Spot premium for very low sulphur fuel oil (VLSFO) extended declines to its lowest in seven weeks, data showed on Monday.

The Asia fuel oil market has softened recently amid prospects of supply recovery into the second-half of the month.

Meanwhile, spot premium for 380-cst high sulphur fuel oil (HSFO) steadied on Monday, after hitting more than a five-month low last week.

Bunker premiums for HSFO have also pared some support, though premiums on a delivered pricing basis remained strong compared to cargo premiums.

REFINERY

– Iraq’s Kerbala refinery is under extensive maintenance and has been non-operational since Sept. 25, a source with direct knowledge of the matter told Reuters.

OTHER NEWS

– Oil prices extended gains on Monday, driven by fears of a wider Middle East conflict and potential disruption to exports from the major oil-producing region.

– Top oil exporter Saudi Arabia has raised the November price for its flagship Arab light crude to Asia to its highest levels since July.

– Shell’s refining profit margins dropped sharply in the third quarter from the previous three months as global demand sagged, while oil product trading earnings also weakened, it said on Monday.

– BP has abandoned a target to cut oil and gas output by 2030 as CEO Murray Auchincloss scales back the firm’s energy transition strategy to regain investor confidence, three sources with knowledge of the matter said.
Source: Reuters (Reporting by Jeslyn Lerh; Editing by Sonia Cheema)