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ENGINE: East of Suez Bunker Fuel Availability Outlook (26 Dec 2023)

VLSFO availability tight in Zhoushan; several Indian ports low on VLSFO and LSMGO stocks; Middle Eastern bunker market unaffected despite Red Sea attacks.

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ENGINE East of Suez 1

The following article regarding regional bunker fuel availability outlook for the East of Suez region has been provided by online marine fuels procurement platform ENGINE for publication on Singapore bunkering publication Manifold Times:

  • VLSFO availability tight in Zhoushan
  • Several Indian ports low on VLSFO and LSMGO stocks
  • Middle Eastern bunker market unaffected despite Red Sea attacks

Singapore

In recent weeks, Singapore's bunker market has encountered challenges, particularly because of some suppliers struggling to meet tight delivery schedules. This predicament has worsened the shortage of VLSFO in the port, causing lead times to extend significantly from just 7-9 days last week to a range of 7-15 days presently. For HSFO and LSMGO, lead times of 5-8 days and 3-5 days are required, respectively.

According to Enterprise Singapore, the city-state's residual fuel oil stocks have seen a notable increase of 7% so far this month compared to November. Net fuel oil imports in the port have decreased by 1% so far in December. Both imports and exports have experienced an upward trend this month, with fuel oil imports rising by 5% and exports surging by 19%.

Conversely, middle distillate stocks in the port have witnessed a significant decline of 14% over the month.

China, East Asia and Oceania

The limited availability of VLSFO in Zhoushan has pushed the grade's prices higher. Due to the tight supply of the grade, some suppliers in the Chinese port are being cautious. They are refraining from committing to delivery dates and opting to quote for firm inquiries exclusively. However, the availability of LSMGO and HSFO remains robust, with recommended lead times of 3-6 days.

In the northern Chinese port of Dalian, VLSFO and LSMGO supply has tightened, while all three grades face supply pressure in the nearby Tianjin region, with deliveries subject to inquiry. Qingdao experiences tight prompt availability of VLSFO and LSMGO, while HSFO supply is subject to firm inquiry.

Southern Chinese ports of Shanghai and Xiamen, grapple with tight availability for VLSFO and LSMGO, while HSFO availability is tight in Shanghai. In Guangzhou, both VLSFO and LSMGO supply is tight, and Fuzhou sees both grades subject to inquiry, contrasting with good supply in Yangpu.

Hong Kong maintains good availability for all three grades, with consistent 5-7 day lead times.

Turning to South Korea, VLSFO availability remains tight in the country's western ports, requiring almost eleven days of lead time, while only one supplier can supply the grade in the southern ports. LSMGO requires ten days of lead time across South Korea. In western South Korea, HSFO is under pressure, forcing most suppliers to only respond to firm inquiries. Meanwhile, the southern part of the country has normal availability with 6-8 day lead times.

However, potential disruptions loom as high waves are predicted intermittently in South Korean ports of Ulsan, Onsan, Busan, Daesan, Taean and Yeosu.

Adverse weather conditions may impact bunkering operations in Subic Bay (Philippines) between 26-19 December and in Tauranga (New Zealand) on 1 January.

South Asia

In Kandla, located on India's northwest coast, the availability of VLSFO and LSMGO remains steady, with prompt supply available. However, other Indian ports, including Visakhapatnam, Tuticorin, Haldia, and Paradip, are experiencing supply pressure for both grades. The earliest deliveries for VLSFO and LSMGO in these ports stretch to the first week of January.

Meanwhile, VLSFO and LSMGO availability is tight at the ports of Mumbai and Cochin. Additionally, there's a forecast of adverse weather conditions in the Sri Lankan port of Colombo on Wednesday, raising concerns about potential impacts on bunkering deliveries in that region.

Middle East

Despite the Red Sea crisis, the Middle Eastern bunker market has remained relatively stable. However, concerns have escalated again after the United Kingdom Marine Trade Operations (UKMTO) reported a new incident 50 nautical miles west of the Yemeni port of Al-Hudayah on Tuesday. Although Maersk's recent announcement to resume Suez Canal transits is a positive development, the region's ongoing uncertainties are being exacerbated by renewed incidents.

Prompt demand for all grades continues to remain tight in the UAE port of Fujairah, with around seven days recommended.

By Tuhin Roy

Photo credit and source: ENGINE
Published: 27 December 2023

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Bunker Fuel Availability

ENGINE: Americas Bunker Fuel Availability Outlook (6 Feb 2025)

Cold front to pass through the US Gulf Coast; prompt availability good in West Coast; strong wind gusts to cause Zona Comun delays.

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RESIZED ENGINE Americas

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:

  • Cold front to pass through the US Gulf Coast
  • Prompt availability good in West Coast
  • Strong wind gusts to cause Zona Comun delays

North America

Bunker fuel demand is good in Houston, and availability across all fuel grades is currently tight for prompt delivery dates. Several suppliers can offer VLSFO and LSMGO stems with a lead time of at least seven days.

There is plenty of supply volumes available at the port, a source notes. The real challenge, however, lies in aligning with suppliers’ delivery schedules and ensuring shipments aren’t delayed by adverse weather conditions. High wind gusts and an Arctic Front has caused major delays to bunker operations in the port lately.

A dense layer of fog has reduced visibility in US Gulf Coast ports, delaying bunker operations. “Dense fog [is] forecasted to be an issue this week in US,” a source says, adding that delays are expected around other ports and bunker locations, including Corpus Christi, Freeport, Galveston, Port Arthur, Lake Charles, New Orleans Outer Anchorage (NOLA), Mobile, Tampa and Pascagoula.

Fog conditions in the area depend heavily on wind directions. Southerly winds from the Gulf typically result in fog in the Houston area, while colder, northerly winds can keep visibility clearer.

Earlier this week, the Houston Pilot Association had suspended outbound sailings through the Houston Ship Channel due to dense fog observed throughout the region and Galveston Bay, with visibilities less than 1 nautical mile, another source says.

The channel is a vital waterway for ports in Houston, Galveston, Baytown and Texas City. It often faces closures during the US Gulf Coast’s winter season, which runs until March.

Bunker deliveries in the Galveston Offshore Lightering Area (GOLA) are currently underway, although delays are expected. Operations may face further disruptions this week due to high wind gusts.

Suppliers in New York can offer VLSFO and LSMGO for prompt deliveries, a source says. HSFO is a bit tight and requires longer lead times. Bunker operations may face some delays in the East Coast port until 9 February due to high wind gusts, according to another source.

On the West Coast, Los Angeles and Long Beach have seen good availability across all fuel grades, with suppliers recommending lead times of 5-7 days for VLSFO and LSMGO.

High wind gusts may delay bunker deliveries in Canada’s Montreal port between 6-8 February. Barges at the port are only in operation during daylight hours at the moment.

Caribbean and Latin America

Bunker fuel availability for prompt dates has been on the tight side in the Panamanian ports of Balboa and Cristobal, with the latter having relatively fewer barges.

Vessel transits have slowed in Balboa lately, a source says. Lead times of around 9-10 days are required for prompt VLSFO deliveries in Balboa.

The Colombian ports of Santa Marta, Barranquilla and Cartagena have seen good demand and tightening availability. January and February are the months with the highest demand, a source says.

Prompt VLSFO availability is tight at Argentina’s Zona Comun anchorage, where a recent bout of high wind gusts delayed barge reloadings and bunker deliveries. Seven days of lead time is advised.

Prolonged delays are expected at the anchorage over the weekend. Strong wind gusts forecast between 6-8 February may suspend deliveries.

By Aparupa Mazumder

 

Photo credit and source: ENGINE
Published: 7 February, 2025

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Bunker Fuel

Baltic Exchange: Bunker Report (6 February 2025)

Bunker report panellists include Island Oil Limited, Cockett Marine Oil Pte, Monjasa A/S and KPI OceanConnect.

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Baltic Exchange: Bunker Report (6 February 2025)

The following bunker report has been provided by freight market information provider Baltic Exchange for post on Singapore bunkering publication Manifold Times:

Note:

All values are in US$/metric ton, all-in (invoice price), delivered on board
Delivery in 7-10 days
ISO 8217:2010
IFO 380 3.5% Sulphur
IFO 380 0.5% Sulphur
DMA 0.1% Sulphur

Rotterdam – Waalhaven – Maasvlakte range
Houston – Houston Harbor
Singapore – Anchorage, under SBA Scheme
Fujairah – Offshore Anchorage Area

Submitted weekly at Close of Business UK time, on Tuesday & Thursdays

Panellists:
Island Oil Limited, Cockett Marine Oil Pte, Monjasa A/S, KPI OceanConnect

 

Photo credit and source: Baltic Exchange
Published: 7 February, 2025

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Bunker Fuel Availability

ENGINE: Europe & Africa Bunker Fuel Availability Outlook (5 Feb 2025)

Prompt HSFO and VLSFO still tight in the ARA; VLSFO and LSMGO supply constrained in Gibraltar; bunker supply tight in Las Palmas.

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RESIZED ENGINE Europe and Africa

The following article regarding Europe and Africa bunker fuel availability has been provided by online marine fuel procurement platform ENGINE for post on Singapore bunkering publication Manifold Times:

  • Prompt HSFO and VLSFO still tight in the ARA
  • VLSFO and LSMGO supply constrained in Gibraltar
  • Bunker supply tight in Las Palmas

Northwest Europe

Prompt availability of HSFO and VLSFO remains tight in the ARA hub, requiring lead times of up to seven days for both grades. Supply of LSMGO is comparatively better, with recommended lead times of 3-5 days.

The ARA’s independently held fuel oil stocks averaged 7% higher in January compared to December, according to Insights Global data.

The region imported 287,000 b/d of fuel oil last month, up from 161,000 b/d imported in December, according to data from cargo tracker Vortexa. Saudi Arabia (17% of the total) emerged as the region’s biggest fuel oil import source, followed by the UK (16%), Greece (13%), Poland (11%) and Germany (7%).

The ARA hub’s independent gasoil inventories - which include diesel and heating oil - averaged 15% higher in January. The region imported 190,000 b/d of gasoil and diesel last month, down from 238,000 b/d imported in December, according to Vortexa data.

Rotterdam’s bio-bunker sales in 2024 increased by 1% on the year to 757,000 mt. Despite the rise, the port’s bio-bunker sales were 4% off the record 791,000 mt sold in 2022, according to the Port of Rotterdam Authority. The port’s bio-bunker sales include liquid biofuels blended into conventional bunker fuel grades as well as bio-methanol and bio-LNG.

Singapore overtook Rotterdam as the world’s biggest bio-bunker port last year, with 883,000 mt sold – 17% more than Rotterdam.

The port authority noted a decline in demand for bio-blended fuels in the second half of 2024. It attributed some of the slowdown in demand to “the increased availability of bio-blended fuels in Asia following the European Union’s imposition of anti-dumping duties on Chinese biofuel”.

EU slapped anti-dumping duties of up to 36.4% on biodiesel imports from China from last August. This prompted Chinese exporters to look for alternative outlets and more volumes flowed to Singapore’s bunker market. China is a major exporter of used cooking oil (UCO) feedstock and finished UCO methyl ester (UCOME) biodiesel.

Mediterranean

Securing prompt deliveries of VLSFO and LSMGO grades can be difficult in Gibraltar. Lead times of 7-8 days are recommended for full coverage from suppliers, a source said. Availability of HSFO is said to be normal in Gibraltar, requiring lead times of 3-5 days. Conducive weather conditions are forecast in Gibraltar this week, which would enable smooth bunkering.

Availability of all grades is said to be normal off Malta, requiring lead times of 3-5 days, a trader said. In the Greek port of Piraeus, supply of VLSFO and LSMGO grades is normal, while HSFO availability is subject to enquiries.

In Turkey’s Istanbul, bunker availability is good across all three grades, a trader said. Lead times of 3-5 days are recommended.

In the Canary Islands’ port of Las Palmas, prompt supply of all three grades is said to be tight. Lead times of 7-10 days are recommended for full coverage from suppliers. Smooth bunker deliveries in Las Palmas remain subject to weather conditions. High swells of up to 1.8 metres are forecast to hit Las Palmas on Thursday, which could complicate deliveries.

Africa

In the South African ports of Durban and Richards Bay, VLSFO supply is tight with recommended lead times of 7-10 days. Suppliers have run out of LSMGO stocks in Durban, a trader said.

Meanwhile, a stem was delivered off Algoa Bay on 29 January. British oil supplier BP sold the stem, which was delivered by a barge owned by African Marine Solutions (AMSOL), a source told ENGINE. This marked the first offshore bunker operation in Algoa Bay since deliveries were banned in 2023, according to the source.

However, the return of regular bunkering off Algoa Bay could take a longer time, as barge operators are still waiting for clarity on certain rules of the Customs and Excise Act, another source said.

In Mozambique’s Nacala port, supply of VLSFO, HSFO and LSMGO grades is good, according to a source. LSMGO availability is good in Maputo, while VLSFO supply is under pressure.

By Shilpa Sharma

 

Photo credit and source: ENGINE
Published: 6 February, 2025

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