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:
14 September 2023
- Slow demand in several Americas ports
- Supply very tight in Zona Comun
- Demand picks up in GOLA
North America
Availability of VLSFO and LSMGO grades in Houston has been good so far this week. Several suppliers are able to deliver the grades with 2-3 days of lead time, down from last week’s 4-5 days. However, demand in Houston has been relatively slower so far this week compared to the earlier week. Meanwhile, HSFO availability is tight in Houston, where there is limited supply available with most suppliers.
Securing VLSFO and LSMGO stems for prompt delivery dates remains difficult in Bolivar Roads. Bunker deliveries there are subject to weather conditions and availability of anchorage space, a source says. One supplier is able to offer stems there with lead times of 12-14 days.
At the New Orleans Outer Anchorage (NOLA), demand for VLSFO and LSMGO has been more for delivery dates further out. Most suppliers are able to offer stems for these dates.
Calmer weather conditions have allowed bunkering to run smoothly in the Galveston Offshore Lightering Area (GOLA). Demand for all fuel grades has also picked up in GOLA this week. Suppliers in the GOLA can accommodate LSMGO and VLSFO stems within 2-3 days of lead time.
With the rise in demand, bunker supplier Bunker One has announced that it will start HSFO supply in GOLA, off Sabine and off Corpus Christi from 18 September. HSFO supply has been tight with most suppliers in the lightering area.
Demand has dropped in the West Coast ports of Long Beach and Los Angeles. VLSFO and LSMGO availability has held better in both ports. HSFO supply is tight in the West Coast ports, as one supplier awaits resupply cargo. Delivery dates for the grade can go up to the end of September.
Delivery prospects in Port Angeles, further north on the US West Coast, remain subject to enquiry, a source says.
The availability of all fuel grades for prompt dates is normal in the East Coast port of New York. Demand is said to be slow in the port.
Demand for fuel oil has dropped significantly by 21% from August to 166,000 b/d this month – the lowest level since May 2020.
Hurricane Lee, which has downgraded to Category 2 from Category 3 is expected to hit the Eastern Coast of Canada over the weekend. It also poses a threat of coastal flooding in some of the regional ports. However, the storm is unlikely to impact bunkering on the Canadian East Coast as ports like Quebec and Montreal are well sheltered and not in the storm's direct path.
Caribbean and Latin America
Prompt availability of all fuel grades is normal in Panama’s Balboa and Cristobal. Several suppliers can deliver VLSFO and LSMGO stems in the ports with a lead time of 3-4 days in Balboa. Demand has been very low in both Balboa and Cristobal in recent weeks.
Prompt availability of both VLSFO and LSMGO remains tight off Trinidad.
Bunkering was running normally in Argentina's Zona Comun anchorage on Thursday morning. However, strong wind gusts of up to 37 knots are forecast to hit the region from Thursday evening onwards, which could cause prolonged delays and disruptions through the rest of the week, a source says.
Due to persistent weather disruptions and a refinery outage in the region, the availability of fuel grades in Zona Comun has become extremely limited. One supplier is almost running out of VLSFO and LSMGO stocks, while several other suppliers are only able to offer stems for delivery dates after the first week of October.
Prompt availability of VLSFO and LSMGO remains tight in Brazilian ports. One supplier is able to supply stems for prompt dates in Salvador, Rio de Janeiro and Rio Grande on a subject to enquiry basis.
Suppliers in Santos have been facing delays due to weather-related disruptions caused by heavy rainfall in the region.
By Debarati Bhattacharjee
Photo credit and source: ENGINE
Published: 15 September, 2023