Onshore fuel oil storage volumes in Singapore rebounded after sliding the previous week, led by a surge in net imports, data showed on Thursday.

The inventories rose 13.2% to 19.23 million barrels (about 3.03 million metric tons) in the week to Nov. 27, logging five-week highs, based on Enterprise Singapore.

The climb was led by a jump in net imports, which totalled more than 728,000 tons in the week, more than quadrupling from the previous week. The figure is calculated by subtracting total exports from total imports.

Supply inflows were robust in the week, with most imports hailing from Brazil, the United States, and Russia, excluding cargo movements from Malaysia.

Total supplies to Asia remained above 7 million tons for a second consecutive month in November, said LSEG Oil Research in a trade flows report this week.

Price benchmarks for 0.5% low sulphur fuel oil have fallen this month amid the backdrop of ample supplies, said market sources. Singapore’s cash premium for the fuel has dropped below $3.50 a ton this week, hitting a three-month low.

Meanwhile, most of the week’s fuel oil exports from Singapore tanks were headed to China, Bangladesh, and Australia, based on the Enterprise Singapore data.

Stockpiles averaged 18.15 million barrels per week in November so far, firming from last month’s average of 17.56 million barrels per week.
Source: Reuters (Reporting by Jeslyn Lerh; Editing by Rashmi Aich)