An external explosion has been reported about 60 nautical miles east of Muscat, Oman, the UK Maritime Trade Operations Centre said on Tuesday.
The explosion occurred near the portside and close to the waterline, as reported by a vessel.
The vessel and the crew have been reported safe, although there has been some discharge of bunker fuel into the sea, the UKMTO said.
Further investigations are on, UKMTO said.
Major biofuel feedstocks were mixed on Tuesday, as the Chicago soybean complex eased on ample supply availability, while Malaysian palm oil firmed following a rise in crude oil prices.The July soybean contract on the Chicago Board of Trade edged lower by 0.48% to $11.91 per bushel in early trade, and the July soybean oil contract inched down 0.31% to 73.75 cents per pound.South American supply in the global market is expected to increase as Brazil's soybean harvest concluded, according to price reporting agency MySteel.Brazilian soybean exports are projected at 16.1 million metric tons in May, up versus 14.2 mmt a year earlier, based on estimates by trade association Anec.In Argentina, the government may reportedly cut soybean export duties from January 2027, subject to tax revenues and continuation of the current administration. Export duties for wheat and barley will be reduced to 5.5% from 7.5% beginning in June.In the US, progress in soybean planting remained higher at 67% through the week ended May 17, compared with last year's pace of 63% and the five-year average of 53%. Updated data will be released by the agriculture department on Tuesday.With these factors buoying global supplies, MySteel expects Chicago soybeans "to trade in a range-bound pattern between $11.70 per bushel and $12.10 per bushel."In Asia, Malaysian palm oil futures tracked gains in crude oil prices following US military strikes on Iran, but slowing exports partially offset increases.The Bursa Malaysia Derivatives' June crude palm oil contract recovered 0.43% to 4,429 Malaysian ringgit ($1,119.71) per metric ton on Tuesday. The July palm oil contract rose 0.45% to 4,466 ringgit/mt.Indonesia's move to centralize exports of palm oil and other commodities to a state-backed agency, which is planned for implementation beginning September, may provide a temporary boost to Malaysia's export market, hence supporting prices."Crude oil and geopolitical risks, together with Indonesia's export policy, were the core variables driving (vegetable) oil price increases," MySteel said.The new export policy could further reduce Indonesian shipments of palm oil, which have already seen a drop in March to 2.17 million metric tons from 2.88 mmt a year earlier, according to industry association data, cited by Trading Economics.Indonesian Palm Oil Association chairman Eddy Martono, as cited by Jakarta Globe, cautioned that the new system, if not managed properly, may disrupt long-established export markets and trading networks.Uncertainties in export mechanisms have also impacted farmers, as palm oil fresh fruit bunch prices fell to around 1,000 Indonesian rupiah ($0.06) per kilogram from 2,800 rupiah/kg, after traders, mills, and companies withheld purchases and temporarily halted sales, according to a palm oil farmer association cited by Reuters.The government reportedly argued that the centralized system will enhance oversight of shipments, preventing state revenue leakages of around $150 billion annually.In Malaysia, declining Malaysian shipments weighed on prices, after cargo surveyors reportedly estimated a 14.5% to 18.0% month-over-month decline in export volumes for the May 1-25 period.A possible US-Iran peace deal could pressure palm oil prices going forward due to decreasing appeal of biofuels, Phillip Capital said.The market will be closed on Wednesday for Eid holiday.In the US, ethanol prices also rose, with June contract on the NYMEX up 0.74% to about $2.04 per gallon on Friday.
Singapore's chief climate diplomat Ravi Menon expects fresh, large-scale investment in the renewables sector, with concerns related to energy security and supply chain expected to boost demand and revenue, Bloomberg reported Tuesday.The rising worldwide demand for clean energy industry inputs is expected to result in an increase in prices in the future, unless the industry capacity manages to catch up, Menon told Bloomberg News.Considering the expectations of rise in demand and prices, investment by institutional investors and hedge funds must have already made its way into the sector, said Menon, who served as the chief of the Monetary Authority of Singapore for over 12 years before retiring in 2024.The ongoing energy supply crisis resulting from the Iran war has led to a surge in demand for renewables, with countries heavily reliant on fossil fuels eyeing energy independence, the report said. Countries like South Korea and the Philippines are looking to speed up such projects, it added.A longer-term shift back to coal, a strategy adopted by several Asian countries including India to combat power shortages, could however dent the progress of renewables, Menon said.(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)
Japan will increase its imports of crude oil in May to 1.7 million barrels a day as its refiners find supplies in areas not affected by Iran's closure of the Strait of Hormuz, Bloomberg analysis showed on Tuesday.The May import estimate would be about three-quarters of what Japan imported around the same time a year ago, during a time of relative normalcy for energy markets.Bloomberg made the estimate using its vessel-tracking data as of May 19 and said imports could be higher than the government's estimates due to independently-purchased oil cargoes from the US and Saudi Arabia transiting the Red Sea.It is possible that some of these cargoes could be rerouted away from Japan, Bloomberg said, with destination switching seen more frequently since the Iran war began in late February.Japanese government had forecast that 1.4 million barrels per day of Middle Eastern crude, not transiting the Strait of Hormuz plus crude from the US, would reach Japan each day.About 90% of Japan's crude oil comes from the Middle East, forcing both the government and private companies to search for alternatives since the start of the Iran war, the article said.Japan has twice released reserves to stabilize the market and now has about 202 days of oil left, down from 243 at the end of February when the war started, Bloomberg said.