North America
Bunker demand has been sluggish in Houston and several other ports along the US Gulf Coast this week due to weather-related disruptions. While a few suppliers in Houston have prompt VLSFO and LSMGO supply available, deliveries of these grades are still subject to weather conditions.
The Houston Ship Channel reopened on Thursday after a brief suspension on Wednesday. However, heavy fog and reduced visibility are forecast throughout this week. This could result in intermittent closures and severe congestion, potentially leading to bunkering delays. Some suppliers in the US Gulf Coast are hesitant to offer stems for prompt delivery dates due to these conditions.
Houston, Corpus Christi, Lake Charles, Port Arthur, Galveston and Freeport are still experiencing bunkering delays as bunker barges struggle to load products from oil terminals due to fog, a source says.
Prompt VLSFO and LSMGO availability is tight in Beaumont. One supplier requires at least nine days of lead time to deliver stems there. Securing VLSFO and LSMGO stems for prompt delivery dates is also difficult in Bolivar Roads. Deliveries there are subject to weather conditions and availability of anchorage space, a source says.
Demand has slowed at the New Orleans Outer Anchorage (NOLA), but securing both prompt and non-prompt VLSFO and LSMGO stems remains tight there. The area has been heavily congested this week due to fog, causing delivery delays, a supplier said.
Bunker operations resumed in the Galveston Offshore Lightering Area (GOLA) on Thursday morning, after being halted during the earlier part of this week. However, strong wind gusts are forecast over the weekend, which may affect bunkering activities in the lightering area. The availability of bunker fuel in GOLA, especially HSFO, has been extremely tight due to intermittent weather-related suspensions in the region.
Securing prompt bunker fuels in the West Coast ports of Long Beach and Los Angeles remains difficult. Most suppliers require more than seven days of lead time for VLSFO and LSMGO supply in both ports. Securing HSFO can be even more challenging, partly because only one supplier has supply available. Meanwhile, another supplier has used its entire HSFO volumes for a term contract.
In the East Coast port of New York, all grades are available for prompt delivery dates.
Caribbean and Latin America
Due to ongoing vessel transit restrictions imposed by the Panama Canal Authority, the demand for bunker fuel in Panama’s ports remains low. The authority has limited the number of vessels that can pass through the waterway until the water levels in the canal return to normal. This has led to significant waiting times for ships. However, all fuel grades are currently available in Balboa and Cristobal for prompt dates.
VLSFO and LSMGO can be delivered promptly in Jamaica’s Kingston. HSFO can be secured on a subject to enquiry basis, a source says.
Bunkering was running normally in Argentina’s Zona Comun anchorage on Thursday morning. However, strong wind gusts are forecast to hit the region from Friday evening onwards, which could cause delays and disruptions through the rest of the week, a source says.
Demand for prompt delivery dates has been low in Zona Comun. But, there has been an increase in demand for deliveries in the first and second week of February at the anchorage. Two suppliers can provide VLSFO and LSMGO stems for those dates.
VLSFO and LSMGO availability is good in most ports of Brazil.
Source: ENGINE, By Debarati Bhattacharjee, https://engine.online/news/availability/americas-fuel-availability-outlook-25-jan-2024-5706