Most bunker benchmarks in East of Suez ports have declined, and VLSFO supply remains steady in Singapore.

IMAGE: Aerial view of Singapore container terminal. Getty Images

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

• VLSFO prices up in Zhoushan ($1/mt), and down in Singapore and Fujairah ($6/mt)
• LSMGO prices down in Fujairah ($11/mt), Zhoushan ($2/mt) and Singapore ($1/mt)
• HSFO prices up in Singapore ($5/mt), and down in Fujairah ($6/mt) and Zhoushan ($1/mt)
• B24-VLSFO at a $236/mt premium over VLSFO in Singapore
• B24-VLSFO at a $255/mt premium over VLSFO in Fujairah

Singapore’s HSFO price has slightly increased over the weekend, while its VLSFO price has declined. A higher-priced HSFO stem fixed at the port on Friday has contributed to push the benchmark up. The diverging price movements have narrowed the port’s Hi5 spread by $11/mt to $63/mt. However, Singapore’s Hi5 spread remains below Fujairah’s $90/mt and Zhoushan’s $77/mt.

VLSFO availability in Singapore remains stable, with recommended lead times of 7–10 days. HSFO supply is also steady, with lead times of 8–10 days.

LSMGO prices across the three major Asian bunker hubs have declined over the weekend, with Fujairah recording the steepest drop. Despite the fall, Fujairah’s LSMGO price remains at premiums of $39/mt and $47/mt over Zhoushan and Singapore, respectively.

Brent

The front-month ICE Brent contract has inched lower by $0.12/bbl on the day from Friday, to trade at $69.44/bbl at 17.00 SGT (09.00 GMT).

Upward pressure:

Brent's price reached a multi-week high on Friday after the renewed conflict between Russia and Ukraine added upward pressure.

US President Donald Trump has urged Turkey to suspend its Russian oil imports, according to the Atlantic Council.

The International Energy Agency (IEA) said OPEC+’s actual supply boost in October will likely fall short of its target in its September report, noting that members, including Iraq, the UAE, Kuwait and Kazakhstan, are pumping a combined 1.1 million b/d above their quotas.

The IEA also cited tanker-tracking data showing that most of OPEC’s additional September volumes were absorbed by regional refineries and power generation rather than exported.

If sustained, this trend could point to tighter export availability from Saudi and other Middle East OPEC members in the coming months.

Downward pressure:

The OPEC+ bloc is expected to raise output by at least 137,000 b/d in November at its online meeting on 5 October, three sources have told Reuters.

Iraq’s Kurdistan region has resumed crude exports to Turkey after more than two years, Turkish oil minister Alparslan Bayraktar said in a social media post. The halt had previously curbed around 400,000 b/d of supply from northern Iraq and the restart adds to concerns of a supply glut.

The agreement will initially allow 190,000 b/d of crude oil to flow to Turkey's Ceyhan port, Iraq's oil minister, Hayyan Abdul Ghani told Kurdish broadcaster Rudaw.

Oil producers including Norway’s DNO, Gulf Keystone Petroleum and HKN Energy have confirmed plans to restart output, but said full resumption will depend on further government guidance.

DNO will resume 38,000 b/d from its Tawke field. Gulf Keystone will restart production from its Shaikan field but has not yet confirmed the capacity.

By Shilpa Sharma and Konica Bhatt

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