Report Summary 1. Report Industry Investment Rating - No specific industry investment rating is provided in the report. 2. Core Viewpoints - The overall oil price is oscillating, with geopolitical risks providing support. The fundamentals of high - sulfur fuel oil are slightly boosted, but the high - low sulfur price spread remains high and is expected to take time to narrow. FU2601 is expected to run strongly in the range of 2540 - 2590, and LU2601 in the range of 3220 - 3280 [3]. 3. Summary by Directory 3.1 Daily Tips - **Fundamentals**: High - sulfur fuel oil is supported by strong downstream marine fuel demand, with stable buying interest this week. Some low - sulfur fuel oil is sent to China, and refineries are buying high - sulfur fuel oil as raw materials. The spot spread of Singapore's 0.5% sulfur marine fuel has turned positive for the first time in six weeks [3]. - **Basis**: Singapore high - sulfur fuel oil is at 347.77 dollars/ton with a basis of 0 dollars/ton, and low - sulfur fuel oil is at 448.05 dollars/ton with a basis of 24 dollars/ton, indicating a flat cash - futures relationship [3]. - **Inventory**: Singapore's fuel oil inventory in the week of November 12 was 2087.9 million barrels, a decrease of 19 million barrels [3]. - **Market**: Prices are below the 20 - day line, and the 20 - day line is flat [3]. - **Main Positions**: High - sulfur main positions are short, with short positions increasing; low - sulfur main positions are short, changing from long to short [3]. 3.2 Long - Short Concerns - **Positive Factors**: Russian fuel oil export restrictions and the cancellation of US - Russia talks along with sanctions on Russian oil - related enterprises [4]. - **Negative Factors**: The optimism on the demand side remains to be verified, and the upstream crude oil is under pressure [4]. 3.3 Fundamental Data - The high - sulfur fuel oil market is supported by strong downstream demand, and some low - sulfur fuel oil is sent to China. Refineries are also purchasing high - sulfur fuel oil as raw materials. The spot spread of Singapore's 0.5% sulfur marine fuel has turned positive [3]. 3.4 Spread Data - No specific spread data analysis is provided other than the basis information mentioned above. 3.5 Inventory Data - Singapore's fuel oil inventory in the week of November 12 was 2087.9 million barrels, a decrease of 19 million barrels. Historical inventory data from September 3 to November 12 are also provided [3][8].

Core Viewpoint - Sinopec's Jingmen Petrochemical has successfully delivered its first batch of 4,400 tons of marine fuel oil through the Jingjing pipeline, marking a significant step in establishing a new supply channel for fuel oil and laying a solid foundation for the construction of a "green marine fuel corridor" in the Yangtze River Basin [1] Group 1: Market Context - The domestic shipping fuel oil market is facing increasingly fierce competition, prompting Jingmen Petrochemical to optimize its product structure and gradually reduce the production of low-value furnace fuel oil while focusing on expanding the high-value marine fuel oil market [1] - Hubei Petroleum urgently needs to expand its fuel oil supply channels to lower operational costs [1] Group 2: Strategic Collaboration - Since May, with the coordination of the Central China Sales Company, Jingmen Petrochemical and Hubei Petroleum have successfully established a fuel oil transportation channel through the Jingjing pipeline and initiated a strategic partnership with Yangtze Fuel Company to launch the "green marine fuel corridor" project [1] - The collaboration integrates the strengths of all parties involved: the Central China Sales Company coordinates overall operations, Jingmen Petrochemical ensures the supply of high-quality fuel oil, Hubei Petroleum provides pipeline facilities in the Jingzhou area, and Yangtze Fuel Company leverages its established sales network [1] Group 3: Operational Efficiency - The four companies have established an integrated operational mechanism covering pipeline transportation planning, vessel scheduling, oil quality testing, and environmental monitoring, achieving seamless connectivity in the entire process of marine fuel oil pipeline transportation and enhancing resource allocation efficiency [1]

Group 1 - The company, Bohui Co., Ltd. (300839), primarily produces white oil, lubricating oil base oil, furnace fuel oil, and marine fuel oil [1]

Company Overview - Ningbo Bohui Chemical Technology Co., Ltd. is planning to issue A-shares to specific investors, aiming to raise a total of no more than RMB 416.8268 million, which will be used to supplement working capital and repay bank loans [2][5] - The company has a registered capital of RMB 245,481,453 and was established on October 12, 2005, with its shares listed on the Shenzhen Stock Exchange since June 30, 2020 [9][10] - The company focuses on the research, production, and sales of specialty oil products, particularly in the fuel oil deep processing sector [16][23] Shareholding Structure - As of April 30, 2025, the major shareholder is Wuxi Huishan Yuanxinxiwang Industrial Upgrade M&A Investment Partnership, holding 65.08% of the shares [9][10] - The controlling shareholder, Wenquai Group, holds 39.19% of the shares, with the actual controllers being Jin Bihua and Xia Yaping [10][11] Industry Characteristics - The company operates within the refined petroleum products manufacturing industry, which is characterized by government macro-control and self-regulation [11][12] - The industry is subject to various regulations and policies, including environmental protection and safety standards, which are enforced by multiple government agencies [12][13] Market Trends - The fuel oil deep processing industry is experiencing a shift towards high-end products, driven by increasing demand for specialty chemicals and materials [15][16] - The white oil market in China is growing, with production increasing from 1.082 million tons in 2016 to 1.9 million tons in 2023, reflecting a compound annual growth rate of 8.38% [19][20] - The lubricating oil base oil market is also expanding, with a projected increase in demand for both conventional and unconventional base oils [22] Competitive Landscape - The fuel oil deep processing industry has relatively few competitors due to high entry barriers related to technology and environmental standards [23][24] - Major competitors include Hengli Petrochemical and China National Petroleum Corporation, which have significant refining capacities and product offerings [24][25] Competitive Advantages - The company emphasizes specialization in the chemical sector, focusing on the development and production of specialty oil products, which enhances its competitive edge [16][23] - The integration of upstream and downstream operations is a key strategy for the company, aimed at improving supply chain resilience and competitiveness [16][23]

Core Viewpoint - The container shipping industry is under pressure to transition to a green economy and sustainable development due to climate change, as it is responsible for a significant portion of global greenhouse gas emissions [1][5]. Group 1: Emission Statistics and Predictions - The shipping industry accounts for 3% of global CO2 emissions, with predictions indicating that emissions could increase by 50% to 250% by 2050 if no effective measures are taken [1]. - The International Maritime Organization (IMO) has set ambitious targets for reducing greenhouse gas emissions, aiming for a 20-30% reduction by 2030, 70-80% by 2040, and net-zero emissions by around 2050 [2]. Group 2: Regulatory Framework and Initiatives - The IMO's "Net-Zero Framework" was adopted in 2025, requiring a continuous reduction in greenhouse gas intensity of marine fuels starting in 2028, with a global carbon pricing mechanism to incentivize emission reductions [2][3]. - The IMO's reduction agreements provide clear technical development directions for shipping companies, encouraging the adoption of alternative fuels such as methanol, LNG, and hydrogen [3]. Group 3: Industry Challenges and Opportunities - The container shipping market faces challenges such as limited supply and high costs of green fuels, which may hinder widespread adoption despite some economic support from the IMO [4]. - The transition to green fuels and technologies is accelerating industry consolidation, with larger companies better positioned to invest in new technologies, while smaller firms may struggle to survive [3][4]. Group 4: Future Outlook - Despite challenges like demand fluctuations and regulatory complexities, the container shipping market is expected to evolve towards a greener, smarter, and more efficient model, supported by ongoing policy enhancements and technological innovations [5].