North America
Securing VLSFO and LSMGO for prompt delivery dates in Houston can be difficult. Several suppliers are fully booked. At least three suppliers have been unable to offer both grades for prompt dates due to tight delivery schedules and a lack of supply.
Meanwhile, some suppliers in Houston were keen to offer VLSFO and LSMGO from 20 November onwards.
A moderate risk of fog and reduced visibility is forecast around Corpus Christi, and a moderate to high degree of fog is forecast in Freeport from Friday onwards, which could delay vessel traffic around the region and in the Houston Ship Channel until Monday, Norton Lilly says.
The fog season in the US Gulf Coast typically runs until March, but the channel usually experiences closures more often between December and January. Poor visibility conditions usually prevent bunkering from taking place during the night.
In Beaumont, one supplier can deliver VLSFO and LSMGO with a lead time of 5-6 days.
VLSFO and LSMGO availability is normal in New Orleans. Two suppliers were offering both grades with lead times of 5-7 days. A moderate to high degree of fog and reduced visibility is forecast over the weekend in New Orleans, which could push lead times further ahead.
VLSFO availability is said to be normal in the West Coast ports of Long Beach and Los Angeles. One supplier requires at least six days of lead times to supply the grade. The supplier has sourced the grade from refineries in the West Coast, a source says. HSFO availability has been tight in both ports.
LSMGO availability remains tight in the East Coast ports of New York and Philadelphia this week, pushing New York’s prices above others.
Caribbean and Latin America
All grades remain in good availability in Panama’s Balboa and Cristobal. At least two suppliers in Balboa require five days of lead time for HSFO deliveries, while one supplier has no HSFO to offer, a source says. VLSFO and LSMGO availably is said to be normal in both ports.
Prompt VLSFO and LSMGO is available in Jamaica’s Kingston. Securing HSFO for prompt delivery dates can be difficult because the grade is available with only one supplier, a source says.
Availability of VLSFO and LSMGO is normal for prompt dates at Argentina’s Zona Comun anchorage. Most suppliers can deliver stems within five days of lead time. However, bunker operations are likely to be disrupted at the anchorage over the weekend, when strong wind gusts are forecast.
Argentina is currently facing a severe drought that has resulted in reduced crop production. This has caused a slowdown in exports, vessel traffic and bunker demand in the region, a port agent told ENGINE. Due to the surplus of bunker fuel stocks, some suppliers in Zona Comun are finding it difficult to sell their products, which has led stocks to grow and downward pressure on prices to mount.
Suppliers in Zona Comun have priced VLSFO lower in recent weeks. It was mostly at discounts to several Brazilian ports, including Rio Grande, Itaqui and Salvador on Thursday.
VLSFO and LSMGO supply is good for prompt dates in the Brazilian ports of Salvador, Rio de Janeiro, Itaqui and Rio Grande. One supplier can deliver stems within 4-6 days of lead time.
Source: ENGINE, https://engine.online/news/availability/americas-fuel-availability-outlook-9-november-53b7