LSMGO availability to remain tight till month-end at Rotterdam

HSFO supply very tight at Gibraltar Strait ports, Las Palmas

Fuel availability stable at Nacala and Maputo
IMAGE: Ships docked in the Port of Las Palmas, Gran Canaria, Spain. Getty Images

Northwest Europe

In the ARA bunkering hub, LSMGO availability is expected to remain tight for the remainder of the month as suppliers are facing difficulty securing cargoes, a source told ENGINE.

Buyers are advised to enquire about LSMGO a week in advance to get offers from a wider selection of suppliers, while VLSFO and HSFO supplies still need around 5-7 days of notice, a trader told ENGINE.

Meanwhile, the strikes in Belgian ports have ended, at least temporarily, but the disruptions caused by the strikes have led to severe congestion, with more than 200 vessels currently stranded in the North Sea as well as at the ports of Antwerp, Zeebrugge and Ghent, shipping agent VertomCory said.

Operations and planning have been complicated due to the strikes and bunkering is expected to be affected until the congestion eases, sources added.

Independently held fuel oil stocks in the ARA hub have dropped by 6% in October so far, according to Insights Global data. Fuel oil inventories are now at their lowest monthly average of the year.

The region has imported 34,000 b/d of fuel oil so far in October, sharply down from the 250,000 b/d imported in September, according to cargo tracker Vortexa. A majority of these supplies have arrived from Ireland (51%), while a significant portion of the supplies have come from Poland (34%).

ARA has imported 111,000 b/d of gasoil in October so far, almost half compared to the 209,000 b/d imported in September, according to Vortexa data. Most cargo volumes have arrived from India (45%), followed by the US (30%) and Finland (11%).

Availability is normal in Germany’s Hamburg, with a notice of 3-5 days sufficient to secure any fuel type, a trader said.

Availability of all fuel types in the Swedish port of Gothenburg and Off Skaw is tight with suppliers requiring longer lead times of more than 10 days, a trader said. Some Swedish suppliers told ENGINE that they are also supplying biofuels, with HVO available promptly, while FAME availability may be tighter. 

Stronger wind gusts of more than 25 knots and waves of around 2.5 meters are forecast in both locations between 25-28 October, which may cause a suspension in bunkering operations.

Mediterranean

HSFO availability at the Gibraltar strait ports has significantly tightened, with buyers now advised to enquire about stems almost two weeks ahead of delivery to get good coverage from suppliers, according to a trader. However, VLSFO and LSMGO deliveries in these locations continue to require around a week of lead time, the trader added.

Around 35 vessels are expected to call for bunkers at Gibraltar for bunkering between 15-21 October, according to shipping agent A Mateos & Sons. The number could slowly reduce as summer cruise demand eases.

Some suppliers were delayed by around a day in both Gibraltar and Algeciras, port agent MH Bland said. In neighboring Ceuta, some deliveries can run around 7-8 hours behind schedule at the anchorage while at some delays are also expected at the berth during the afternoon to evening period, shipping agent Jose Salama & Co said.

Wind gusts of more than 25 knots and waves of around 2 meters are forecast in Gibraltar, Algeciras and Ceuta on 18 October, which may cause bunker suspensions or delays.

In Las Palmas, HSFO supply is tight, with around 14 days of lead time requested by most suppliers, while VLSFO and LSMGO may need a 5-7-day notice, a trader told ENGINE.

In Spain’s Barcelona, deliveries of all fuel types may need around 5-7 days of lead time, a trader said.

At Lisbon, availability is normal, with lead times of 3-5 days advised for all fuel types, a source told ENGINE.

Deliveries off Malta are proceeding normally with around 1-4 days of lead times, a trader said. Stronger wind gusts of more than 25 knots and waves over 1.5 meters are forecast off Malta on 19 October, which may cancel supplies in some of the bunkering areas in the location.

At the Greek port of Piraeus, 2-3 days of notice is recommended, a local supplier told ENGINE.

In Istanbul, availability is normal for VLSFO, ULSFO and LSMGO with around 1-5 days of notice required, a local supplier said.

Africa

In the Togolese port of Lome and off Namibia’s Walvis Bay, HSFO supplies are very tight, a trader said. VLSFO and LSMGO supplies in these locations can be delivered with a lead time of 5-7 days, the trader added.

Off Walvis Bay, higher swells of more than 2 meters are expected to limit all operations to only anchorage areas for the rest of the month.

Deliveries in Nigeria’s Lagos are possible with around 5-7 days of lead time for smaller quantities, while larger quantities might take around two weeks, a local supplier said.

In South Africa’s Durban and Richards Bay, HSFO may require around a week of lead time, while VLSFO can be delivered within 2-3 days, a trader said. Meanwhile, supplies are slowly ticking up off Algoa Bay, with VLSFO deliveries possible at anchorage with around a week of lead time, a trader told ENGINE.

Higher swells of more than 3 meters accompanied by stronger wind gusts of more than 25 knots are forecast in South Africa’s Durban and off Algoa Bay between 16-19 October and on 23 October, which may suspend bunkering in the port.

At least six vessels were expected to call at Durban for bunkering between 13-18 October, according to shipping agent Trade Ocean.

Fuel availability remains stable in the Mozambican ports of Nacala and Maputo, a source told ENGINE.

Meanwhile, HSFO remains tight in Mauritius' Port Louis, with suppliers continuing to request lead times of around two weeks, while VLSFO and LSMGO are available within a week, a trader said.

By Nachiket Tekawade

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