Cash differentials in Asia’s fuel oil markets were stable in thin trading this week, with HSFO premiums staying strong due to a counter-seasonal draw in inventories across key trading hubs.
The 380-cst HSFO cash differential rose by 17 cents to a premium of $23.42 a metric ton on Friday and the 180-cst HSFO cash differential also gained 17 cents at $24.59 per ton.
Meanwhile, in the marine fuel market, the 0.5% VLSFO premium was steady at $7.27 a metric ton on Friday. MFO05-SIN-DIF
INVENTORIES
Global fuel oil inventories fell for the second consecutive week, by 1.8 million barrels led by a decline in U.S. stocks, due to low medium sour crude availability reducing fuel oil yields, according to estimates by consultancy FGE.
However, inventories at the Amsterdam-Rotterdam-Antwerp (ARA) rose slightly to 1.280 million tons in the week to Aug. 17, data from Dutch consultancy Insights Global showed. ARA/
TENDERS
India’s MRPL sold 20,000 tons of 380-cst HSFO and 20,000 tonnes of 0.5% VLSFO to Aramco Trading for loading during Aug. 21-23, market participants said.
The company also sold 40,000 tons of vacuum gas oil to Trafigura for Sept. 2-4 loading, they added.
Another player, HPCL, was heard to have sold 30,000-35,000 tons of 380-cst fuel oil to E3 Energy for loading during Aug. 28-29.
Source: Hellenic Shipping News
