LSMGO supply stabilises off Malta and in Istanbul

ARA LSMGO lead times down to 3-4 days

Las Palmas lead times reduced to 5-7 days

IMAGE: Tankers during a bunker operation off Malta. Getty Images

Northwest Europe

Fuel oil availability in the ARA bunkering hub is stable. VLSFO and HSFO supplies still require a notice of 5-7 days, a trader said. Recommended LSMGO lead times have been reduced from 5-7 days to 3-4 days in the past week.

Independently held fuel oil stocks in the ARA increased by 3% in August, according to Insights Global data. The fuel oil stocks recovered after recording this year's lowest monthly average in July.

The region imported 179,000 b/d of fuel oil in August, lower than the 192,000 b/d imported in July, according to cargo tracker Vortexa. The Bahamas (18%) was the biggest import source, followed by Germany (14%) and the UK (11%).

The region’s independent gasoil inventories - which include diesel and heating oil –grew by 4% in August. The ARA hub imported 146,000 b/d of gasoil in August, down from 185,000 b/d imported in July, according to Vortexa data. Saudi Arabia was the top source, making up around 40% of the imports, followed by Qatar (15%) and Russia (10%).

In Sweden’s Gothenburg and off Denmark’s Skaw, buyers are advised to enquire about stems with a 10-day lead time to get offers from a good selection of suppliers, a trader said.

Availability of all fuel types is normal in Germany’s Hamburg, with notice of 3-5 days enough to secure supplies, a trader said.

Mediterranean

Prompt supply remains challenging across all grades in Gibraltar Strait ports, with buyers advised to book 5-7 days ahead for VLSFO and LSMGO, a trader said. HSFO lead times have been reduced from 8-10 days to 5-7 days, the trader added.

At least 57 vessels are expecting to call for bunkers in Gibraltar between 3-9 September, according to shipping agent A. Matoes & Sons. Some suppliers are running 4-6 hours behind schedule in Gibraltar, according to port agent MH Bland.

In neighbouring Algeciras, some suppliers are running anywhere between 2-18 hours behind schedule, port agent MH Bland said.

Both ports are expected to face rough weather over the weekend, with wind gusts more than 25 knots and waves over 1.5 meters forecast between 5-6 September, which could disrupt bunker operations.

Lead times for Las Palmas have come down, but prompt supply is still tight. Buyers are now advised to enquire 5-7 days ahead for good coverage from suppliers, down from 10 days of notice last week, a trader said.  

Barcelona still needs a seven-day notice for deliveries of all fuel grades, the trader added.

Supplies are normal in Portugal’s Lisbon, according to a source.

In the Eastern Mediterranean region, Turkish and Maltese suppliers are reporting normal availability of LSMGO supply, after it being tight last week, a trader said. VLSFO supply in Greece’s Piraeus continues to be tight, the trader added.

Lead times of between 1-5 days are advised for all fuel grades in these three ports. A local supplier in Istanbul said a one-day lead time is sufficient for all supplies.

The weather is expected to roughen between 4-5 September in Istanbul, with wind gusts of more than 25 knots forecast, which could complicate bunkering.

Africa

In Senegal’s Dakar, prompt supplies of VLSFO and LSMGO are easily available with a lead time of 1-2 day sufficient to arrange deliveries, a source told ENGINE.

In Togo's Lome, fuel supply is tight for prompt deliveries, with lead times of 7-10 days advised for HSFO, and 5-7 days required for VLSFO and LSMGO, a trader said.

VLSFO and LSMGO supplies are very tight in Angola’s Luanda, a source said.

HSFO is tight off Namibia’s Walvis Bay. VLSFO and LSMGO supplies remain readily available. Buyers are advised to book 5-7 days ahead of delivery. Waves of more than 2 metres in height are forecast between 7-9 September, which could make bunkering difficult in the area.

VLSFO and HSFO supplies are readily available in South Africa’s Durban, while LSMGO supplies remain dry, a trader said. VLSFO is easily available in Richard’s Bay. Wind gusts of more than 25 knots and waves over 2 metres are forecast on 8 September, which could lead to a suspension of bunkering activities.

VLSFO, LSMGO and HSFO deliveries are easily available in both the Mozambican ports of Nacala and Maputo, a source said.

HSFO, VLSFO and LSMGO supply is stable but immediate deliveries can prove to be difficult in Mauritius’ Port Louis, a trader said. Lead times of 5-7 days are recommended for booking deliveries, which is down from last week's two-week lead time for HSFO and 10-day lead time for VLSFO and LSMGO.

By Nachiket Tekawade

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