ENGINE: Americas Bunker Fuel Availability Outlook (21 March 2024)

The following article regarding bunker fuel availability in the Americas region has been provided by online marine fuel procurement platform ENGINE for post on Singapore bunkering publication Manifold Times:

• Strong demand in Houston
• Demand picks up in Balboa
• Bad weather hinders Zona Comun bunkering

North America

Houston has experienced a significant surge in bunker fuel demand this week, leading to tight availability across all fuel grades for prompt supply. Most suppliers are fully booked until the first week of April, with only one supplier able to offer VLSFO stems in smaller quantities with an eight-day lead time.

An increased shipping traffic or more vessels calling at the port could be the reason behind the spike in bunker fuel demand, a source says.

Demand has been good in Port Bolivar, where prompt HSFO, VLSFO, and LSMGO supply is tight. The earliest delivery date for VLSFO and LSMGO with one supplier is 31 March.

Prompt VLSFO availability in Port Arthur is slightly better, the fuel grade can be secured with a lead time of 4-5 days.

A high risk of fog and reduced visibility is forecast around Corpus Christi and Freeport on Thursday, which could delay vessel traffic in the ports and potentially through the Houston Ship Channel, Norton Lilly says.

Bunkering was proceeding normally in the Galveston Offshore Lightering Area (GOLA) on Thursday, after being suspended during the earlier part of this week. However, bunkering is expected to be suspended again on Friday due to a forecast of strong wind gusts of up to 37 knots.

Due to the intermittent weather disruptions, demand has been weak in GOLA. Deliveries are mostly subject to weather conditions and the availability of anchorage space, a source says.

At the New Orleans Outer Anchorage (NOLA), VLSFO and LSMGO can be secured for prompt dates.

Securing prompt stems in the West Coast ports of Long Beach and Los Angeles remains difficult, as demand has been strong in both ports. Most suppliers require more than seven days of lead time for VLSFO and LSMGO supply in both ports.

Demand has been slow in Seattle, further up the North American west coast, and prompt supply is easily available there, a source says.

In the East Coast port of New York, all grades are available for prompt delivery dates.

Caribbean and Latin America

Over the past week, bunker fuel demand across all grades has improved at Panama’s ports, particularly in Balboa. This uptick can be attributed to the recent easing of transit restrictions by the canal authority, which has led to more vessels passing the canal.

VLSFO and LSMGO availability has remained good in Balboa, with most suppliers offering stems within 3-4 days. HSFO can also be secured with a lead time of approximately seven days.

Bunker deliveries are expected to be suspended in the Bahamas’ Freeport on Thursday because of very strong wind gusts of 54 knots. Bad weather is forecast to persist until Monday, which could keep bunkering suspended.

Bunker operations have been suspended in Argentina’s Zona Comun anchorage since Wednesday due to strong wind gusts. Rough weather conditions are forecast on Friday as well, which could keep bunkering suspended there.

Availability of both VLSFO and LSMGO has been extremely tight in Zona Comun, and most suppliers are not able to offer any stems until April.

“After a very lean 2023, due to the drought which halved exports, we are now back to normal,” Antares Ship Agents says.

By Debarati Bhattacharjee

Photo credit and source: ENGINE
Published: 22 March 2024