Bunker Prices Surge Amid Hormuz Tensions

Global bunker fuel prices have skyrocketed to unprecedented levels due to the ongoing tensions in the Strait of Hormuz, according to a report from Ship&Bunker. The average global price for standard IFO380 heavy bunker fuel reached $841.50 per ton on Thursday, eclipsing the previous record of $760 per ton. This dramatic price surge is a direct result of the conflict between Iran and the US-led coalition, which has disrupted oil supply and shipping operations in the strategically important Strait of Hormuz. 'The closure of the Strait of Hormuz has sent shockwaves through the global bunker market,' said Splash247 editor Sam Chambers. 'Shipowners are facing crippling fuel costs at a time when the industry is already grappling with the transition to low-sulfur fuels.' The Safaniya, Marjan, Zuluf, and Abu Safa offshore oil fields operated by Saudi Aramco have been temporarily shut down due to the security threats posed by the Iran-US conflict, curtailing an estimated 2-2.5 million barrels per day of crude oil production. This supply disruption has contributed to the surge in global oil and bunker prices. 'Shipowners are feeling the pain of these record-high bunker prices, which are squeezing already tight profit margins,' Chambers added. 'The maritime industry will be closely watching for any de-escalation of tensions in the Strait of Hormuz that could help stabilize the bunker market.'