Bunker Watch August 2026: Ship Fuel Prices Stay High as Brent Tops $90 and MGO Breaks $1,400 in Fujairah
Marine bunker prices remain elevated entering August 18, with the latest daily index showing VLSFO at $831/mt in Singapore, $660 in Rotterdam, $816 in Fujairah and $695 in Houston, while low-sulfur marine gasoil is trading much higher at $1,240, $1,271, $1,404 and $1,268 per tonne, respectively. HSFO remains cheaper at $647/mt in Singapore, $548 in Rotterdam, $623 in Fujairah and $487 in Houston, reopening a meaningful cost advantage for scrubber-equipped ships. The alternative-fuel market is also expensive: LNG bunker assessments on August 17 reached $1,340/mt in Singapore and $1,209/mt in Rotterdam, while Singapore B24 biofuel was indicated at $979/mt. Conventional grey methanol remains much cheaper on a physical-tonne basis, but its lower energy density changes the comparison substantially. The broader energy market is still being driven by restricted Gulf supply, strained refining capacity and depleted inventories, with Brent closing August 17 around $91 per barrel.
Operator Impact Snapshot
Oil-based marine fuels remain expensive across the major bunker hubs, middle distillates are carrying an especially large premium, and alternative fuels are showing very different price behavior depending on region and energy density.
Singapore remains substantially above Rotterdam, reflecting the continuing regional imbalance in bunker supply and pricing.
Tight distillate markets and refinery constraints are keeping gasoil prices exceptionally elevated.
A wider spread increases the fuel-cost advantage available to ships able to continue burning HSFO.
LNG has stabilized in Singapore, while Rotterdam has moved sharply higher as European gas-market pressure returns.
The current base-case forecast points lower, but it relies heavily on improving Gulf oil flows and rebuilding inventories.
Major Bunker Fuels and Near-Term Cost Direction
Conventional grades use August 18 indications. Alternative-fuel benchmarks use the latest published assessment available for each market and include energy-equivalent figures where physical-tonne comparisons would otherwise be misleading.
| Marine Fuel | Singapore | Rotterdam | Fujairah | Houston | Hong Kong | Price Basis | Current Market Signal | Near-Term Outlook |
|---|---|---|---|---|---|---|---|---|
| VLSFO 0.50% | $831 | $660 | $816 | $695 | $822 | $/mt delivered indication, August 18. |
ELEVATED Still heavily influenced by crude, Gulf supply disruption and regional availability. |
LOWER BASE CASE Global Q4 model is $690/mt if Hormuz flows improve and inventories begin rebuilding. |
| LSMGO / MGO | $1,240 | $1,271 | $1,404 | $1,268 | $1,196 | $/mt delivered indication, August 18. |
VERY HIGH Distillate supply is tighter than the broader crude market, with strong refinery cracks. |
STICKIER MGO can remain expensive even if crude eases because middle-distillate inventories and exports remain constrained. |
| HSFO 3.50% | $647 | $548 | $623 | $487 | $652 | $/mt delivered indication, August 18. |
FIRM Still elevated, but the discount to VLSFO has widened enough to strengthen scrubber economics. |
EASING BASE CASE Global Q4 model is approximately $553/mt. |
| B24 Biofuel | $979 Aug. 17 | — | — | — | — | Singapore B24 VLSFO blend. Approximately 24% bio-component. |
PREMIUM Roughly $154/mt above Singapore VLSFO on the same August 17 pricing basis. |
COMPLIANCE DRIVEN Physical premium remains important, but ETS and FuelEU value can materially alter effective economics. |
| Marine LNG | $1,340 ~$1,079 IFO380e | $1,209 ~$973 IFO380e | — | — | — | Physical LNG $/mt, August 17. Energy-equivalent figures shown beneath. |
HIGH Rotterdam jumped $80/mt in one week while Singapore remained broadly stable. |
VOLATILE European storage, TTF, Asian LNG demand and Gulf export risk remain major drivers. |
| Grey Methanol | $472 $971 VLSFOe | $292 $600 VLSFOe | $282 $579 VLSFOe | $446 $918 VLSFOe | — | Latest weekly physical and VLSFO-energy-equivalent indications available August 10. |
MIXED Low physical-tonne prices can be misleading because methanol contains much less energy per tonne. |
GREEN PREMIUM Grey methanol is not a low-carbon substitute for sustainable methanol, which remains scarcer and more expensive. |
| Ammonia | — | — | — | — | — | No sufficiently mature routine delivered bunker spot market across these hubs for a single defensible daily price. |
EMERGING Pricing remains project, production pathway and contract dependent. |
LONGER TERM Infrastructure, green-ammonia production cost and dual-fuel fleet growth remain the key commercialization variables. |
Voyage Bunker Cost & Price Shock Analyzer
Apply current August 18 bunker indications to a voyage, compare major bunkering hubs, estimate EU ETS exposure and test the effect of another fuel-price shock or the current Q4 benchmark forecast.
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