Petrobras benefits from IMO 2020 with low sulphur fuel oil exports

In February this year, Petrobras set a new record for exporting fuel oils, reaching 238 thousand barrels exported per day and exceeding 1 million tons this month. The new worldwide specification for marine fuels (IMO 2020), which reduced the sulfur content limit in fuel oil from 3.5% to 0.5%, has created a unique opportunity for Petrobras, since both oil and fuel oil produced by the company are low in sulfur.

Oil exports remain at high levels, with volumes exported exceeding 690 thousand barrels per day in February.

World demand

Petrobras was able to capitalize and its biggest export opportunities have come during a challenging period for the global economy. The coronavirus outbreak (COVID-19), restricted demand in Asia, Brazil’s biggest market. As a result, new trade flows were tweaked, with an increase in the destination of petroleum and fuel oils to the Caribbean, the United States and Europe, among other markets.

The company also pointed out that it is not yet possible to safely estimate the full impact that Petrobras may suffer in relation to its operations and results, in view of the developments related to the outbreak of COVID-19 in the global economy.

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