ENGINE: East of Suez Bunker Fuel Availability Outlook

Singapore and Malaysia

Despite average demand, prompt VLSFO availability remains tight in Singapore. Several suppliers are now suggesting lead times of 6-12 days, slightly down from last week’s 7-13 days.

HSFO supply has tightened in the port. Most suppliers recommend lead times of up to 16 days, but some can accommodate stems within eight days in the port. These lead times are longer than the week prior, when traders recommended lead times of 8-11 days. LSMGO is more readily available, with lead times of 2-9 days.

Residual fuel oil stocks in Singapore averaged 5% lower in April than in March, data from Enterprise Singapore shows.

In Malaysia’s Port Klang, VLSFO and LSMGO grades remain readily available, with some suppliers offering prompt deliveries for smaller parcel sizes. HSFO remains tight in the port due to limited supply.

China, East Asia, and Oceania

All grades remain tight for prompt supply in Zhoushan, with suppliers recommending lead times of 5-7 days, unchanged from last week. Suppliers in Zhoushan are struggling with limited barge availability, a source says. Barge schedules are mostly tight for the remaining days of this month, another source says.

Northern China’s Dalian port has ample VLSFO and LSMGO available. Both grades are also promptly available in Qingdao and Tianjin, while HSFO supply remains tight in both ports. In Shanghai, VLSFO and LSMGO availability have improved, while HSFO remains tight. In Fuzhou and Yangpu, VLSFO and LSMGO are easily available. In Guangzhou, prompt availability for low-sulphur fuel grades remains limited. VLSFO availability has tightened in Xiamen, while LSMGO supply remains normal.

VLSFO and LSMGO are readily available in the Taiwanese ports of Hualien, Kaohsiung, Taichung and Keelung, with recommended lead times of 2-3 days, virtually unchanged from last week.

In Hong Kong, all bunker fuel grades are available, with lead times of seven days generally recommended by suppliers there.

In South Korean ports, lead times for all grades have ranged between 3-9 days.

There are weather warnings for strong wind and high waves, which could impact bunkering in southern South Korean ports such as Busan, Ulsan and Onsan until Sunday. Western South Korean ports, including Daesan and Taean, might also face bunkering disruptions this week due to high waves and strong wind gusts.

In Western Australia, both Kwinana and Fremantle ports can readily offer VLSFO and LSMGO, with recommended lead times of 7-8 days. In New South Wales, LSMGO is readily available in Sydney, while HSFO availability is subject to inquiry. In Victoria, VLSFO and LSMGO are easily available in Melbourne, while ample VLSFO supply is available in Geelong. Prompt HSFO supply can be tight in both ports.

In Queensland, both Brisbane and Gladstone ports have sufficient VLSFO and LSMGO stocks, with suggested lead times of 7-8 days. HSFO availability remains limited in Brisbane.
In the ports of Tauranga and Auckland in New Zealand, LSMGO availability is good, and VLSFO supply is also ample in Auckland. Tauranga may face possible disruptions due to the bad weather forecast on 10 May.

South Asia

VLSFO and LSMGO availability has been tight in several Indian ports, including Mumbai, Kandla, Tuticorin, Chennai, Cochin, Visakhapatnam and Haldia, as most suppliers are facing supply shortages, a source says. In Paradip, located on the eastern coast of India, one supplier has nearly run out of both grades.

Middle East

Bunker demand for all grades remains low in the UAE port of Fujairah. However, prompt availability remains tight for all grades, with suppliers projecting lead times of 7-10 days.

In the UAE port of Khor Fakkan, most suppliers are recommending similar lead times of 7-10 days.

At Saudi Arabia’s Jeddah port, VLSFO and LSMGO supply has been sufficient. Meanwhile, in Djibouti, certain suppliers are experiencing shortages of VLSFO, while LSMGO supply remains normal.
Source: ENGINE, By Aparupa Mazumder, https://engine.online/news