European and African bunker benchmarks have moved in mixed directions, and bunker supply in Gibraltar Strait ports has improved.

Changes on the day to 09.00 GMT today:

• VLSFO prices up in Rotterdam ($3/mt), and down in Gibraltar ($3/mt) and Durban ($2/mt)
• LSMGO prices up in Gibraltar ($11/mt) and Rotterdam ($8/mt)
• HSFO prices up in Durban ($14/mt) and Rotterdam ($5/mt), and unchanged in Gibraltar
• Rotterdam B30-VLSFO premium over VLSFO up by $8/mt to $275/mt

Rotterdam's HSFO price has increase some in the past day, while the grade's price in Gibraltar has held steady. The price moves have narrowed Rotterdam's HSFO price discount to Gibraltar by $5/mt, to $45/mt now.

Availability of HSFO and LSMGO is normal in Rotterdam and in the wider ARA hub, while VLSFO supply is tight, a trader said. However, securing very prompt delivery of HSFO can be difficult in the hub, with recommended lead times of 8-10 days. Lead times of 3-5 days are advised for LSMGO, while VLSFO requires up to seven days.

Bunker supply in the Gibraltar Strait has improved, after remaining tight for prompt deliveries last week. Lead times of 4-8 days are recommended for all three grades.

Bunkering is progressing smoothly in Gibraltar amid conducive weather conditions, according to port agent MH Bland. However, slight congestion is reported in Algeciras today.

Bunkering operations are running normally in Ceuta as well, where 10 vessels are scheduled to arrive for bunkers today, said shipping agent Jose Salama & Co.

Brent

The front-month ICE Brent contract has moved $1.15/bbl higher on the day, to trade at $66.40/bbl at 09.00 GMT.

Upward pressure:

Brent crude’s price moved higher after the US administration announced stricter sanctions on Chinese buyers of Iranian crude oil.

The US Department of the Treasury’s Office of Foreign Assets Control (OFAC) has sanctioned several companies and vessels responsible for facilitating Iranian oil shipments to China, which are a part of Iran’s shadow fleet.

The news was aided by further supply-side issues as OPEC revealed revised compensation plans from seven members, aiming to make deeper cuts in the upcoming months through June 2026 for previous overproduction.

“Iraq said it will cut its oil exports this month after it faces pressure to adhere to its OPEC+ production target,” ANZ Bank’s senior commodity strategist Daniel Hynes remarked.

The seven OPEC+ members will collectively cut production by a total of 4.6 million b/d through June 2026, the coalition has announced.

Downward pressure:

Brent’s price felt some downward pressure after the US Energy Information Administration (EIA) reported a small rise in US crude stocks.

Commercial US crude oil inventories gained by 515,000 bbls to touch 443 million bbls for the week ending 11 April, according to data from the EIA.

A buildup in inventories typically signals weaker oil demand, which can put downward pressure on Brent's price.

By Samantha Shaji, Shilpa Sharma and Aparupa Mazumder

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