February 1 th 2023
Odin Tank Storage Report
National Holidays: Monday and Tuesday, February 20th and 21st, Carnival
Grains and Markets:
Vietnam still wanting soya beans on April-May dates, Tunisia for April, Algeria looking for soyameal in the same window.
China has bought two cargoes of soya oil from ECSA on prompt dates and Egypt is buying 30,000 tons of soya oil and 10,000 tons of sunoil February-March dates.
The initial soya bean forecast for Argentina’s 2023 harvest, commencing May 2023 was 45,500,000 tons. It is now expected to be down by about 5,000,000 tons. Nevertheless, there is a healthy carry over from the 2022 harvest so it will help weather the present shortage. In the shorter term soyabean imports from Brazil are expected to continue in to late March or April with a further 7 vessels expected (30 to 40,000 tons each).
Odin Tank Storage Report:
Please find hereunder the report issued by our friends Odin for January 2023.
It was an active month in ARA on terminal ownership, especially in Rotterdam -the home of our main office- as there have been major changes in the tank storage market. Sad to hear about the bankruptcy of one of the market players and, at the same time, hearing that one of the major terminals acquired a large competitor’s terminal, which will increase their market share for this segment.
Oil – Petroleum
On February 5th, the new sanctions package from the EU will enter into force, which includes a ban on refined petroleum imports from Russia. Europe has always been a large import region for Diesel as Europe consumes around 6.5m barrels a day while only producing around 5m barrels a day. Due to the next round of sanctions the EU is about to lose its main source of Diesel fuel to fill this deficit. The move is meant to pressure Moscow, but the question remaining is ‘Will Russia be able to sell its Diesel elsewhere?’. Russia has been able to sell its Crude oil to India and China, but both countries have refining capacity of their own, so historically they have not been buying Diesel and CPP. If a significant portion of the Diesel volume will not be able to find replacement markets, it may altogether stop, consequently tightening the global supply, pushing up prices globally.
Diesel is still an essential product for the industrial economy, so if Diesel prices will rise it will increase pressure on prices for many sectors in Europe. The situation seems to be in relatively good control, Europe has imported massive quantities of CPP over the last 6 months, where traders have so far increased volumes month over month. And storage tanks in Europe are fully stocked! Surprisingly not all tanks since we still show availability.
USG market softened due to weaker demand. Possibly short-lived as throughout May this year a total of 15 US refineries plan maintenance, ranging from 2 to 11 weeks, as a result supply of Diesel and Gasoline is expected to tighten.
There has been an increase in Naphtha exports to Brazil from Russia, in the Russian’s continued search for new off-takers.
We experienced an increase in storage requests for specialty chemicals, both in ARA, Mediterranean as well as US Gulf locations. Many requiring Stainless Steel tanks, low-flash properties, or heated. Unfortunately availability remains scarce.
With current gas prices in Europe, chemical production will stay low and imports high. For that reason, we don’t expect chemical tank capacity freeing up soon.
Since September 2022, the biodiesel & feedstock market has dropped and for that reason the demand for tanks slowed as well. We are still showing UCO, fatty acids & biodiesel options in different areas, but the appetite is low unless it has special features like rail connection which isn’t the case unfortunately. Germany’s plans to ban the use of biofuels from crop and feed is another uncertainty in this market and not helping to take a long-term storage position.
Ethanol storage in Rotterdam on the other hand is still in high demand. Partly since some existing options are operationally bad performers and since more parties like to have their own trading capacity in Rotterdam.
As already mentioned at the start of our report, one of the major terminals acquired a large competitor terminal in Rotterdam specialising in storage of edible oils, fats, and specialty chemicals increasing their market share in this segment. Due to this latest acquisition, the majority of Vegoil capacity is centralising to two main players. A good move for this party, and potentially providing opportunities for smaller players out of the main port able to act as alternative and being able to offer (smaller) space. Market is still relatively tight, but with capacity coming to the market in the coming months, this may change.
Terminal operators: Please send us your available tankage or future storage opportunities.
Cargo owners: Please send us your storage requests or if you have tanks you don’t use efficiently, we bring you a sublease party.
AS YOUR PREFERRED STORAGE BROKER WE MAKE THE BEST MATCH POSSIBLE.
We are at your service
Team Odin-RVB Tank Storage
|CAPACITY||UOM||PRODUCT GROUP||LOCATION||AVAILABLE FROM|
|Belgium / Netherlands|
|30.000||M3||Base Oil||NETHERLANDS||Q3 2023|
|14.000||M3||(Easy) Chems||NETHERLANDS||Q2 2023|
|10.580||M3||(Easy) Chems||BELGIUM||Q3 2023|
|North – Europe|
|39.636||M3||ANIMAL FAT||WEST COAST UK||Now|
|162.477||M3||Base Oil||WEST COAST UK||Now|
|47.870||M3||Bitumen||WEST COAST UK||Now|
|1.500||M3||Chems||EAST COAST UK||Now|
|168.467||M3||Chems||WEST COAST UK||Now|
|486.000||M3||Crude||WEST COAST UK||Now|
|8.500||M3||Distillates||EAST COAST UK||Now|
|151.786||M3||Distillates||WEST COAST UK||Now|
|74.582||M3||Distillates||WEST COAST UK||Q2 2023|
|47.870||M3||Fuel Oil||WEST COAST UK||Now|
|1.600||M3||GAS||EAST COAST UK||Now|
|60.786||M3||Lights||WEST COAST UK||Now|
|74.582||M3||Lights||WEST COAST UK||Q2 2023|
|10.000||M3||Various||EAST COAST UK||Now|
|37.860||M3||Various||WEST COAST UK||Now|
|61.136||M3||Vegoil||WEST COAST UK||Now|
|5.000||M3||Vegoil||EAST COAST UK||Q1 2024|
|South – Europe / Med. / Black Sea|
|50.000||M3||Distillates||WEST COAST AFRICA||Now|
|1.260||M3||(Easy) Chems||SOUTH AFRICA||Now|
|10.000||M3||(Easy) Chems||SAUDI ARABIA||Now|
|25.000||M3||Chems||ARABIAN GULF||Q2 2023|
|22.500||M3||Base Oil||ARABIAN GULF||Now|
|10.000||M3||Base Oil||SAUDI ARABIA||Now|
|18.000||M3||Fuel Oil||ARABIAN GULF||Now|
|10.250||M3||Base Oil||FAR EAST||Now|
|21.600||M3||Base Oil||SOUTH EAST ASIA||Now|
|800||MT||Biodiesel||SOUTH EAST ASIA||Now|
|52.000||M3||Chems||SOUTH EAST ASIA||Now|
|400.000||M3||CPP||SOUTH EAST ASIA||Now|
|170.000||M3||DPP||SOUTH EAST ASIA||Now|
|25.000||M3||Fuel Oil||SOUTH EAST ASIA||Now|
|2.500||M3||Vegoil||SOUTH EAST ASIA||Now|
|50.000||M3||Distillates||SOUTH EAST ASIA||Q2 2023|
|North – America|
Will keep you posted.
Antares Servicios Maritimos S.A.
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