Marine fuel sales at the world's largest bunkering hub Singapore held steady at 4.12 million tonnes in August, with the number of vessel arrivals for bunkering little changed, official data showed Tuesday.
Sales for low-sulphur marine fuels were steady to higher from the previous month, though total monthly sales were weighed down by a slight decline in high-sulphur fuel oil (HSFO).
"HSFO bunker volumes were lower, potentially due to the two-month suspension of Glencore's bunkering license in Singapore," said Ivan Mathews, head of FGE's Asia Refining and Global Fuel Oil Service, adding that total HSFO sales could face further downward pressure in September.
Meanwhile, sales for low sulphur marine fuels rose slightly in August, data from the Maritime and Port Authority (MPA) of Singapore showed.
"VLSFO volumes could see upside as prices in September so far have trended lower, while potentially more supplies in China from the latest release of VLSFO export quotas could further lower prices in the region," Mathews said.
Total HSFO supplied to ships dipped by 3% month-on-month to 1.23 million tonnes in August, the MPA data showed.
Glencore Singapore, a key HSFO supplier at Singapore, ended up with its bunkering licence suspended for two months by the MPA after it was found to have supplied contaminated fuel to ships earlier this year. The suspension took effect from Aug. 18.
Low-sulphur fuel oil (LSFO) supplied to ships was stable month-on-month at 2.51 million tonnes, while total marine gasoil sales climbed 4% from July to 0.34 million tonnes in August.
Sentiment around demand has been optimistic in September so far, with some Singapore bunker traders reporting higher buying inquiries amid lower premiums.
Bunker fuel premiums for VLSFO softened in recent weeks after cargo premiums for the product fell by more than 90% through August.
|TOTAL BUNKER SALES - Including HSFO, LSFO, MGO, Others|
|2022||Total Sales ('000 tonnes)||% mom||% yoy||Vessel Arrivals for Bunker||% mom||% yoy|
|LOW-SULPHUR MARINE FUEL SALES (in '000 tonnes)|
|2022||LSMFO 100cst ('000)||LSMFO 180cst ('000)||LSMFO 380cst ('000)||LSMFO 500cst ('000)||Total LSFO ('000)||% mom||% yoy|
|HIGH-SULPHUR MARINE FUEL SALES (in '000 tonnes)|
|2022||HSFO 180cst ('000)||HSFO 380cst ('000)||HSFO 500cst ('000)||Total HSFO ('000)||% mom||% yoy|
|MARINE GASOIL BUNKER SALES (in '000 tonnes)|
|2022||LSMGO ('000)||MGO ('000)||Total MGO ('000)||% mom||% yoy|
(Data from Maritime and Port Authority of Singapore)
(Reuters - Reporting by Jeslyn Lerh; Editing by Krishna Chandra Eluri)