Aug 20, 2009 (LBO) – The Sri Lanka unit of Indian Oil Corporation has about a third of the bunkering market barely 10 months after starting ship fuel sales at Colombo port, a top official said. “We started last November and we have about 35 percent market shares,” Lanka IOC managing director Suresh Kumar said.
“Bunkering is very competitive.”
Sri Lanka’s bunker prices came closer to Singapore after a court order re-vested in Sri Lanka Ports Authority a tank farm originally given to then market leader Lanka Marine Services, a unit of Sri Lanka’s listed John Keells group.
The tank farm can now be used by any licensed bunker firm in Colombo. The market is now almost evenly divided between Lanka Marine Services, Lanka IOC and Lanka Maritime Services, a unit of Sri Lanka Shipping.
Colombo’s bunker market is estimated at around 30,000 metric tonnes a month now.
Lanka Maritime Services said last month that it had acquired an 8,800 dead weight tonne tanker to bring down bunker fuel for its fleet of supply barges and sidestep docking delays at Colombo port’s only bunker terminal.
Industry analysts say the bulk of the Colombo market is made up of feeder vessels that ferry