Singapore Says Tainted Fuel First Loaded in United Arab Emirates

(Bloomberg) -- The tainted fuel detected in Singapore that had been sold to several ships this year was first loaded onto a tanker in the United Arab Emirates, Singapore's authorities said Thursday.

The Maritime and Port Authority of Singapore said it identified the source of the contamination after conducting an investigation into the fuel purchased by Glencore and subsequently PetroChina Co.

Glencore Singapore Pte purchased the tainted fuel in January and February through Straits Pinnacle Pte, which had contracted its supply from Unicious Energy Pte, MPA said. Straits Pinnacle and Unicious are registered in Singapore, it said.
The tainted fuel was loaded onto a tanker at the port of Khor Fakkan in the UAE and shipped to storage facilities in Tanjong Pelepas, Malaysia, for further blending, MPA said. It was subsequently delivered to storage facilities in Singapore.
Glencore and PetroChina had both tested the fuel, but didn't detect the contamination promptly as current standards don't require testing for chlorinated organic compounds, or COC, the authority said.

Authorities previously said that Glencore and PetroChina supplied the affected fuel to about 200 ships in the Port of Singapore. Of these, about 80 ships had reported various issues with their fuel pumps and engines.

Singapore is the largest marine fuel supplier in the world and sits at the crossroads of a centuries-old trade route that links Asia to Europe, the Middle East and the U.S. Gulf Coast. Bloomberg reported last month that a growing number of ships that received contaminated marine fuel at the major hub of Singapore had suffered power blackouts, citing fuel testing firm Veritas Petroleum Services.

Ships losing power at sea can be extremely dangerous, increasing the risk of collision or running aground. In 2018, numerous vessels suffered serious technical problems and mechanical damages after receiving contaminated fuel initially supplied in Houston.