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Kim In-chan, Head of S-Oil's Refined Oil Overseas Sales Division (center), and company employees pose for a photo to commemorate the start of bio-marine fuel supply. / Courtesy of S-Oil

S-Oil is set to target the low-carbon marine fuel market as it begins supplying bio-marine fuel (B30 VLSFO). The strategy aims to expand its eco-friendly fuel portfolio in response to tighter environmental regulations from the International Maritime Organization (IMO) and the European Union (EU), leveraging a supply network established around Ulsan to bolster competitiveness.

On July 22, S-Oil announced that it has initiated the supply of bio-marine fuel (B30 VLSFO) to address the international shipping industry's decarbonization trend.

Bio-marine fuel is a marine fuel produced by blending 30 percent sustainable biofuel with existing Very Low Sulfur Fuel Oil (VLSFO). Highly regarded as a low-carbon fuel solution to meet IMO and EU environmental regulations, it can be utilized without requiring separate vessel modifications.

S-Oil established an operating system covering the entire process—from raw material procurement to blending, storage, and supply—within the Ulsan area. The company explained that linking the VLSFO produced at its Onsan plant with local biofuel production facilities and storage infrastructure in Ulsan enhanced logistical efficiency and built a stable supply chain.

In particular, the Port of Ulsan is recognized as a key hub with high demand for bio-marine fuel, particularly driven by car carriers. S-Oil plans to supply products swiftly and reliably to major clients based on its existing bunkering business competitiveness and Ulsan-area supply infrastructure.

"In the bio-marine fuel market, securing stable raw material supplies and maintaining an efficient supply system are critical competitive factors alongside product quality," an S-Oil official said. "We will continue to supply competitive low-carbon fuels based on our existing bunkering competitiveness and Onsan supply infrastructure."

                                                                                                           Lee Seo-yeon