Asia Fuel Oil-HSFO spot premium hits over a year's high; KPC offers HSFO for Oct

Reuters

Asia Fuel Oil-HSFO spot premium hits over a year's high; KPC offers HSFO for Oct

2024 9월 11 일, 오전 11:07 GMT

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SINGAPORE, Sept 11 (Reuters) -Spot premium for 380-cst high sulphur fuel oil (HSFO) was at more than a year's high as of Wednesday, while Kuwait Petroleum Corporation offered HSFO for loading in October, trade sources said.

The premium was pegged above $17 a metric ton to Singapore quotes, extending gains from the previous day, while backwardation held steady to stronger at the prompt months.

The market had rallied higher as with very low sulphur fuel oil (VLSFO), which has been strong on supply tightness for prompt dates. However, trade sources expect the market to ease into the fourth quarter.

Meanwhile, Kuwait's KPC offered 60,000 tons of 380-cst HSFO for loading between Oct. 2 and Oct. 10. The tender closes on Wednesday.

INVENTORY DATA

- Fujairah heavy fuel inventories FUJHD04 jumped 25.3% to 10.03 million barrels (1.58 million tons) in the week to Oct. 9, reaching a two-month high, based on latest FOIZ data published by S&P Global Commodity Insights.

OTHER NEWS

- Oil climbed on Wednesday as a drop in U.S. crude inventories and concern about Hurricane Francine disrupting U.S. output countered worries about weak global demand. O/R

- The head of Vitol International Shipping said on Wednesday that large quantities of uninsured oil are currently afloat on ships due to the rise of the dark fleet in the aftermath of the Russia-Ukraine war

- Trafigura expects more switches of dirty to clean tankers to continue, with 12% of its current very-large-crude-carrier fleet trading in the clean market, a company executive told the annual APPEC conference on Wednesday.

- Major buyers of liquefied natural gas flagged risks of purchasing cargoes from the United States following the decision by President Joe Biden's administration to pause export permits of the superchilled fuel to non-Free Trade Agreement countries.

WINDOW TRADES O/AS

- 180-cst HSFO: No trade

- 380-cst HSFO: No trade

- 0.5% VLSFO: Three trades

ASSESSMENTS

FUEL OIL
CASH ($/T)	ASIA CLOSE	CHANGE	PREV CLOSE	RIC
Cargo - 0.5% VLSFO	549.13	-9.32	558.45	MFO05-SIN
Diff - 0.5% VLSFO	19.75	-1.45	21.20	MFO05-SIN-DIF
Cargo - 180cst	417.09	4.89	412.20	FO180-SIN
Diff - 180cst	13.25	1.50	11.75	FO180-SIN-DIF
Cargo - 380cst	411.87	2.83	409.04	FO380-SIN
Diff - 380cst	17.05	0.24	16.81	FO380-SIN-DIF
Bunker (Ex-wharf) Premium - 380cst	11.00	-1.00	12.00
Bunker (Ex-wharf) Premium - 0.5% VLSFO	23.00	1.00	22.00

For a list of derivatives prices, including margins, please double click the RICs below.
Brent M1	BRENTSGMc1
180cst M1	FO180SGSWMc1
180cst M1/M2	FO180SGSDMc1
180cst M2	FO180SGSWMc2
Visco M1	FOVISSGDFMc1
Visco M2	FOVISSGDFMc2
380cst M1	FO380SGSWMc1
380cst M1/M2	FO380SGSDMc1
380cst M2	FO380SGSWMc2
Cracks 180-Dubai M1	FO180SGCKMc1
Cracks 180-Dubai M2	FO180SGCKMc2
East-West M1	FOSGEWMc1
East-West M2	FOSGEWMc2
Barges M1	HFOFARAAMc1
Barges M1/M2	HFOFARAASMc1
Barges M2	HFOFARAAMc2
Crack Barges-Brent M1	HFOFARAACMc1
Crack Barges-Brent M2	HFOFARAACMc2