Onshore fuel oil stockpiles at key trading hub Singapore rose for a third consecutive week, with imports edging higher, data showed on Thursday.

Residual fuel inventories were at 22.58 million barrels (about 3.56 million metric tons) in the week to June 4, up 1.1% week-on-week and logging six-week highs, data from Enterprise Singapore showed.

Fuel oil imports into the onshore tanks rose 20% from the previous week, hitting about 762,000 tons. Most of the week’s imports came from Brazil and the United Arab Emirates.

Meanwhile, fuel oil exports out of the tanks totalled about 334,000 tons, up 11% from last week. The cargoes were mostly headed to Northeast Asian destinations including Hong Kong, Taiwan and China.

Inventories have been holding at higher-than-average levels due to plentiful supplies in Asia, along with slow demand from the bunker market, according to trade sources.

Singapore’s low-sulphur fuel oil premiums have softened since the second-half of May, before steadying into early June.
Source: Reuters