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:
23 November, 2021
Prompt supply remains tight in Singapore and Fujairah, and rough weather has delayed bunker deliveries in East Asia.
Terminal congestion in Singapore continues to delay barge loadings several weeks after a Covid-19 outbreak capped manpower. VLSFO supply is tight with lead times of up to nine days, while LSMGO lead times are up to eight days. HSFO380 lead times remain up to 12 days, with fewer suppliers offering the grade than the low sulphur grades.
Singapore’s residual fuel oil stocks dropped to six-week lows last week despite a week of higher net imports, according to Enterprise Singapore data. The bunkering hub’s middle distillate stocks have held steady on the week, still hovering around three-year lows.
Bunker suppliers are operating with tight delivery schedules in Fujairah amid recent robust demand. The UAE port’s total bunker sales rose by more than a fifth on the month in October, according to S&P Global Platts and Fujairah Oil Industry Zone (FOIZ) figures.
Fujairah’s times for VLSFO and LSMGO are up to eight days, while HSFO380 lead times have improved slightly to five days.
Zhoushan has more readily available supplies of VLSFO with lead times of around three days required. Resupply to Zhoushan has been held back, however, after two suppliers’ cargoes failed meet the purity specifications, a source says. A supplier will receive a LSMGO cargo from 4 December at the earliest. HSFO380 lead times are up to six days.
Strong winds pushed off China’s mainland on Sunday and disrupted bunkering in several east Asian ports at the beginning of the week. Bunkering was temporarily suspended in ports along China’s eastern coast, including Zhoushan, and in western Japan.
VLSFO and HSFO380 availability is tight in Japan. The earliest delivery date for these fuel grades is around 11-12 days out in Tokyo Bay, and over two weeks out in certain other Japanese ports. LSMGO availability has improved in Japan, the source adds.
The storm disrupted bunker supply in South Korea’s southern Yeosu and Busan ports on Tuesday, a source says. The earliest delivery date for VLSFO is expected in 10 days, while there is around seven-day of lead time required for LSMGO and HSFO380.
Photo credit: ENGINE
Published: 24 November, 2021
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