What is Diesel?
Diesel fuel is a mixture of hydrocarbons obtained by distillation of crude oil. It is a combustible liquid used as fuel for diesel engines, ordinarily obtained from fractions of crude oil that are less volatile than the fractions used in gasoline. Diesel is an energy-dense secondary fuel used to power many heat engines, including cars, trucks, and diesel generators.
Types of Diesel Fuel
- Automotive Gas Oil (AGO): Automotive Gas oil, is used to power internal combustion diesel engines efficiently, It can be used in two main types of vehicle: Heavy-duty vehicles, such as trucks and buses. Light-duty vehicles, such as vans and passenger cars.
- D2 Diesel: D2 is also known as Gas oil. It is the second distillate from the crude oil and can be used without reformers and additives.
- D6 Diesel: D6 is a type of residual fuel of high-viscosity, mainly used in power plants, generators and larger ships. The fuel is required to be preheated before it can be used. It is not possible to use it in smaller engines or vessels/vehicles where it is not possible to pre-heat it.
DIESEL TRADE PROCESS
- CIF: The seller handles everything from loading the vessel, paying for insurance and shipping the product to the country the buyer wants it delivered.
- FOB: The seller is responsible for handling the transportation of the goods to the port of shipment and loading cost. Once the goods are loaded on the ship, all liabilities transfer to the buyer.
- Tanker Take Over (TTO): The buyer takes over the hiring of a loaded tanker along with the product it contains.
- Tanker To Tanker (TTT): The buyer hires his vessel and uses the same to purchase products from the seller.