Oil Economy Focus Rapid Review
The International Maritime Organization’s regulations that prohibit ships from using dirty fuel from the 1st January are set to bolster diesel demand, while cutting fuel oil use. Goldman Sachs described the transition as one of the largest one-time reductions in sulfur specification in the history of energy. Even though shippers will still be able to use dirty fuel if they add special pollution kits many of them are adopting a wait-and-see attitude to installing the necessary equipment. “Diesel will be a beneficiary of the transition,” added Goldman, “The impact of IMO 2020 to the spot refining margins we believe will start from the fourth quarter of this year.”
LINK TO THE SOURCE ARTICLE: The International Maritime Organization cleans up the sea air
