VLSFO vs LSMGO: the difference, where each is burned, and what it costs
Both are "low sulphur" fuels, but they sit on opposite sides of a regulatory line: VLSFO satisfies the global 0.50% sulphur cap, LSMGO the 0.10% limit that applies inside Emission Control Areas and many EU berths.
What each fuel is
VLSFO (Very Low Sulphur Fuel Oil) is a residual-based blend at max 0.50% m/m sulphur — the workhorse since the 2020 global cap. LSMGO (Low Sulphur Marine Gas Oil) is a distillate at max 0.10% m/m — cleaner, lighter, and it needs no heating.
A typical deep-sea voyage burns VLSFO in the main engine at sea and LSMGO inside ECAs, in many ports, and often in auxiliaries and boilers where required.
Where the 0.10% limit applies
Emission Control Areas — Baltic, North Sea, North America, US Caribbean, and from 1 May 2025 the entire Mediterranean — require max 0.10% sulphur fuel. EU rules additionally require 0.10% at berth in EU ports for stays over two hours.
The changeover from VLSFO to LSMGO is done before entering the zone, with times and ROBs logged — those records are what PSC asks for.
Price and CO₂
LSMGO trades at a premium to VLSFO — the spread moves with distillate markets, commonly in the tens of dollars per tonne and at times well above $100/MT. That spread is why the Mediterranean ECA materially changes voyage economics on Med routes.
For emissions reporting the IMO factors differ slightly: VLSFO 3.114 t CO₂ per tonne, LSMGO 3.206 t CO₂ per tonne. LSMGO has a higher energy content per tonne, which partly offsets its higher factor in intensity metrics.
The data behind these rules, handled for you.
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Frequently asked questions
Is VLSFO allowed inside an ECA?
Only if it happens to be at or under 0.10% sulphur, which standard VLSFO is not. In practice ships switch to LSMGO or a 0.10% ULSFO grade before the ECA boundary.
Which one is better for CII?
Neither is a lever by itself: LSMGO carries a slightly higher CO₂ factor per tonne but a higher energy content. CII outcomes are driven far more by speed, distance and utilisation than by the VLSFO/LSMGO split.
What is ULSFO?
Ultra Low Sulphur Fuel Oil, max 0.10% — a residual-type ECA fuel positioned between LSMGO and VLSFO. Some operators use it inside ECAs to avoid a full switch to distillate.