MPA Suspends Glencore’s Licence

Following an inquiry into fuel contamination occurrences at the global hub earlier this year, the Maritime and Port Authority of Singapore (MPA) has decided to suspend Glencore's bunker permit for two months beginning on August 18.

The MPA's early investigations, which were previously disclosed, revealed that Glencore Singapore supplied ships at the port with high-sulfur fuel oil that was contaminated with chlorinated hydrocarbons, and that this fuel was afterwards sold to Petrochina.

The concerned HSFO fuel, which included significant concentrations of COC, was found to have originated from fuel put on a tanker at the port of Khor Fakkan, United Arab Emirates, according to the port authority's statement in May.

According to the MPA, between March 21 and 23, 2022, the fuel oil testing facility Glencore hired provided data indicating that samples taken from the fuel oil parcels Glencore bought contained COC quantities that ranged from around 2,000 ppm to 15,000 ppm. The port administration highlighted that, especially at such high quantities, COCs are not often seen in bunker fuel. According to the MPA's investigation, Glencore continued to provide bunkers in the Port of Singapore from late March to early April of 2022 with fuel that was highly polluted with COC.

The MPA has requested Glencore to enhance its internal processes "to ensure that timely action is taken in the future when it becomes aware of, or reasonably suspects, any anomaly in fuel quality" in addition to suspending its Bunkering Licence for two months. 

According to MPA’s investigation, PetroChina swiftly ceased delivering the contaminated fuel in March 2022 after learning from its own test findings that the fuel it supplied was tainted with COC. As a result, MPA has decided against taking any action against PetroChina.