A tanker carrying 415,300 bbls of low sulphur fuel oil (LSFO) arrived in Hong Kong from Singapore on 5 February, according to cargo tracker Vortexa. The arrival of new cargo has helped ease some supply pressure, a source says.

This could be the reason behind the decline in bunker lead times in Hong Kong. Lead times for VLSFO have come down from last week’s 6-9 days to 3-4 days now. While the lead time for HSFO remains steady at seven days.

Another 56,200 bbls of LSFO cargo from Singapore is scheduled to arrive on 10 February, Vortexa data shows. Some suppliers have already cut their VLSFO prices in anticipation of new cargo arrivals, a source says. This has also resulted in flipping Hong Kong’s VLSFO from a premium of $23/mt over Singapore in the past week, to almost parity levels now.
Source: Engine