28OCT2019 - NEWS - Make Sabah a ship bunkering hub first

If Sabah aspires to be a “Shipping Hub for the Far East”, at least one key port in Sabah is expected to be ready and be available as a bunkering hub to supply ships with low sulphur bunker fuel by 2020.

Sabah, which is producing offshore gas that can be converted into commercial liquefied natural gas (LNG), considered a clean fuel for ships without any sulphur residues or air pollution discharge, has an advantage if Petronas is helpful. LNG is emerging as a strong contender to the traditional bunker fuel.

The International Maritime Organisation (IMO) will cap global sulphur content in marine fuels at 0.5 per cent from Jan 1, 2020, down from the current 3.5 per cent. This applies outside the designated emission control areas where the limit is already 0.1 per cent.

Sabah should be ready for this IMO’s global sulphur limit rule for marine fuels and have sufficient low sulphur fuel oil (LSFO) to meet upcoming demand by ships.