C1 Energy (Guangzhou) -- Feb 8, 2010----Japan's Mitsui & Co Ltd has officially debuted bunkering and bunker wholesale business in China since December of 2009, a source familiar with the issue said.
The Japanese trading house supplies 380CST bunker-spec fuel oil to China, with monthly wholesale volume at around 30,000mt. The resource, sourced from Japan, South Korea and Singapore, is mainly supplied to bonded bunker players in East and North China, including Sinopec and China's largest bunker supplier Chimbusco, according to the source.
Meanwhile, Mitsui & Co, by virtue of its good relationship with international carriers, is serving as a bonded bunker purchasing agent for these carriers. Its current focus is also North and East China markets.
Mitsui & Co plans to further expand its bunker business in China this year and try to scale up the business to South China, a source with the company denoted. Its scheme comes on anticipations of growing bunker demand and shrinking consumption of traditional Iranian 280CST straight-run fuel oil in China, added the company source.
To facilitate its bunker business, Mitsui & Co has extended early 2010 its lease contract for 40,000 cubic meters of oil storage in Pyeongtaek of South Korea's West Coast, the company source revealed.
