IMO 2020 threatens Panama's MGO advantage

摘要

Panama has enjoyed a price advantage for marine gasoil(MGO)but,when the IMO's 0.5%-sulfur cap takes effect in Jan.2020,increased demand for middle distillates produced in the US is expected to be seen in a number of Latin American countries as well as NWE and Singapore.This squeeze on US supplies may impact the price Panama is able to charge for the MGO it sells.Argus assessments indicate the country's prices for MGO have been the lowest in Latin America this year and last year.During the first few months of 2019,MGO in Panama was selling at approximately $40/mt less than MGO in Cartagena(Colombia),the second-cheapest option.