Bunker prices in key Americas ports have moved in mixed directions and bunker deliveries in New York could be delayed by rough weather.

PHOTO: View of the entire Port of Los Angeles, US. Port of Los Angeles

Changes on the day to 07.00 CST (13.00 GMT) today:

• VLSFO prices up in Los Angeles ($1/mt), unchanged in Balboa, and down in New York ($3/mt) and Houston ($2/mt)
• LSMGO prices up in Los Angeles ($29/mt), and down in Balboa ($10/mt), New York ($8/mt) and Houston ($5/mt)
• HSFO prices unchanged in Los Angeles, and down in Balboa ($11/mt), Houston ($3/mt) and New York ($1/mt)

Los Angeles’ LSMGO price has shot up. A higher-priced 50-150 mt LSMGO stem has been fixed at $827/mt with prompt delivery in the West Coast port, and put upward pressure on the benchmark.

Prompt availability across all fuel grades has improved in Los Angeles and Long Beach, with suppliers recommending lead times of less than seven days for VLSFO and LSMGO, a source says.

Bunker deliveries remain suspended in the Galveston Offshore Lightering Area (GOLA). Prolonged delays due to high wind gusts are expected between 20-24 February, the source adds.

Suppliers in New York can offer VLSFO and LSMGO for prompt deliveries, with expected lead times 5-6 days. Bunker operations in the port may face delays between 20-22 February due to rough weather conditions.

Balboa’s HSFO price has plunged after a lower-priced 500-1,500 mt HSFO stem fixed in the port at $511/mt for prompt delivery put downward pressure on the benchmark.

Suppliers in Balboa can offer VLSFO and LSMGO with deliveries within seven days, while HSFO is very tight and required longer lead times.

Brent

The front-month ICE Brent contract has gained $0.15/bbl on the day, to trade at $76.49/bbl at 07.00 CST (13.00 GMT).

Upward pressure:

Brent’s price moved higher amid uncertainties over global oil supply this year.

Earlier this week, Bloomberg reported that eight members of the OPEC+ consortium may consider delaying the 2.2 million b/d supply increase, which was set to begin from April this year.

Disruptions to Kazakhstan’s oil exports have also supported Brent’s price this week. Several Ukrainian drones struck pipeline operator Caspian Pipeline Consortium’s (CPC) pumping station on Monday, temporarily shutting it down.

The facility is located in the Kavkazsky district of southern Russia and transports over two-thirds of all oil exports from Kazakhstan, and crude from Russian oil fields, including those in the Caspian Region, CPC said.

“Supply uncertainty continues to support the oil market, which faces multiple risks, including disruptions to Kazakh flows, the potential for a delay in the return of OPEC+ barrels,” two analysts from ING Bank noted.

Downward pressure:

Brent futures felt some downward pressure after the American Petroleum Institute (API) reported another spike in US crude stocks.

Crude oil inventories in the US surged by 3.34 million bbls in the week that ended 14 February, according to the API estimates.

Notably, a surge in US crude stocks can indicate a drop in oil demand, which can cap Brent's price rise. The broadly followed US government data on crude oil stockpiles from the US Energy Information Administration (EIA) is due later today.

By Aparupa Mazumder

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