ENGINE: East of Suez Bunker Fuel Availability Outlook
Singapore’s residual fuel oil inventories have grown to 22.34 million bbls on the week, amid a steady inflow of imports in the first two weeks of the year.
Fuel oil imports have hovered around 7 million bbls per week in January and averaged 40% higher than in December, according to the latest Enterprise Singapore data.
Despite a rise in the most recent week, exports into Singapore have dropped by 30% between November and December, resulting in an 87% jump in net imports and boosting stock levels.
At the same time, bunker fuel availability has gone back to normal in Zhoushan after weather-related suspensions last week. There is not too much backlog, a source said, adding that lead times for HSFO380 are up to four days, while VLSFO and LSMGO grades are available with one day of lead time from certain suppliers. One supplier is expected to receive new VLSFO cargo to replenish stocks by 27-28 January.
Lead times in Fujairah are steady on the week, with HSFO requiring 10 days ahead now, while VLSFO and LSMGO are more readily available at eight days out. Limited fuel oil cargo fuel oil flows into Fujairah have capped availability in the bunker market, sources say.
Fujairah’s heavy distillate and fuel oil inventories fell by 9% to a three-week low of 9.18 million bbls last week, according to Fujairah Oil Industry Zone and S&P Global Platts data.
Source: ENGINE (https://engine.online/)