Sales of marine bunker fuel at Singapore eased for a second consecutive month in September, though marine biofuel sales surged to a fresh record high, data from the Maritime and Port Authority of Singapore showed.

Bunker sales at the world’s largest vessel refuelling hub totalled 4.39 million metric tons in September, sliding 4% from August though climbing 3% from the same period last year, the data showed.

The monthly decline was led by lower volumes for the mainstay low-sulphur fuel grade, which totalled 2.25 million tons, as spot demand slowed amid strong premiums arising from tight prompt supplies for most of September.

High-sulphur bunker sales also fell month-on-month to 1.64 million tons, but remained much stronger compared to the same period last year.

Demand for high-sulphur bunker fuel firmed this year as more ships with scrubbers came online, while shipowners took advantage of the cheaper prices versus low-sulphur bunkers.

Marine gasoil sales trended higher in contrast to residual fuel volumes, as a much narrower price spread between gasoil and fuel oil in September drove higher uptake.

Meanwhile, biofuel sales rose to a fresh record high, breaching 100,000 tons per month for the first time ever.

Higher term volumes lifted by a European shipowner have driven volumes up in September, though spot demand also picked up in September due to competitive offers, market sources said.

As for liquefied natural gas, volumes still paled in comparison with biofuels, with monthly sales dipping month-on-month to below 40,000 tons.

Total vessel calls for bunkering at Singapore fell 7.6% from August to 3,267 calls in September, while container throughput fell 8.7% to 3.29 million twenty-foot equivalent units (TEUs).
Source: Reuters (Reporting by Jeslyn Lerh; Editing by Jan Harvey)