Gyrating Bunker Prices

Bunker prices are an important part of overall costs for operating a tanker. A Vlcc consuming 90 tons per day and sailing for, say, 320 days per year will consume 28,800 tons of bunkers. At $175 per ton, the average price of bunkers for 2004 in leading bunkering ports, the annual bunker cost is $5 million per year or $14,400 per day for a 350 day operating year including days in port. Thus bunker costs are about double other operating costs (manning, insurance, maintenance, supplies). For tankers in the spot market, the price of bunkers is critical in determining profitability. Download here