Supply of LSMGO has improved further this week in ARA ports, with more suppliers now offering prompt delivery, particularly in Rotterdam, sources say. Availability of VLSFO is also looking better.
Recommended lead times for deliveries of LSMGO and VLSFO in ARA ports are 3-5 days, while HSFO requires five or more days, a source says.
Supplies have improved in ARA following three consecutive weeks of marginal gasoil stock builds in the region.
ARA’s independently held gasoil stocks have recovered further from last month’s eight-year lows, increasing 90,000 bbls to 11.86 million bbls in the week ending 12 May, according to Insights Global data.
Russia remains ARA’s biggest source of gasoil and diesel imports, and the region is projected to source a larger share of its imports from Russia in May than in April, according to data from cargo tracker Vortexa.
Meanwhile, the EU is working to phase out oil imports from Russia. The European Commission revealed a €210 billion ($220 billion) plan to end Europe’s dependence on Russian oil and gas by 2027. Much of the programme hinges on boosting spending on renewables and breaking down barriers to their roll out.
Meanwhile, fuel availability is normal off Skaw, where prompt deliveries are taking place, a source says.
In the German port of Hamburg, availability is good for all grades, with recommended lead times of around five days, a source says.
In Bremerhaven, supply of LSMGO is normal, requiring a lead time of about five days, but availability of HSFO and VLSFO is tight, a source says. Most suppliers are fully booked in Bremerhaven and avoiding prompt deliveries of HSFO and VLSFO.
Mediterranean
Availability of all fuel grades is tight in Gibraltar Strait, where prompt deliveries are difficult to find, sources say.
Recommended lead times for VLSFO and LSMGO are 5-7 days, while HSFO requires lead time of about 10 days in Gibraltar, a source says.
Congestion was experienced in Gibraltar this week. Six vessels were waiting for space to enter the anchorage on Wednesday morning, with two suppliers experiencing 12-18 hours of bunker delays, says port agent MH Bland.
More delays are expected for larger vessels due to limited space availability, it says. However, calm weather conditions are expected through this week, which will likely help in clearing the backlog.
Algeciras was fully operational on Wednesday with no congestion. However, congestion was expected to build at its inner anchorage later on Wednesday, MH Bland said.
Bunker operations have been running smoothly in Ceuta this week amid conducive weather conditions. Two vessels were waiting for bunkers at berth on Wednesday morning, and a total of 10 vessels were due to arrive for bunkers throughout the day, agent Jose Salama & Cia says.
In Las Palmas, anchorage areas are open for bunkering, according to MH Bland. Strong winds forecast on Friday and Saturday could disrupt bunkering at anchorage and cause delays, a source says.
Supply of VLSFO and LSMGO is normal off Malta, a source says. Some suppliers are offering prompt deliveries. Weather conditions look good for the coming days, Seatrans Shipping agency says.
Africa
Availability of VLSFO and LSMGO is tight in the South African port of Durban, where suppliers are avoiding offers for prompt delivery. Recommended lead times for the two grades in Durban are around seven days, a source says.
Source: ENGINE (https://engine.online/)