INTERVIEW: Sing eyes new acquisitions after buying Greek brokerage

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  • New acquisitions “a key element” of the expansion strategy
  • Next market expansion targets are Europe and China
  • Study of ammonia, hydrogen and carbon capture for maritime transport

Marine Fuels Company Sing the fuels — now a hybrid company with both trading and brokerage elements following its acquisition of Prime Bunkerplus Services Tuesday – sees new acquisitions as a key part of its growth strategy as it seeks to win new customers in Europe and China.

The company announced the acquisition of Athens-based on Prime’s Tuesday, saying the company will now operate under the name Sing Fuels Pte Ltd (Hellas) with the founder Irene Notias continue operation. The company is a “longtime associate” of Sing Fuels, Vikash DhanukaCEO of the Singapore-based company, said in an interview with Ship and hold.

“Prime’s local expertise and connections will allow Sing Fuels to grow in depth and expand the company’s reach to create stronger bonds and relationships in local markets,” said Dhanuka.

“The partnership will also allow us to consolidate our activities in different markets, while diversifying the potential risks to which the company could be exposed.”

Consolidation continues

Bunker industry watchers have long predicted a wave of consolidation in the industry following the IMO 2020 transition and extreme price volatility due to the COVID-19 pandemic and the ongoing crisis in Russia, and this latest acquisition seems to be part of this trend. Sing Fuels is planning other similar moves, Dhanuka said.

“Acquisitions will be a key part of our strategy to develop and expand business globally,” he said.

“We are actively working on further partnerships with other independent brokers and traders who have strong local knowledge and relationships, and who share our vision and philosophy, in the short term to accelerate our growth as we seek to develop a global alliance. .”

The company’s entry into the Greek marks the sixth geographical location of Sing Fuels, after Singapore, South Africathe United Arab Emiratesthe UK and the WE.

“We hope to use this partnership in Greece as a springboard to expand into neighboring and overseas markets,” Dhanuka said.

“We are continually exploring opportunities to expand into other markets.

“Growth in Europe is currently a priority area for us, China is another country we are actively exploring as it is the second largest market for the industry.

“We are also actively trading alternative fuels as part of our business diversification plans.”

Hybrid model

The addition of Prime’s marks Sing Fuels’ first foray into marine fuel brokerage rather than trading. This shift from a pure trader to a hybrid business model follows a recent trend of some of the world’s largest bunkering companies in recent years, including Ocean Connect KPIs and Dan Bunkeringand removes another name from the narrowed list of pure brokerages.

Sing Fuels particularly liked Prime as an acquisition target because of its close business relationships as a broker, Dhanuka said.

“Traditionally, in the past, we grew by opening offices in new markets and countries and hiring individual traders,” he said.

“The research and insights we’ve gathered during the pandemic have taught us that to grow in depth, expanding our reach to build stronger connections and relationships in local markets will be key, like what we’ve done with our partnership with Prime’s.

“In line with our global expansion ambitions, the company will leverage Prime’s experience and strong local relationships to grow its business.”

Decarbonization plans

One of the biggest challenges facing Sing Fuels today will be how to meet the changing demand requirements for marine fuels as the shipping industry seeks to eliminate its net carbon emissions.

The company is focused on both improving its own environmental credentials and exploring future fuels and technologies, Dhanuka said.

“Sing Fuels incorporates practical sustainability measures into key operational areas of our business,” he said.

“Our development and product offering is driven by demand from our customers and our commitment to helping them achieve their sustainability goals.

“We are also developing a carbon offsetting platform for our customers to offset voluntary carbon emissions as well as offsetting to regulatory markets.

“In line with the decarbonization ambitions of the International Maritime Organization, we are actively exploring alternative platforms to champion investments in liquid ammonia, green hydrogen, low carbon ships and carbon capture technologies.

“We are also focusing on the development of microgrids with vanadium batteries, through a joint venture with VFlowTEch, with the aim of providing green energy solutions to the shipping industry and port infrastructure.”

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