INVESTIGATORS are trying to ascertain what is behind a string of cases involving contaminated bunker fuel being loaded on ships in the US Gulf ports, Panama and Singapore.
London-based International Bunker Industry Association (IBIA) said 100 vessels appear to have been affected and the issue has been going on for some time, reported American Shipper.
IBIA said: 'A significant number of ships have experienced serious operational problems - chiefly sticking/seizing fuel pumps and in some cases filter blockages - after lifting bunker fuels from the US Gulf region since late March and during April/May.
'Most cases have reportedly been caused by intermediate fuel oils (IFOs) bunkered in the Houston area, though there are indications that similar problems have been caused by fuels bunkered in Panama.'
On July 27 Meadway Shipping and Trading Singapore filed a lawsuit in the US District Court in Maryland after a ship it had sub-chartered loaded bunker fuel in Balboa, Panama and developed engine problems.
The complaint, filed by Meadway against sub-charter Integrity Bulk ApS, says the fuel was tested in a laboratory and found higher than normal phenol content.
'Phenols have acidic content and can damage lubrication surfaces. Phenols also reduce the stability of the fuel. Presence of phenols also indicates the possible use of shale oil as cutter stock. Shale oil reduces the ignition and combustion properties of the fuel,' the complaint said.
Meadway said it has suffered damages exceeding US$2.1 million, including as much as $500,000 from damage to the vessel, engine and system.
'This is the start of a lot of litigation about bad bunkers,' predicted Stephen Simms of Simms Showers in Baltimore, Meadway's attorney. He believes Meadway's complaint 'is the first bad bunker suit filed. I understand there are many working their way through the claims process.'
He said there seems to have been contaminated bunker fuel loaded at several places in the US Gulf Coast, Panama and Singapore.
In late July Reuters reported that the Singapore-based marine fuel testing company Maritec Pte Ltd had reported six samples of fuel sold in Singapore had 'resulted in severe sludging at centrifuges, clogged pipelines overwhelmed fuel filters' and that 'test results of the Singapore samples seems to point to both 'Estonian-type oil shale' and 'US-type fracked shale oil.''
VeriFuel, the fuel-testing division of the classification society Bureau Veritas, said there have been problems similar to those seen in Houston in Aruba.
IBIA said: 'It's not clear that all of the reported cases share the same root cause and not all testing companies and experts are offering the same view as to the root cause. However, the issues associated with problem fuels have manifested in the form of sticking and seizures of fuel-injection systems components (mainly pumps), blocked fuel filters or both.'
Mr Simms is concerned that fuel quality could become an even bigger issue as 2020 approaches when the International Maritime Organization is requiring shipping companies to use fuel with sharply lower levels of sulphur or treat emissions from their engine exhaust to remove sulphur oxide.
Most large ships burn residual fuel with high levels of sulphur. As refineries ramp up production of lower sulphur fuel, 'there will be the need to take the residual fuel and then, for a lack of a better word, cut it with acceptable compounds to reduce the sulphur content to the 0.5 per cent limit,' said Mr Sims, who predicted 'the more blending there is, the more problems there's going to be with fuel.'
London-based International Bunker Industry Association (IBIA) said 100 vessels appear to have been affected and the issue has been going on for some time, reported American Shipper.
IBIA said: 'A significant number of ships have experienced serious operational problems - chiefly sticking/seizing fuel pumps and in some cases filter blockages - after lifting bunker fuels from the US Gulf region since late March and during April/May.
'Most cases have reportedly been caused by intermediate fuel oils (IFOs) bunkered in the Houston area, though there are indications that similar problems have been caused by fuels bunkered in Panama.'
On July 27 Meadway Shipping and Trading Singapore filed a lawsuit in the US District Court in Maryland after a ship it had sub-chartered loaded bunker fuel in Balboa, Panama and developed engine problems.
The complaint, filed by Meadway against sub-charter Integrity Bulk ApS, says the fuel was tested in a laboratory and found higher than normal phenol content.
'Phenols have acidic content and can damage lubrication surfaces. Phenols also reduce the stability of the fuel. Presence of phenols also indicates the possible use of shale oil as cutter stock. Shale oil reduces the ignition and combustion properties of the fuel,' the complaint said.
Meadway said it has suffered damages exceeding US$2.1 million, including as much as $500,000 from damage to the vessel, engine and system.
'This is the start of a lot of litigation about bad bunkers,' predicted Stephen Simms of Simms Showers in Baltimore, Meadway's attorney. He believes Meadway's complaint 'is the first bad bunker suit filed. I understand there are many working their way through the claims process.'
He said there seems to have been contaminated bunker fuel loaded at several places in the US Gulf Coast, Panama and Singapore.
In late July Reuters reported that the Singapore-based marine fuel testing company Maritec Pte Ltd had reported six samples of fuel sold in Singapore had 'resulted in severe sludging at centrifuges, clogged pipelines overwhelmed fuel filters' and that 'test results of the Singapore samples seems to point to both 'Estonian-type oil shale' and 'US-type fracked shale oil.''
VeriFuel, the fuel-testing division of the classification society Bureau Veritas, said there have been problems similar to those seen in Houston in Aruba.
IBIA said: 'It's not clear that all of the reported cases share the same root cause and not all testing companies and experts are offering the same view as to the root cause. However, the issues associated with problem fuels have manifested in the form of sticking and seizures of fuel-injection systems components (mainly pumps), blocked fuel filters or both.'
Mr Simms is concerned that fuel quality could become an even bigger issue as 2020 approaches when the International Maritime Organization is requiring shipping companies to use fuel with sharply lower levels of sulphur or treat emissions from their engine exhaust to remove sulphur oxide.
Most large ships burn residual fuel with high levels of sulphur. As refineries ramp up production of lower sulphur fuel, 'there will be the need to take the residual fuel and then, for a lack of a better word, cut it with acceptable compounds to reduce the sulphur content to the 0.5 per cent limit,' said Mr Sims, who predicted 'the more blending there is, the more problems there's going to be with fuel.'