Prices in East of Suez ports have tracked Brent’s upward movement, and prompt availability of all grades is tight in Fujairah.

Changes on the day, to 17.00 SGT (09.00 GMT) today:

• VLSFO prices up in Fujairah ($13/mt), Singapore ($6/mt) and Zhoushan ($4/mt)
• LSMGO prices up in Fujairah ($19/mt), Singapore ($10/mt) and Zhoushan ($6/mt)
• HSFO prices up in Singapore ($7/mt), Zhoushan ($6/mt) and Fujairah ($2/mt)
• B24-VLSFO at a $181/mt premium over VLSFO in Singapore
• B24-VLSFO at a $230/mt premium over VLSFO in Fujairah

Fujairah's VLSFO price has increased by $13/mt in the past day, marking the sharpest rise among the three major Asian bunker ports. Despite this, Fujairah’s VLSFO stands at a $9/mt discount to Singapore and is nearly on par with Zhoushan.

Prompt bunker availability in Fujairah remains tight, with lead times for all grades steady at 5–7 days, unchanged from last week. Suppliers in Khor Fakkan recommend similar lead times. However, adverse weather conditions are expected at both ports until tomorrow, potentially disrupting bunkering operations.

Meanwhile, Jeddah continues to price its VLSFO at a $64/mt premium over Fujairah.

VLSFO supply in Jeddah remains limited, whereas LSMGO availability is sufficient. In Djibouti, bunker supply is under strain, with VLSFO and HSFO stocks nearly depleted and LSMGO supply running low.

Brent

The front-month ICE Brent contract has gained $1.31/bbl on the day, to trade at $73.30/bbl at 17.00 SGT (09.00 GMT).

Upward pressure:

Brent’s price gained over $1/bbl after US President Donald Trump threatened to impose 25% tariffs on imports from countries buying Venezuelan oil and gas.

The news comes amid growing tensions between Washington and the Nicolas Maduro-led Venezuelan government, with the former accusing the Latin American country of fueling illegal immigration and criminal gang activities in the US. 

“Oil got an additional boost after the US announced secondary tariffs on buyers of Venezuelan oil,” two analysts from ING Bank noted.

China, India, Spain, Italy and Cuba are among the largest consumers of Venezuelan oil, Reuters reports.

“The levies would impact major economies from China and India and Western Europe,” ANZ Bank’s senior commodity strategist Daniel Hynes remarked. “It may also complicate business for US Gulf Coast refiners, that rely heavily on Venezuela’s heavy crude to feed production lines,” he added.

Downward pressure:

Brent’s price gains were partially capped after the US treasury department extended oil company Chevron’s deadline to cease operations in Venezuela until 27 May.

Despite the existing sanctions, Chevron has held a license allowing it to operate in the country and export crude oil to the US since 2022.

“The withdrawal of Chevron’s licence to operate could reduce production in the country by about 200kb/d [200,000 b/d],” Hynes added.

By Tuhin Roy and Aparupa Mazumder

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