Prompt LSMGO supply good in the ARA

Lead times stretched in Gibraltar and Las Palmas

Prompt VLSFO supply normal off Luanda

PHOTO: A container terminal in the Port of Luanda. Getty Images

Northwest Europe

HSFO and VLSFO supply remain a bit tight for very prompt delivery in Rotterdam and in the wider ARA hub, with recommended lead times of 5-7 days. LSMGO availability continues to be normal, with a trader advising a lead time of 3-5 days.

The ARA’s independently held fuel oil stocks have declined by 8% this month compared to January, according to Insights Global data.

The region has imported 315,000 b/d of fuel oil in February, a sharp rise from 298,000 b/d imported in January, according to data from cargo tracker Vortexa.  

Saudi Arabia (14% of the total) has become the region’s biggest fuel oil import source, followed by the UK (13%), Lithuania (11%), Poland and Denmark (10% each) and Sweden (8%).

The region’s independent gasoil inventories - which include diesel and heating oil – have averaged 3% higher in February. At 19.12 million barrels, the region’s gasoil stocks are at their highest since February 2021. The ARA hub has imported 319,000 b/d of gasoil and diesel this month, marking a steep increase from 194,000 b/d imported in January, according to Vortexa data.

In the German port of Hamburg, prompt supply is good across all grades, a trader said. Lead times of 3-5 days are advised for full coverage from suppliers, according to a trader.

Mediterranean 

Bunker availability is normal across ports in the Gibraltar Strait. Despite this, lead times have stretched in Gibraltar Strait ports due to barge delays, a trader said. The earliest delivery date suppliers can offer is 12 March. 

All inbound vessel traffic has been suspended in Gibraltar on Wednesday until further notice due to rough weather, according to port agent MH Bland. Strong wind gusts of around 25 knots are forecast in Gibraltar for Wednesday.  

Across the strait, bunkering operations have remained partially suspended in Algeciras since Monday, according to MH Bland. In nearby Ceuta, bunker operations have once again been suspended since Tuesday evening due to rough weather, MH Bland said. 

Adverse weather triggered a bunkering suspension in Ceuta on Monday, with the port's sole bunker barge SPABunker Cuarenta halting operations, shipping agent Jose Salama & Co. said. Operations had briefly resumed on Tuesday morning.

Lead times have also stretched in the Canary Islands’ port of Las Palmas. The earliest delivery date suppliers can offer is 13 March, a trader said. Prompt availability is subject to enquiry. 

The Spanish port of Barcelona is also witnessing tight prompt availability due to barge delays. Suppliers can offer the earliest delivery date of 13 March, a trader said. 

Meanwhile, availability is normal off Malta for all three grades, a trader told ENGINE. Lead times of 3-5 days are advised for optimal coverage. 

Suppliers are reporting robust demand in the Greek port of Piraeus, a trader said. Recommended lead times are 3-5 days for VLSFO and LSMGO, while HSFO supply is subject to enquiry. 

Turkey’s Istanbul port has normal supply across all three grades with lead times of 3-5 days advised for full coverage from suppliers. 

Africa

In South Africa’s Durban and Richards Bay, prompt VLSFO supply is tight, a trader said. Lead times of 7-10 days are advised. LSMGO availability is still dry in Durban, a trader said

Meanwhile, VLSFO and LSMGO supply off Angola’s Luanda are well stocked, a source told ENGINE. Lead times of 5-7 days are advised for both grades. Both grades supplied offshore at the anchorage off Luanda, a trader said. 

Availability is normal in Mozambique’s Nacala for all three grades, a source said. Bunker supply is also normal in Maputo for VLSFO and LSMGO.

By Manjula Nair

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