Bunker fuel prices have moved up with Brent, and deliveries in Zona Comun are likely to be suspended on Wednesday.

IMAGE: Aerial view of the Los Angeles Harbor in California, US. Getty Images

Changes on the day from Friday, to 08.00 CDT (13.00 GMT) today:

• VLSFO prices up in Balboa ($18/mt), Zona Comun ($17/mt), Houston ($13/mt) and New York ($12/mt)
• LSMGO prices up in Balboa ($32/mt), Zona Comun ($31/mt), Houston and New York ($19/mt)
• HSFO prices up in New York ($26/mt), Balboa ($23/mt) and Houston ($13/mt)

Balboa’s LSMGO price has increased the most in the past session. It is currently at premiums of $89/mt over Cartagena, $67/mt over Santa Marta, and almost at par with both Cristobal and Barranquilla.

Availability has remained steady in the ports of Balboa and Cristobal, a source says. VLSFO and LSMGO can be delivered with lead times of 4–5 days, and HSFO in four days.

The price of HSFO has increased the most in New York, where it is priced $40/mt higher than in Houston.

Bunker demand has weakened in New York, while availability of all fuel grades remains decent, with recommended lead times of 4–5 days.

In Zona Comun, deliveries are currently underway, but are expected to be suspended from Wednesday due to high wind gusts.

Brent

The front-month ICE Brent contract has gained $1.24/bbl on the day from Friday, to trade at $70.65/bbl at 08.00 CDT (13.00 GMT).

Upward pressure:

Brent crude’s price has risen sharply amid growing speculations of further US sanctions on Russian crude oil, potentially disrupting global supply flows.

US President Donald Trump said yesterday that he will send air defence missiles to Ukraine, Reuters reports. He is expected to make a “major statement” on Russia later today, the report adds.

“The [oil] market appears focused on uncertainty around President Trump’s scheduled 'major statement' related to Russia,” two analysts from ING Bank note.

Last week, a bipartisan sanctions bill targeting Russia’s energy sector had advanced in the US Congress, Reuters adds. The bill now needs backing from Trump.

“This could dramatically shift the oil outlook if sanctions target Russian energy,” ING Bank analysts add.

Meanwhile, diplomats from the European Union (EU) are close to finalising another package of sanctions against Moscow, reducing price cap on Russian crude oil, the news agency reports citing four EU sources following a meeting yesterday.

Downward pressure:

Brent’s rally lost steam after the Paris-based International Energy Agency (IEA) revised its 2025 global oil demand outlook downward again.

The IEA now expects global oil demand to grow by 700,000 b/d in 2025, slightly lower than its previous estimate.

Oil demand growth is expected to hit its lowest rate since 2009, “with the exception of the 2020 Covid year,” according to the IEA. It attributes slow demand growth to lacklustre demand in emerging market economies.

By Gautamee Hazarika and Aparupa Mazumder

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