"We are seeing a lot more LSFO demand these days but some ships will continue to take HSFO," a bunker trader said.

"We have suspended our VLSFO output temporarily now due to negative margins," a source with a Sinopec refinery said.

This has also translated to a weakening gasoil swaps market structure, and the December/January spread was assessed at plus 9 cents/b Tuesday.

"Major suppliers in Japan have long positions for HSFO, as almost all inquiries have shifted to [very low sulfur fuel oil] now," a Japan-based trader said.

"If VLSFO premiums [over HSFO] increase by another $100/mt, we can see another 300,000-400,000 b/d of VLSO," she estimated.

Methanol barge prices at Rotterdam have been $228/mt lower than 0.5% sulfur marine fuel barges over the past month.

"Arab Extra Light suits our units ... Arab Heavy is similar to [Iraq's] Basrah Light," a source said.

Saudi Aramco on Monday hiked official selling price differentials for a majority of its crude grades globally.

"I think we will run into challenges in terms of getting compatible fuels that we really want to burn," Mackay said.

"We are expecting a 30-40% price increase which automatically leads to a liquidity need of $2-4 billion going forward," Molfetas said.

Sources close to the matter said Bapco's higher premium levels reflected the greater variety of loading options.

"We are seeing a growing demand for Murban crude from customers wishing to decrease their intake of high-sulfur crudes," Ueda said.

"The company is now taking appropriate steps to fulfill all the resumption conditions/guidance," Brightoil said.

Allman has spent the last 4 years in a global role with SGS.

The proposed investment is to set up a petroleum refinery with a 420,000 barrels/day capacity at Hambantota, BOI said.

SIP also recommended for ships using 0.5% sulfur compliant bunker fuels.

Dalian FTZ's two models include ex-storage by cargo and distribute by small partials as well as optimizing two types of warehouse.

The guide aims to provide an understanding of stability and compatibility of marine fuel oils, IBIA said.

"Less sulfur means more bugs," Taylor said.

Russia's plan to delay the introduction of a low sulfur cap on marine fuel used by its river fleet is not expected to impact the country's fuel oil market.