Bunker demand strong in Houston

LSMGO avails dry up in Santos

Bunkering suspended in Zona Comun

IMAGE: Cranes and containers at the pier of the Port of Cartagena, Colombia. Getty Images

North America

Bunker demand in the US Gulf port of Houston is strong, and prompt availability of all three conventional fuel grades is tight. HSFO and LSMGO require notice of 6-8 days, while VLSFO needs around five days, a source said.

At the Galveston Offshore Lightering Area (GOLA), conditions are forecast to remain manageable, with wind gusts of up to 18 knots and waves below 1m between 24-27 September. Deliveries are currently ongoing on a first-come, first-served basis, subject to weather.

Prompt availability is tight at the anchorage, where HSFO and VLSFO require lead times of at least five days. LSMGO can be delivered within three days, by at least two suppliers.

The sea fog threat across US Gulf Coast ports is forecast to stay "low" through most of the coming week, before rising to "moderate" at Corpus Christi, Freeport, Galveston, Port Arthur, Marsh Island, Port Fourchon, New Orleans, Venice, Pascagoula and Mobile Bay on 30 September.

Venice and Mobile Bay could see moderate fog from 29 September, while Brownsville faces a moderate threat on 24-25 September. Lake Charles faces a high fog threat early on 30 September.

On the East Coast, bunker demand at the port of New York has ticked up, a source said. Availability of all three conventional grades is normal. LSMGO requires lead times of 3-6 days, and premiums for the grade are currently high, a trader said. VLSFO and HSFO require lead times between 5-7 days this week.

High wind gusts could disrupt bunker operations at New York between 24-27 September, with gusts forecast to peak at around 30 knots on 26 September, alongside rain.

Suppliers may require standby tugs during high winds, and operations could be suspended, a source tells ENGINE.

On the US West Coast, availability of all three conventional grades is normal at the ports of Los Angeles and Long Beach, where suppliers are recommending lead times of 5-7 days.

Bunker demand has picked up at Canada's Vancouver, a trader said. Availability is decent at the port, where VLSFO and LSMGO require lead times of 4-7 days and HSFO needs 5-6 days, a source said.

The hurricane season is currently ongoing. The US National Hurricane Center (NHC) has issued advisories on Tropical Storm Fay in the Atlantic, Hurricanes Odalys and Polo in the Eastern Pacific, and Tropical Storm Nolo in the Central Pacific, with marine warnings in effect for the Atlantic and Eastern Pacific.

Latin America and the Caribbean

Bunker demand at Panama's Balboa and Cristobal has been moderate, with VLSFO drawing more interest than HSFO and LSMGO this week.

Availability of all three conventional grades is good, with VLSFO and LSMGO deliverable within 3-4 days and HSFO requiring 5-7 days of lead time, a source said.

In the Bahamas, cruise ships are given priority for bunker deliveries at Freeport, and gusts of up to 16 knots and light rain are forecast on 25 September.

At St. Eustatius, deliveries are done at anchorage, and cruise ships take priority. Winds are forecast to stay moderate, with gusts of up to 14 knots.

Off Trinidad, deliveries are done while vessels are underway. Gusts of up to 22 knots and waves of up to 1.2m are forecast, but no major disruption is expected.

Bunker fuel availability is good at Colombia's key ports of Cartagena, Santa Marta and Barranquilla, where VLSFO and LSMGO can be delivered within 3-4 days.

HSFO availability is limited across the country's ports, though the grade can sometimes be booked at the larger ports, with the earliest deliveries possible in around four days, a trader said.

In Brazil, VLSFO availability is okay at Santos, with lead times of 4-7 days, though the port remains congested. LSMGO is not available at the port at the moment, a trader said.

Supply of VLSFO and LSMGO is very tight in Rio de Janeiro, Paranagua and Rio Grande, where both grades are offered under prior consultation and require lead times of over a week to 10 days.

Earlier this week, Petrobras halted bunker deliveries at Rio Grande earlier this week after a tropical storm knocked out power at the terminal. Operations resumed earlier today, a trader tells ENGINE.

Belem and Vila do Conde have okay availability of VLSFO and LSMGO, with lead times of 4-7 days.

Bunker operations at Zona Comun are currently suspended, and prolonged delays are expected due to winds above 20 knots. High wind gusts of up to 29 knots are forecast between 25-27 September.

Availability at the anchorage is very tight, with both grades of VLSFO and LSMGO available only under prior consultation, a source said.

By Gautamee Hazarika

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