Houston bunker fuel availability remains tight

West coast demand has tweaked

Fuel availability at Colombian ports is good

PHOTO: Aerial view of the Port of Houston, Texas. Getty Images

North America

Bunker availability in Houston remains tight, with supply constraints expected to persist through the first week of April.

Given the limited availability, lead times of more than a week are recommended to ensure smooth procurement.

Earlier in the week, pilot operations in Houston resumed, following a temporary suspension caused by dense fog and poor visibility, which had disrupted inbound and outbound sailings through the Houston Ship Channel.

The U.S. Gulf is currently in its fog season, a period during which dense fog frequently disrupts maritime operations, leading to delays in vessel movements and pilot services across major ports such as Houston, Galveston, New Orleans, Port Arthur, and Corpus Christi.

In New York, supply remains relatively stable across all grades. Suppliers advise securing orders slightly in advance, with lead times of around seven days, to guarantee availability and steer clear of higher prompt prices.

The region may experience periods of strong winds and rough sea conditions, which could impact bunker operations.

In the West Coast, ports of Los Angeles and Long Beach, appears to be well-supplied, but demand signals have been weak. “There have been no firm inquiries for this region in the past week,” a source said.

Weather conditions remain favorable for bunker deliveries, with suppliers recommending lead times of 6-7 days.

Bunker deliveries in the Galveston Offshore Lightering Area (GOLA) are ongoing but are expected to be suspended on 27 March due to rough weather conditions.

Disruptions are likely to persist through 30 March, potentially affecting scheduling and delaying operations.

Bunker operations in Montreal could face delays between 27-30 March due to strong wind gusts, potentially disrupting deliveries.

With bunker barges operating only during daylight hours, congestion remains a concern, limiting flexibility in scheduling.

Caribbean and Latin America

Bunker availability in Panama remains stable, with steady supply across all fuel grades, a source says.

Suppliers recommend lead times of at least seven days in advance to ensure smooth deliveries in both Balboa and Cristobal.

VLSFO supply at the Zona Comun anchorage remains tight, with current lead times stand at approximately 10 days.

Strong winds exceeding 20 knots are expected to persist at the anchorage until 30 March, posing a risk to disrupt operations through Sunday.

A refinery in the region earlier this week was undercutting the market as it struggled with excess stock, offering VLSFO at $560 to clear storage, a source said. The refinery’s barge is also set to enter drydock, taking it out of service for approximately a month.

Meanwhile, a major supplier with both upstream and downstream operations has priced its VLSFO at $590 and expressed concerns over being undercut. Overall demand for VLSFO remains stable.

Availability across all grades is good in Santa Marta, Barranquilla, and Cartagena, in Colombia with recommended lead times of 3 days, another source said.

By Gautamee Hazarika

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