Home International Shipping News ENGINE: East of Suez Fuel Availability Outlook

ENGINE: East of Suez Fuel Availability Outlook

ENGINE: East of Suez Fuel Availability Outlook

Bunkering has resumed in Zhoushan and Shanghai as the ports recover from typhoon In-Fa, while another typhoon is about to make landfall in Japan on Tuesday evening.

Singapore’s residual fuel oil stocks added another 6% last week as net imports rose to their highest levels since mid-April, Enterprise Singapore data showed.

The port’s fuel oil imports surged by 3.64 million bbls last week – the most since March. Exports increased by a smaller but still significant volume of 680,000 bbls.

More fuel oil in storage might have helped recommended lead times for VLSFO stems, which are now down to 7-8 days, compared to up to 10 days last week. Suppliers in Singapore offer in a wide range in lead times for VLSFO. Some suppliers can offer promptly for the fuel grade, while others still require as long as nine days.

Lead times for LSMGO have come down by one day, to 4-5 days now, while HSFO380 supply is still tight in the port with 10 days ahead advised.

Bunker deliveries resumed in Shanghai and Zhoushan on Tuesday, but the Chinese ports are still reeling from the impact of typhoon In-Fa. Bunkering was suspended in Zhoushan at the middle of last week as port workers and suppliers braced for the impact of the incoming typhoon.

The typhoon made landfall in eastern China on Sunday, grinding transport links to a halt and also suspending bunkering in nearby Shanghai.

While inner anchorage resumed with calmer weather in Zhoushan on Tuesday, vessels were still unable to receive bunkers at the port’s outer anchorage as the weather there remained rough.

Zhoushan suppliers have started clearing their backlogs from last week, but most of them are committed until the end of the month and supply dates vary between them. Recommended lead times for VLSFO and LSMGO have doubled to five days.

Another typhoon, Nepartak, is closing in on the northern part of Honshu, Japan’s biggest island. Nepartak is on track to make landfall in the city of Sendai on Tuesday evening.

Bunker ports in Tokyo Bay are located further south on the island and may only get heavy rainfall. Some vessel schedules have been pushed back, but the impact on bunkering is expected to be limited.

Fujairah’s low sulphur bunker market is mostly steady on the week with lead times for VLSFO and LSMGO stems at 3-4 days.

HSFO380 continues to be tight in Fujairah, as the number of suppliers offering the high sulphur grade in has been reduced to three after one supplier exited the market. Only one of these three suppliers can accommodate prompt HSFO380 stems, and recommended lead times have gone up to 12 days, which is among the longest in East of Suez ports.

South Korea’s lead times for VLSFO stems are also unchanged on the week with 3-4 days ahead needed. HSFO380 supply remains tight in the country’s main ports, however.
Source: ENGINE (https://engine.online/)

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