North West Europe
Bunker fuel availability would be normal for all grades of fuel in the ARA hub, with several suppliers offering fast LSMGO deliveries in the region. The recommended times for LSMGO and VLSFO in Rotterdam are 3-4 days, while HSFO requires around 5-6 days, according to sources.
Independent ARA fuel oil inventories have risen an average of 1% so far this month compared to November, according to data from Insights Global. Inventories rose despite signs of a drop in net imports. Meanwhile, Russia once again became the main source of fuel oil imports for the region in December.
According to freight tracker Vortexa, Russia has accounted for 37% of total fuel oil inflows to the ARA so far in December. This is the first time since August that Vortexa has picked up a shipment of Russian fuel oil that has arrived in the ARA. Other sources of fuel oil imports into the region this month include the UK, Finland, France, Denmark, Poland and Germany.
ARA’s average diesel inventories also rose this month, but remain well below their five-year average position. This comes as diesel imports into the region increased by 274,000 bpd from November levels. Russia remains the main source of diesel imports for the ARA.
The strike at the BP refinery in Rotterdam ended last week, which should further increase the supply of bunker fuel in the ARA, sources say. The strike had left BP’s nominal capacity of 393,800 bpd at the Rotterdam refinery sluggish for almost two weeks.
The supply of VLSFO and LSMGO would be normal off Skaw, requiring supply times of around seven days, according to a source. HSFO’s rapid availability is limited and may require longer lead times, the source adds.
Mediterranean
Major ports in the Strait of Gibraltar are facing weather-related disruptions this week. Bunker fuel supplies at all levels would be normal in the region, but adverse weather conditions could delay deliveries there, sources said.
Suppliers are working to clear bunker backlogs in Gibraltar after bunkering resumed after a one-day suspension on Wednesday. All suppliers experienced delays on Wednesday due to bad weather, according to port agent MH Bland. 18 ships were waiting to refuel in the port.
Suppliers in Algeciras and Ceuta also struggled to deliver the rods due to unfavorable weather conditions. Refueling from Anchorage was suspended in Ceuta on Wednesday. Weather conditions are expected to remain difficult in Ceuta until Saturday, which could lead to more delays.
Meanwhile, bunkering operations are normally taking place in other regional bunkering sites such as Malta, Las Palmas and Tenerife. All ports and one out of six bunker areas off Malta were operational on Wednesday morning, according to Seatrans Shipping.
With Gibraltar, Algeciras and Ceuta facing weather-related disruptions, bunker calls are expected to increase at other ports in the Strait of Gibraltar and the wider Mediterranean region, sources say. An average of eight ships arrived for bunkering in Malta each day this week, which is almost the same as last week.
With high demand in Malta this week, ensuring fast deliveries from VLSFO and LSMGO can be difficult there, according to a source. Prompt delivery prospects for both grades should improve from next week, the source adds.
Bunker fuel supply is also stable in Las Palmas, sources say.
And in the Greek port of Piraeus, the availability of VLSFO and LSMGO would be normal, according to a source.
Africa
Suppliers are scrambling to clear bunker backlogs in Algoa Bay as bunkering resumed on Wednesday after being suspended for two days, the Rennies Ships Agency said. Four ships were waiting to refuel at anchor and 14 more were expected to arrive in Algoa Bay and Port Elizabeth for refueling this week, Rennies said.
Bunker supplies are stable in Durban and Algoa Bay in South Africa. Recommended lead times for VLSFO and LSMGO deliveries to Durban are around seven days, according to a source.
A rapid supply of VLSFO and LSMGO is normal in Nacala, Mozambique, according to a source. Four ships are due to arrive for bunkers at Nacala this week. Suppliers can offer fast delivery from LSMGO in nearby Maputo, while availability from VLSFO would be tight this week, the source adds.
Source: ENGINE, by Shilpa Sharma, https://engine.online/