam.
Maersk said the agreed annual production was expected to cover 5-10% of Maersk’s annual fuel demand, allowing the company to expand its bunker supply volumes in Europe.
“The fuel manufacturing process allows Maersk to produce compatible low sulphur fuels that complies with the IMO 2020 sulphur cap implementation, reducing the need to rely on 0.1% price-based gasoil and fuel oil outside the ECA zones,” Niels Henrik Lindegaard, Head of Maersk Oil Trading at A.P. Moller – Maersk, said.
The IMO 2020 0.5% sulphur fuel cap will be implemented globally as of January 1, 2020. Bunker fuels within the ECA (Emission Control Area) zones will remain at the current cap of 0.1% sulphur. Koole’s Petrochemical Industrial Distillation (PID) unit, located at the company’s Botlek site at the Port of Rotterdam, will allow Maersk to produce such ECA 0.1% sulphur fuel.
The deal with Koole Terminals follows Maersk’s agreement with PBF Logistics from February this year, which will allow Maersk to supply IMO 2020-compliant marine fuel to customers on the US East Coast.
Additionally, in August 2018 Maersk signed a leasing agreement with Vopak for storage of 2.3 million mt 0.5% compliant fuel at the Vopak Europoort Terminal in Rotterdam.